Salik Company reported a 39.5 per cent year-on-year increase in revenue to Dhs1.53bn for H1 2025, driven by new gates and the rollout of variable pricing.

EBITDA rose 44.2 per cent in the six-month period to Dhs1.07 bn, with an EBITDA margin of 69.7 per cent, the company said in a statement last week.

Net profit was Dhs770.9m, a 41.5 per cent rise.

Revenue in the second quarter alone climbed 45.6 per cent.

Salik performance boosted by two new toll gates

The performance was supported by two new toll gates introduced in November 2024 and the launch of variable pricing at the end of January 2025, with Q2 2025 marking the first full quarter of the new system.

Salik’s tolling business recorded 318.4 million chargeable trips in H1 2025, including 160.4 million trips in Q2, up 1.6 per cent from 158.0 million in Q1.

The company noted that Q1 is typically a stronger period, with traffic also redistributed during Ramadan.

In view of the results, Salik’s board recommended a cash dividend of Dhs770.9 m, equivalent to 10.278 fils per share, representing 100 per cent of H1 2025 profit.

Read: Salik signs deal with ENOC to enable smart payments at fuel stations

In a groundbreaking move to open up its real estate sector, Saudi Arabia’s Cabinet has approved the use of digital identification for non-resident, non-Saudi foreigners to own property in the country.

The decision comes as part of broader efforts to implement the non-Saudi Real Estate Ownership Law, which will come into effect in January 2026, a Saudi Gazette report said.

Read-Foreigners owning property in Saudi: The rules you need to know

To support the rollout, the General Real Estate Authority will work with the Ministry of Interior, the Saudi Data and Artificial Intelligence Authority (SDAIA), the National Information Center, and other relevant entities to activate and regulate the digital ID mechanism.

Governance overhaul and committee formation

The cabinet also backed governance measures proposed by the Strategic Committee of the Council of Economic and Development Affairs, which include forming a specialised committee within the Real Estate Authority to oversee non-Saudi ownership and usufruct rights.

Additionally, the board of the General Real Estate Authority has been restructured, now chaired by its CEO and composed of representatives from various ministries, government entities, and three members from the private sector.

Key requirements for foreign buyers

In July, the Cabinet formally approved the non-Saudi Real Estate Ownership Law. Just last month, draft executive regulations were published, laying out the conditions for non-resident ownership.

To qualify, foreign buyers must activate a digital ID via the Absher platform, open a Saudi bank account, and obtain a local contact number, setting the stage for a more accessible property market for global investors.

The UAE is witnessing an exceptional summer tourism season, drawing in residents and international visitors with a vibrant mix of cultural, heritage, and entertainment offerings across its seven emirates. Despite the intense summer heat, the country has successfully positioned itself as a year-round destination thanks to innovation, safety, and world-class hospitality.

Read-How AI is powering UAE travel in 2025: More bookings, less fraud

The UAE’s success in transforming the typically slow summer travel period into a thriving tourism window is underpinned by robust promotional campaigns, attractive hotel packages, seasonal discounts, and expansive indoor entertainment options, a WAM report said.

Soaring numbers, strategic planning

According to WAM data, the hotel occupancy rates across the UAE have climbed to between 60 per cent and 70 per cent during July and the first half of August, a strong indicator of growing demand. The increase is seen as a direct result of government efforts to build smart tourism infrastructure, enhance visitor experiences, and promote the UAE as a safe and inclusive destination.

Sheikh Dr Saeed bin Tahnoon bin Mohammed Al Nahyan confirmed that the country is enjoying a “distinguished summer tourism season,” crediting the UAE’s modern infrastructure, cultural openness, and exceptional public services for its growing global appeal.

He attributed this progress to the vision of the UAE leadership, led by the President Sheikh Mohamed bin Zayed Al Nahyan, whose policies emphasise innovation, security, and quality of life for both citizens and visitors.

Festival of experiences

All across the UAE, cities are buzzing with summer events that offer a balance of tradition and modernity. Family-friendly festivals, shopping promotions, and cultural showcases have become key attractions for both regional and international travelers.

In Abu Dhabi, highlights included the 21st Liwa Dates Festival, which drew nearly 144,685 visitors, alongside the Historic Dalma Race Festival, and the 6th IMMAF Youth World Championships, where over 1,000 athletes from 60 countries competed.

Dubai’s Summer Surprises, running until August 31, features an exciting mix of shopping, raffles, entertainment, and live performances, appealing to a wide audience of all ages and nationalities.

Meanwhile, Sharjah’s Summer Promotions have added a commercial boost to the season, attracting residents and tourists with family-centric events and retail experiences that reflect the emirate’s cultural identity.

Safety first, always

One of the UAE’s strongest tourism pillars is its unwavering commitment to safety and public well-being. The nation consistently ranks high in global indices for personal security and community satisfaction. This reputation reassures families and international travelers alike, encouraging longer stays and repeat visits.

Sheikh Dr Saeed stressed that the UAE’s appeal lies in its ability to offer peace of mind. “From nightlife to intercity travel, the sense of security is unmatched,” he said. “It’s a destination where people from all cultures feel welcome, respected, and safe.”

This sense of comfort is further enhanced by smart infrastructure, reliable public services, and efficient connectivity across all emirates.

Looking ahead: A sustainable tourism vision

The UAE’s summer tourism momentum aligns with its broader vision for sustainable development. Authorities continue to invest in intelligent systems, eco-friendly initiatives, and inclusive programming to ensure long-term tourism growth that benefits both the economy and society.

With its unique blend of heritage, innovation, and hospitality, the UAE is proving that even the hottest months of the year can deliver cool, memorable experiences.

Proptech platform PRYPCO has partnered with Ovaluate, billed as the world’s first AI-driven Automated Valuation Model (AVM) platform, to launch what they say is the first instant valuation engine for fractional real estate.

The tool, integrated within PRYPCO Blocks, the Dubai Financial Services Authority (DFSA)-regulated fractional ownership platform, enables investors to obtain valuations for both fractional and full ownership properties in 10 seconds.

Ovaluate’s AVM system draws on real-time data and global valuation standards to produce regulator-approved, transparent and unbiased reports.

“Fractional ownership has transformed real estate investing, and trust depends on valuations that are accurate, transparent, and fast. With Ovaluate’s AI-driven valuation technology integrated into PRYPCO Blocks, every investor now gets instant, data-backed insights,” said Amira Sajwani, founder and CEO of PRYPCO. “It’s about levelling the playing field, strengthening market transparency, and reinforcing Dubai’s leadership in PropTech innovation.”

PRYPCO collab to bring in new era of real estate investment, says Ovaluate CEO

Ovaluate founder and CEO Omran Yousef said the partnership marked “a new era of real estate investment, where technology and transparency empower every investor.”

PRYPCO Blocks, launched with the aim of making premium regulated property investment accessible globally, offers entry from Dhs2,000 and has attracted investors from over 200 countries.

The addition of Ovaluate’s AI tools gives retail users access to valuation capabilities typically reserved for institutional investors, the companies said.

Read: Dubai shoppers can now turn loyalty points into property investments

Short-term rentals, fueled by platforms like Airbnb and Vrbo, are becoming more prevalent. The rapid rise in demand for such rentals has sparked a debate among property owners, investors, and policymakers. Based on a recent report by AirDXB, the short-term rental market in Dubai has experienced significant growth, with average daily rates increasing by 30 per cent year-over-year in the second quarter of 2024.

So could the short-term rental boom put the long-term value of Dubai’s property market at risk?

The rise of short-term rental properties in Dubai

The city’s favorable climate, luxurious amenities, and year-round tourism draw millions of visitors annually, providing a steady stream of demand for temporary accommodation. For property owners, offering a home on short-term rental platforms is an appealing way to capitalise on the influx of tourists.

Recent data from AirROI shows that the average yearly income for Airbnb hosts in Dubai exceeds $25,000, with the highest-performing units bringing in over $2,000 per month; approximately $300 a day.

Recognizing these lucrative trends, investors are increasingly entering the market to meet rising demand and capitalise on the substantial returns that short-term rentals can yield. In areas like Downtown Dubai, figures from TRPE Real Estate suggest that hosts can potentially achieve annual incomes within the Dhs80,000 to 300,000 range.

Impact on long-term property value

According to Airbtics, a short-term rental property in Dubai is typically booked for 255 nights per year, boasting an average occupancy rate of 70 per cent and an average daily rate of Dhs620. While these figures reflect strong market performance, they also highlight the sector’s vulnerability to external factors such as economic downturns and shifts in tourism trends. Frequent turnover in short-term rentals can disrupt community cohesion and contribute to security issues, and poor maintenance making areas less appealing to long-term residents.

The flexibility of converting properties from long-term rentals to short-term options introduces instability in the market, deterring long-term investors seeking stable returns. Short-term rentals have seen a dramatic increase in demand, especially in areas like Downtown Dubai, Dubai Marina, and Palm Jumeirah.

Blue Breeze reports that a holiday home in Dubai Marina can yield between Dhs 20,000 and 25,000 per month during peak seasons, while during off-peak periods, earnings typically range from Dhs2,000 to 15,000 per month. In contrast, the same property under traditional rental agreements would generate a consistent Dhs12,000 per month, with little room for rate increases due to rental regulations. This growing reliance on short-term rentals can contribute to stagnation in property values and increases the risk of devaluation during economic downturns.

Regulatory concerns and long-term outlook

Dubai’s government has been proactive in introducing regulations to govern short-term rental platforms, aiming to curb potential negative impacts. In 2021, the Dubai Department of Economy and Tourism (DET) mandated that all short-term rental operators obtain a holiday home license to legally rent properties on platforms like Airbnb and Vrbo. This process requires property owners to register their properties, submit necessary documents, and pay applicable fees. The license is valid for one year, and must be renewed annually.

According to the DET, owners are required to collect a tourism dirham fee of Dhs10-15 per room per night, depending on the property’s classification.

However, some critics argue that the regulations are not stringent enough to counteract the long-term risks. Recent data from the Global Property Guide reveals that residential rental prices in Dubai increased by 16.85 per cent year-over-year in November 2024. Villa rents saw a rise of 12.92 per cent, while apartment rents grew by 17.36 per cent.

The shift towards a “sharing economy” model in Dubai may inadvertently lead to a reduction in the overall housing supply, especially in areas where luxury properties are converted into short-term rentals. Short-term rentals can push up property prices and rents in the long run, putting pressure on local residents and businesses who depend on affordable long-term housing.

As Dubai’s property market evolves, the key challenge will be balancing short-term rental growth with long-term housing stability. The UAE’s unique regulatory approach could help mitigate these risks, but stricter enforcement may be required to avoid further market distortion. Integrating more affordable housing options and expanding long-term residential developments could help counterbalance the shift toward short-term rentals.

Thw writer is the executive director, TownX.