Sustained recovery: Positive outlook for UAE real estate will drive new projects

Sustained recovery: Positive outlook for UAE real estate will drive new projects

- Off-plan sales are driving new projects as existing stock does not satisfy demand

- Existing masterplanned projects are reaching completion and in the medium term the market will pivot to major new development areas that will drive the long-term growth of the market

- Waterfront development and the aerotropolis at Dubai South are key areas of focus for long-term development

- Banks have supported major transactions with developers as they advance major projects

UAE: The UAE’s real estate sector will continue to perform strongly over the coming years and master developers will respond by launching new projects to satisfy demand.

Real estate in the UAE has gone through a dramatic transformation over the past three years. The sector initially benefitted from the government’s effective management of the Covid-19 pandemic, and since then the market has gone from strength to strength as demand remains strong and prices continue to increase.

“What we are now also seeing is inventories being sold out, and that is probably the story of the day at the moment as it means future demand is now being met by off-plan sales,” says Cyril Lincoln, Executive Vice President, Global Head of Real Estate Finance & Advisory, Mashreq.

The reinvigorated real estate market means legacy