Dubai’s real estate market has continued its remarkable upward trajectory in Q3 2025, driven largely by a surge in off-plan sales and sustained investor confidence. According to Metropolitan Premium Properties (MPP), one of the UAE’s leading real estate agencies, off-plan transactions now account for 75.3 per cent of all property sales, reflecting a 26.4 per cent increase compared to the same period in 2024.

This surge underscores the growing confidence of both domestic and international investors in Dubai’s property market and highlights the city’s status as a global hub for real estate investment.

The total value of off-plan transactions reached Dhs96bn, while overall sales, including both off-plan and resale properties, climbed to Dhs134bn.

Apartments dominated off-plan activity, particularly in Jumeirah Village Circle (JVC) and Business Bay, which have become magnets for investors seeking strong rental yields and future capital appreciation. At the same time, waterfront developments such as La Mer, Jumeirah, and Dubai Water Canal commanded the highest average prices, underlining the continued appetite for premium, lifestyle-oriented properties among buyers.

Read more-From off-plan frenzy to suburban shift: 6 trends defining Dubai real estate

Several factors contributed to this off-plan surge. Limited-time discounts offered by developers, flexible payment plans, and higher agent commissions have made these properties particularly attractive to a wide range of buyers. These incentives encourage participation from both local and international buyers, further boosting sales and market momentum.

“Dubai’s off-plan sector continues to outperform expectations and remains a cornerstone of the city’s real estate momentum,” said Nikita Kuznetsov, CEO of Metropolitan Premium Properties. “Developers are responding with innovative projects and flexible payment structures that appeal to both international investors and local end-users. The sustained demand for off-plan apartments highlights growing confidence in Dubai’s long-term market fundamentals and its role as a global real estate hub.”

Off-plan projects are increasingly seen as gateway investments, allowing buyers to secure high-quality apartments in prime locations before completion. This approach benefits investors by mitigating initial entry costs while positioning them for future capital appreciation, aligning perfectly with Dubai’s broader strategy of offering a diverse real estate ecosystem that appeals to multiple buyer segments.

Resale market dynamics: Ready homes in demand

While off-plan properties dominate the market, Dubai’s resale segment presents a contrasting but equally important narrative. In Q3 2025, 84 per cent of resale transactions were for ready properties, with off-plan resales representing just 16 per cent. Despite a 10.7 per cent year-on-year decline in overall resale transactions, average prices rose 11.3 per cent to Dhs1,656 per square foot, reflecting strong demand from end-users seeking immediate occupancy and lifestyle convenience.

Villas continue to attract buyers seeking both luxury and immediacy. In Q3 2025, 97 per cent of villa resale transactions were for ready-to-move-in properties, highlighting a clear market preference for homes that are available for living rather than under construction. Resale prices per square foot jumped 18.7 per cent on the Palm Jumeirah, 20 per cent in Arabian Ranches 3, and 17.4 per cent in The Springs. Emerging districts also posted notable growth, with Town Square apartments increasing 25.1 per cent and Dubai South rising 18.8 per cent.

“We’re seeing clear market segmentation with off-plan dominating new supply and investor activity, while ready villas and townhouses are becoming increasingly limited and valuable,” Kuznetsov explained. “This dual strength across sectors reinforces Dubai’s position as one of the world’s most resilient and diversified real estate markets.”

Rental markets have also shown resilience, with average rates climbing 8.8 per cent year-on-year to Dhs83 per square foot, despite a slight 4.2 per cent decline in total rental transactions. This suggests longer lease durations and strong tenant retention, further strengthening the stability of the Dubai housing market.

This divergence between off-plan and resale markets illustrates a dual-track growth dynamic. Off-plan properties cater primarily to investors seeking future returns, while ready-to-move-in homes appeal to end-users seeking convenience and lifestyle flexibility. This duality enhances Dubai’s overall market stability, offering opportunities for both speculative investment and immediate occupancy.

Nakheel’s waterfront villas at Palm Jebel Ali

Dubai’s waterfront living continues to captivate investors, with Nakheel unveiling an exclusive collection of premium villas at Palm Jebel Ali. The development introduces 11 architecturally distinct villa styles across The Beach and The Coral Collections, designed to cater to discerning buyers seeking luxurious coastal living with direct beach access, a WAM report said.

The Beach Collection features five- and six-bedroom villas ranging from 7,500 to 8,500 square foot, including designs such as Cyan Sky, Cobalt Beach, Baia Luna, Wave Crest, Ocean Whisper, and Bluejay. Meanwhile, the Coral Collection offers six- and seven-bedroom villas spanning 11,500 to 12,500 square foot, including Red Aurora, Porcelain Roses, Redwood, Coral Dune, and Sunset Mirage.

“Palm Jebel Ali stands as a symbol of Dubai’s vision and enduring ambition,” said Khalid Al Malik, CEO of Dubai Holding Real Estate. “This latest release of villas reinforces Nakheel’s commitment to excellence in design, delivery, and community creation.”

The development is complemented by a 9,000 square metre retail centre and a Friday mosque designed by Skidmore, Owings & Merrill (SOM), capable of accommodating 1,000 worshippers. Spanning seven islands over 13.4 kilometres, with 16 fronds and over 90 kilometres of beachfront, the project represents a major new growth corridor aligned with the Dubai 2040 Urban Master Plan and Dubai Economic Agenda (D33).

This release highlights Dubai’s ongoing emphasis on holistic waterfront living, combining premium residences with retail, leisure, and cultural amenities. Buyers are drawn not only to the architectural beauty and beachfront access but also to the long-term investment potential of properties in master-planned luxury communities.

Aldar launches boutique lifestyle quarter in Abu Dhabi

In Abu Dhabi, Aldar Development has unveiled The Row Saadiyat, a boutique residential and lifestyle quarter situated in the Saadiyat Cultural District, home to iconic landmarks such as the Zayed National Museum, Louvre Abu Dhabi, and Guggenheim Abu Dhabi.

The development spans seven mid-rise buildings, each with nine floors, featuring one-, two-, and three-bedroom apartments designed by award-winning Kettle Collective. Ground floors are dedicated to F&B, wellness, and lifestyle concepts, creating an environment that seamlessly blends social vibrancy with private retreat spaces.

“The Row Saadiyat brings together the finest elements of contemporary design and cultural context to create something truly unique for Abu Dhabi,” said Jonathan Emery, CEO of Aldar Development. “The development embodies Aldar’s commitment to crafting communities that are globally relevant and deeply connected to their surroundings.”

By integrating cultural, residential, and retail elements, The Row Saadiyat exemplifies Abu Dhabi’s strategy to create communities that are both lifestyle-oriented and culturally connected. This approach appeals to buyers seeking premium residences in proximity to major cultural landmarks, offering both investment potential and unique lifestyle benefits.

Buddha-Bar hotel and floating residences on The World Islands

Dubai is also pioneering experiential luxury real estate with the launch of the Buddha-Bar Hotel and Floating Residences on The World Islands, a first for the region. The Dhs3bn project comprises 162 hotel keys, 24 floating residences, and the signature Buddha-Bar Beach, blending island living with immersive design and luxury hospitality.

The floating residences span three levels across 4,000 square foot, featuring rooftop decks with jacuzzis, sea-level living areas, and underwater bedrooms with views of coral gardens. Each residence can be furnished with Bentley Home collections, combining maritime glass, tactile woods, and veined stone to ensure the natural seascape remains the centerpiece.

“Partnering on the launch of the first Buddha-Bar Hotel and Floating Residences represents a defining moment for experiential real estate in the region,” said Mohamad Issa, Founder of Yieldhaüs. “Our mission is to connect discerning investors with projects that transcend traditional property and become living works of art.”

Completion is projected for 2027, promising a transformative luxury lifestyle that combines hospitality, wellness, and experiential design. The project underscores Dubai’s leadership in ultra-luxury, branded residential developments, appealing to investors seeking both exclusivity and long-term capital appreciation.

Emaar Hills: Dubai mansions redefine luxury living

Emaar continues to set benchmarks for ultra-luxury living with its Dubai Mansions at Emaar Hills, a AED 100 billion development featuring 40,000 high-end homes. The mansions, ranging from 10,000 to 20,000 sq. ft., are designed to deliver timeless sophistication, bespoke interiors, and integrated amenities.

The development combines golf, wellness, retail, and landscaped parks, creating a fully integrated community experience. Residents benefit from proximity to Dubai Hills Estate and Dubai Hills Mall, ensuring seamless access to lifestyle and retail offerings.

“Dubai Mansions represents the ultimate expression of refined living,” said Mohamed Alabbar, Founder of Emaar. “Every residence, every garden, and every pathway reflects an uncompromising attention to detail, creating a setting that embodies harmony, prestige, and a lifestyle that is unmatched anywhere in the world.”

Emaar Hills illustrates how master-planned communities can integrate premium residential offerings with lifestyle amenities, setting new standards for luxury property developments in the UAE.

Market outlook: UAE real estate remains resilient

From off-plan apartments in Dubai to luxury waterfront villas and cultural district residences in Abu Dhabi, the UAE’s property market demonstrates resilience, diversification, and record-breaking growth.

Investor confidence is being fueled by a combination of premium residential projects, lifestyle-led communities, and innovative architectural designs. Both Dubai and Abu Dhabi continue to benefit from infrastructure-led growth, proximity to cultural and lifestyle hubs, and a strong regulatory framework that supports domestic and international investment.

Experts predict that the next phase of market expansion will focus on premium waterfront developments, experiential hospitality-led residences, and mixed-use cultural communities, further reinforcing the UAE’s status as a global real estate hotspot.

“The UAE continues to offer unmatched investment opportunities, whether in luxury villas, cultural district residences, or landmark waterfront communities,” Kuznetsov emphasised. “Market fundamentals remain strong, driven by both investor appetite and end-user demand.”

With record transaction values, rising property prices, and ambitious new developments, the UAE property sector is well positioned to sustain its momentum well into 2026 and beyond. The market’s unique ability to balance investor-driven off-plan sales with end-user ready-home demand continues to make it an attractive destination for both international and domestic buyers.

Oil prices rose on Monday after US and Chinese economic officials sketched out a trade-deal framework, easing fears that tariffs and export curbs between the world’s top two oil consumers could dent global economic growth.

Brent crude futures rose 47 cents, or 0.71 per cent, to $66.41 a barrel by 0629 GMT. US West Texas Intermediate crude futures rose 44 cents, or 0.72 per cent, to $61.94, after rising 8.9 per cent and 7.7 per cent, respectively, in the previous week on US and EU sanctions on Russia.

Read more-Oil prices slip on concerns over US-China trade tensions

Haitong Securities said in a client note that market expectations have improved following new sanctions on Russia and the easing of US-China tension, countering concern about crude oversupply that had driven prices down earlier in October.

US Treasury Secretary Scott Bessent on Sunday said US and Chinese officials hashed out a “very substantial framework” for a trade deal which would allow President Donald Trump and President Xi Jinping to discuss trade cooperation this week.

Bessent said the framework would avoid 100 per cent US tariffs on Chinese goods and achieve a deferral of China’s rare-earth export controls.

Trump also said on Sunday he was optimistic about reaching an agreement with Beijing and expected to hold meetings in China and the United States.

“I think we’re going to have a deal with China,” Trump said. “We’re going to meet them later in China and we’re going to meet them in the US, either Washington or Mar-a-Lago.”

The trade-deal framework helps allay concern that Russia could offset new US sanctions, targeting Rosneft and Lukoil, by offering deeper discounts and using shadow fleets to lure buyers, said IG market analyst Tony Sycamore.

“However, if sanctions on Russian energy are less effective than expected, oversupply pressures could return to the market,” said Haitong Securities analyst Yang An.

Hilton announced it has surpassed 100 hotels trading and in the pipeline in Saudi Arabia, representing a combined investment of $8bn from hotel owners and investors, as the US hospitality group accelerates its expansion in the kingdom.

The announcement came ahead of the Future Investment Initiative (FII) in Riyadh, a global forum that brings together world leaders, policymakers, and investors to discuss international investment and economic trends.

Hilton said it plans to add more than 22,000 rooms across 14 brands as part of its growth strategy in the kingdom, creating more than 15,000 jobs, at least half of which will be filled by Saudi nationals.

“Saudi Arabia is witnessing incredible momentum, with travel at the heart of this transformation,” said Carlos Khneisser, Hilton’s vice president of development for the Middle East and Africa. “The kingdom welcomed a record 32 million tourists this summer, and we’re proud to be supporting this vision as the country works toward its goal of attracting 150 million visitors annually by 2030.”

Khneisser added that nearly two-thirds of Hilton’s Saudi pipeline is already under construction, underscoring the company’s commitment to expand into new regional cities and bring more brands to the local market.

Hilton: Luxury properties’ expansion

Hilton said it is strengthening its luxury portfolio in Saudi Arabia through new developments, including the Conrad Riyadh Laysen Valley, due to open in 2026. Other projects include a Waldorf Astoria and Conrad at The Avenues–Riyadh, a Waldorf Astoria in Diriyah Gate, and Madinah’s first Waldorf Astoria.

The company is also working with Rua Al Madinah Holding to open three hotels in the holy city of Madinah, including a Conrad property, and with Dan Co, a subsidiary of the Public Investment Fund (PIF), to develop an LXR agritourism resort in Al Ahsa.

Tempo brand to debut in 2029

Hilton’s lifestyle brand Tempo by Hilton will make its regional debut with the Tempo by Hilton Riyadh Al Narjis, expected to open in 2029 through a partnership with Al Theeb Hospitality. The 135-room hotel will be located along King Salman Road and will feature a café, restaurant, fitness room, and meeting spaces.

Hilton said the Tempo brand targets modern, wellness-focused travellers looking to maintain their routines on the go.

New signings across the kingdom

Hilton continues to expand into new Saudi cities with several upcoming projects. The Hijla Hotel Abha, Curio Collection by Hilton, is set to open in 2027, while DoubleTree by Hilton Riyadh Al Narjis and DoubleTree by Hilton Buraidah are expected in 2029 and 2028 respectively.

In Dammam, Hilton signed an agreement with Medokhil Group to develop Spark by Hilton Dammam, part of the company’s premium economy segment.

The company’s first Spark by Hilton in the Middle East, Spark by Hilton Makkah Aziziyah, is scheduled to open next year, alongside the Kingdom’s first Tapestry Collection property, Diyar Ajwa, Tapestry Collection by Hilton, in Madinah.

Hilton also announced new Curio Collection branded residences in Riyadh as part of the OSUS Eye development, and two Curio Collection resorts in Al Ahsa with Dan Co.

Hilton currently operates 21 hotels in Saudi Arabia, with 83 more under development, as it continues to align its growth with Saudi Vision 2030’s tourism and economic diversification goals.

How do you define innovation today in an age dominated by AI?

I think that innovation always unfolds in two phases. The first is the breakthrough phase — the invention of a transformative technology, like large language models in the last couple of years made huge progress in generative AI. This is when excitement builds, expectations rise, and there’s often hype — usually overhype. But then comes the second phase: application. This is when we move from fascination to real-world utility, when corporations, startups, and individuals learn how to apply the technology across industries, workflows, and daily life.

Right now, I believe we’re transitioning from the first phase into the second. The foundational models are already powerful, they can write, reason, create, and assist in numerous ways. But the real wave of innovation is just beginning – not in building better models, but in expanding the list of their applications and reimagining products, services, and experiences using them.

What makes the transition from foundation models to Agentic AI so important?

Foundation models are extraordinary at processing users’ input; they can write, translate, and create. Agentic AI introduces autonomy, allowing systems to reason, plan, and act on behalf of users in real life. Rather than offering ten options or giving a list of next steps to follow, an intelligent agent interprets intent, executes a series of steps, and delivers a result. Yango Group’s ecosystem works toward making life easier and more intuitive. For example, an AI system could help a user find a nearby restaurant, reserve a table, and arrange transport – all within one connected experience powered by a shared intelligence layer.

This shift is especially relevant in high-growth economies like the UAE, which have already invested heavily in AI infrastructure. Success in AI will increasingly depend on developing application-specific solutions that can seamlessly interact across systems, navigating multiple functions, making calls, and executing sequential, real-world actions.

How does localisation influence AI adoption at Yango Group?

For AI to work, it must first be understood linguistically, culturally, and socially. Yango Group designs products that adapt to each market instead of exporting one template worldwide. Yango Yasmina, a bilingual voice assistant tailored specifically for the Middle East, was trained on extensive Khaleeji Arabic data, refined by regional linguists to be authentic. This localisation philosophy aligns with the global trend of nationalisation of technology, where over 60 countries have introduced national AI strategies to promote sovereignty and data protection. By investing in local data infrastructure and regional expertise, Yango Group ensures that innovation feels native rather than imported.

How do the UAE’s AI policy and regulation frameworks shape Yango’s work?

The UAE’s frameworks encourage responsible experimentation. There is an ecosystem where companies can innovate confidently, knowing the guardrails are clear and credible.

From the National AI Strategy 2031 to the Charter for the Development and Use of AI and the Ethical AI Toolkit, each initiative emphasises accountability, transparency, and human-centric design. Yango Group experienced this first-hand when it earned the Dubai AI Seal Tier S certification, a rigorous benchmark assessing safety, privacy, and governance in AI. Beyond validation, the certification unlocks access to government projects and wider participation in Dubai’s AI-driven economy. Such frameworks are vital in an era when cyber risks grow alongside innovation — global cybercrime costs surpassed $9tn in 2024, while the Middle East recorded its highest breach costs in a decade. With this in mind, we value the UAE’s transparent policies and regulatory frameworks that support innovation while ensuring accountability in the sector.

Beyond business efficiency, how do you see AI contributing to community life?

AI is quietly becoming part of everyday life in the UAE, so much so that 97 per cent of residents now use it in some form. From getting groceries delivered to finding the fastest route home, technology is no longer just about efficiency; it’s about enriching how people live, connect, and even have fun.

In Dubai, Yango Group’s use of autonomous delivery robots is a glimpse of how AI can improve daily living, reducing traffic, saving time, and supporting the city’s goal to build smarter, more sustainable communities. When innovation focuses on people, it improves the rhythm of city life and strengthens the sense of connection that defines the UAE’s progress. But its impact goes beyond convenience.

AI is also bringing a ton of creativity and entertainment into everyday life. From generating and improving images to possibly turning a simple idea into a short animated story, there are dozens of ways AI can be used to entertain and spark creativity in us.

This is the power of AI. It doesn’t just optimize one thing, it enhances many, quietly adding innovation into the rhythm of daily life.

Looking ahead, what defines the next phase of AI?

I believe the next phase of AI won’t just be about enhancing existing products but about reimagining them from the ground up. We’re moving beyond simply adding AI as a feature. The real transformation lies in building entirely new experiences where AI is not just a tool, but the foundation.

This means rethinking workflows, interfaces, and user expectations. Many traditional processes will become obsolete, and not partially, but entirely, replaced by intelligent, agentic AI that anticipate needs, act autonomously, and adapt in real time. The future belongs to services designed for the AI era, not enhanced with AI but rebuilt from scratch to unlock capabilities we couldn’t achieve before.