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Dubai Holding announces city's first IPO in 2025, offering 1.625 billion shares
The company said it plans to list a residential leasing-focused real-estate investment trust (REIT)
- PUBLISHED: Mon 5 May 2025, 9:02 AM UPDATED: Mon 5 May 2025, 10:17 AM
Dubai Holding on Monday announced that it would launch an initial public offering (IPO) of its Dubai Residential REIT on the Dubai Financial Market.
The investment conglomerate plans to offer 1.625 billion shares in Dubai Residential REIT, which is expected to start trading on the Dubai Financial Market (DFM) on or around May 28.
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The REIT is a Shariah-compliant income-generating closed-ended real estate investment fund under establishment and one of the largest owners and operators of residential real estate in Dubai.
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The IPO will be in the form of its subsidiary DHAM REIT Management LLC.
DHAM Investments –the subsidiary of Dubai Holding– is currently the sole unitholder of Dubai Residential REIT.
The offering subscription period is expected to run from May 13 to 20. Admission of Units to trading on the DFM is anticipated on or around May 28.
Dubai Residential REIT intends to adopt a semi-annual dividend distribution policy, making payments in April and September of each year, starting from next September.
The REIT expects that the sum of its first two dividend payments, expected to be made in September 2025 and April 2026, will be higher than Dh1,100 million; and an amount equal to 80 per cent of profit for the period before changes in fair value of investment property, in respect of its financial results for the year ending December 31. All this is subject to board approval.
A natural evolution
“As one of the cornerstones of Dubai Holding, Dubai Holding Asset Management’s residential leasing portfolio, Dubai Residential, has consistently delivered high-quality communities that meet the evolving needs of Dubai’s diverse population. The integration of Nakheel and Meydan’s residential portfolios under Dubai Holding last year was a significant milestone in Dubai Residential’s journey that enhanced its status as one of the region’s largest residential leasing platforms,” said Amit Kaushal, group CEO of Dubai Holding.
“The decision to launch the IPO of Dubai Residential REIT marks a natural evolution in our story, offering investors a unique opportunity to participate in the GCC’s largest and first pure-play listed residential leasing-focused REIT. With a diversified portfolio valued at over Dh21 billion, this milestone enables us to expand our impact, deliver sustainable unitholder returns, and continue shaping the future of urban living in Dubai,” said Malek Al Malek, group CEO of Dubai Holding Asset Management and chairman of the Investment Committee of DHAM REIT Management.
“The launch of Dubai Residential REIT, featuring a portfolio comprising 35,700 residential units and serving more than 140,000 residents across 21 vibrant communities, marks a significant expansion of our investment offerings. This Offering paves the way for a broader segment of investors to participate in Dubai’s dynamic real estate growth story,” he added.
For the financial results ending December 31, 2026 and thereafter, Dubai Residential REIT intends to distribute at least 80 per cent of profit for the period before changes in fair value of investment property for each accounting period.
Dubai Residential REIT is expected to be the GCC’s largest listed REIT with a gross asset value of Dh21.63 billion, almost double the combined GAV of the five largest REITs in the region.
It manages 35,700 residential units across Dubai, making it one of the largest residential real estate owners and operators in Dubai.
Among its tenants, 43 per cent are corporate and 57 per cent individual at the end of December 31, 2024.
