Abu Dhabi property draws record foreign investment in H1

Abu Dhabi's residential real estate market has experienced a record-breaking first half of 2026, with direct foreign investment surging by 309 percent year-on-year to reach Dh13.8 billion. This growth occurred even as the region faced geopolitical uncertainty. The Abu Dhabi Real Estate Centre (ADREC) reported the figures in July, covering a period marked by regional instability.

Experts expressed differing views on whether the momentum signals a lasting shift in demand or a temporary surge that could fizzle out. Louis Harding, Head of Residential at Knight Frank, dismissed it as a rebound, attributing the sales and price rise to real regional demand centered around a few master-planned locations. Andrew Laver, Director at Cavendish Maxwell Abu Dhabi, emphasized long-term fundamentals such as population growth, infrastructure, and economic diversification.

Rashed Al Omaira, Director General of ADREC, highlighted confidence in the emirate's development pipeline, noting that off-plan transactions accounted for 89 percent of residential sales value. The strong performance of Saadiyat and Yas islands, driven by their established amenities and controlled development, was cited as a key factor behind the price growth in apartments (20 percent) and villas (12 percent).