The UAE real estate market is set for significant growth in 2025
UAE Real Estate Market Gears Up for Growth in 2025
The UAE’s real estate market is poised for significant growth in 2025, fueled by an uptick in institutional investor activity. Analysts point to a notable transformation in the investor landscape, as highlighted by Matthew Green, Head of Research at CBRE MENA:
“Over the last year, we’ve observed a surge in institutional investors exploring opportunities in the UAE, Saudi Arabia, and the broader region as they seek promising new markets for capital deployment,” Green remarked.
This growing influx of institutional capital aligns with increased project financing, which is primarily supported by regional banks but also sees rising participation from international credit providers.
This shift suggests a move toward alternative financing models, with strategies like joint venture partnerships being deployed for speculative projects in premium office and industrial spaces, broadening the scope of institutional-grade assets.
Despite challenges such as high interest rates and liquidity concerns, the UAE’s financial stability continues to attract international investors:
“With global markets tightening, international investors are increasingly seeking higher yields, and the UAE remains a standout market in this regard,” Green explained.
