The company is offering 1.625 billion units as part of the IPO on Dubai bourse
Dubai Holding to Launch IPO for Dubai Residential Reit on Local Bourse
Dubai Holding, a diversified global investment entity, is set to list its Dubai Residential Reit—a Sharia-compliant, income-producing real estate investment trust—on the Dubai Financial Market, marking the first IPO in the emirate this year.
This development aligns with the ongoing surge in Dubai’s property sector. Dham Investments, a fully owned unit of Dubai Holding, is offering 1.625 billion units (representing 12.5% of Dubai Residential Reit) to the public through an IPO on the DFM, according to a statement issued Monday.
The subscription window for the IPO will run from May 13 through May 20, with the Reit anticipated to commence trading around May 28. The final offer price will be disclosed on May 21.
Ninety per cent of the units will be allocated to institutional and professional investors, with the remaining 10 per cent offered to retail and other individual investors.
Post-IPO, Dham Investments will continue to hold 87.5 per cent of the total issued capital of the Dubai Residential Reit.
“The launch of this IPO represents a strategic milestone, giving investors access to the GCC’s largest and first pure-play residential leasing Reit to be publicly listed,” stated Malek Al Malek, Group CEO of Dubai Holding Asset Management and Chairman of Dham Reit Management’s investment committee.
“With a diverse portfolio exceeding Dh21 billion in value, this listing allows us to broaden our reach, generate sustainable returns for our shareholders, and contribute to the transformation of urban living in Dubai,” he added.
Dubai Residential Reit Portfolio Overview
Dubai Residential Reit currently oversees 35,700 housing units spread across 21 locations such as City Walk Residences, Bluewaters Residences, The Gardens, Al Khail Gate, and International City. The total portfolio value stands at Dh21.6 billion ($5.88 billion), which nearly doubles the aggregate value of the region’s top five Reits.
The Reit intends to distribute dividends in two installments—one in September and another in April 2026—amounting to either Dh1.1 billion or 80% of net profit for the year ending December, whichever is higher.
This announcement comes as Dubai’s real estate sector continues its strong performance, fuelled by robust buyer interest. Government-led initiatives such as retirement and remote worker residency programs, expansion of the 10-year Golden Visa, and the UAE’s broader economic diversification have all contributed to the market’s momentum.
In Q1 2025, Dubai recorded 111 home sales valued at over $10 million, a 5.7% annual increase, totalling $1.9 billion, according to Knight Frank.
A growing population has also underpinned demand. By March-end, Dubai’s population had reached 3.92 million, with 89,695 new residents arriving in the first quarter—averaging nearly 1,000 people daily.
ValuStrat reported that Dubai’s population grew by 170,478 in 2024, with a daily average of under 500 new residents.
Al Malek emphasized that the firm intends to leverage positive market trends with a strategic roadmap designed for long-term growth. This includes launching new developments and acquiring additional assets.
Future IPOs Under Consideration
Dubai Holding has plans to bring more of its companies to the market, Al Malek noted. “This is an ongoing strategy for us. Whether it leads to IPOs or other types of investment activities will depend on internal decisions, which will be announced when the time is right,” he said without detailing further.
Bloomberg News reported that Dubai Holding may also list a separate commercial property portfolio, comprising malls and other commercial real estate assets. Dubai Holding previously listed Tecom Group in 2022.
Strong IPO Activity in the Region
The UAE has experienced a wave of IPOs in recent years, as the region’s second-largest economy continues to expand and diversify.
Last year, seven companies went public in the UAE, including Lulu Group, Talabat Holding, NMDC Energy, ADNH Catering, and Alef Education. According to PwC, these accounted for $6.2 billion or 47 per cent of the total IPO proceeds in the Gulf.
The year 2024 set a new record for IPOs in the Gulf, with 53 public listings raising a total of $13.2 billion, the PwC report added.
UAE stock exchanges are projected to host six to eight IPOs this year, potentially raising as much as $10 billion in capital, driven by strong investor interest, according to Hitesh Asarpota, CEO of Emirates NBD Capital.
Dubai Investments, which is partly owned by the Investment Corporation of Dubai, is also planning to list some of its subsidiaries, as per its CEO Khalid bin Kalban.
