People walk towards Bluewaters Island, one of the developments in Dubai Residential REIT’s $5.7bn portfolio
Dubai Holding to Launch Residential REIT IPO on Dubai Stock Exchange, Defying Investor Caution
Dubai Holding has announced plans to list its residential real estate investment trust (REIT), stepping past regional scepticism toward such investment vehicles and marking the first initial public offering (IPO) on the Dubai Financial Market (DFM) in 2025.
The conglomerate, owned by Sheikh Mohammed bin Rashid Al Maktoum, the ruler of Dubai, stated on Monday that it intends to offer 12.5 percent of its Dubai Residential REIT on the DFM before the end of the month.
This IPO—set to raise capital through the sale of 1.63 billion shares—will be the year’s debut public listing on the DFM.
The announcement comes amid generally lukewarm investor interest in REITs across the region. For instance, Emirates REIT, which listed on Nasdaq Dubai in 2014 at $1.36 per share, was trading at $0.50 on Monday, reflecting a drop of over 63 percent.
ENBD REIT, managed by Emirates NBD Asset Management, has also faced a significant downturn, having lost more than half its value since its 2017 IPO.
“We are well aware of the current perception surrounding REITs in this region,” said Malek Al Malek, CEO of Dubai Holding Asset Management. “However, we see a mature market in the residential space, offering a strong investment case.”
REITs are structured to give individual investors access to high-value real estate portfolios.
The Dubai Residential REIT oversees 35,700 housing units with a combined valuation of AED21 billion ($5.7 billion), located across landmark developments such as City Walk, Bluewaters, Meydan Heights, and International City. The trust generated AED1.8 billion in revenue in 2024.
Dubai Holding claims this REIT will be the largest residential REIT in the GCC, eclipsing the combined portfolios of Emirates REIT, ENBD REIT, Al Mal Capital REIT, Riyad REIT, and Jadwa REIT Al Haramain Fund.
The IPO is being managed by Emirates NBD Capital, with Morgan Stanley and Citigroup Inc. serving as joint advisors.
Dubai’s real estate sector continues to show strength despite global economic uncertainties. Transaction volumes have hit AED114.08 billion so far this year—an increase of nearly 33 percent compared to the same period in 2024, according to data from Springfield Properties. The total number of transactions surged 23 percent year-over-year, reaching 42,269.
Al Malek noted that he expects this momentum to continue, driven by population growth—currently over three million people—as well as business-friendly reforms and long-term residency programmes.
Dubai Holding, which integrated major subsidiaries Nakheel and Meydan into its portfolio in March 2024, intends to use IPO proceeds to support new projects and acquisitions. Al Malek mentioned Jebel Ali and Al Barsha as potential areas for future development.
The company is also considering additional listings. In 2022, it secured AED1.7 billion through the IPO of TECOM Group, its business park and commercial real estate division. There is speculation that Dubai Holding may package its shopping malls and other commercial properties into a new entity for public listing.
“Reviewing and evaluating our various business lines is an ongoing part of our strategy,” Al Malek added. “Should these reviews result in IPOs or other investments, we will announce them accordingly.”
