Abu Dhabi's real estate sector attracted a record Dh1.81 billion ($493 million) in foreign direct investment in the first quarter of 2024, as demand for property continues to rise in the UAE capital.
As many as 487 investors, from source markets including India, Russia, Canada, the UK, Jordan and China, significantly increased their investments compared to the previous year period, state-owned Wam reported, citing data from Abu Dhabi Real Estate Centre.
The performance highlights the growing attractiveness of the sector to international investors, Rashed Al Omaira, acting director general of Adrec, said.
“The robust growth on show offers encouraging signs for the remainder of 2024, and Adrec stands ready to provide seamless services and support to all stakeholders connected to Abu Dhabi’s globally competitive real estate sector,” Wam quoted Mr Al Omaira as saying.
Abu Dhabi's real estate sector saw transactions totalling Dh19.4 billion in the first quarter, spanning across 6,070 deals.
Of this, Dh12.8 billion came from sales and purchases, accounting for 66 per cent of the total volume with 3,724 transactions. Mortgage transactions amounted to Dh6.6 billion from 2,328 deals.
Launched in November by the Department of Municipalities and Transport, Adrec aims to accelerate growth across the real estate ecosystem in the emirate.
It aims to unify and strengthen the real estate sector in the UAE’s capital through a regulatory framework to boost the efficiency of industry, increase transparency, and provide support for residents, investors and real estate companies.
The property and construction market in the UAE is expanding, driven by initiatives to support economic diversification and increased infrastructure spending to attract foreign direct investment.
According to a report by Mordor Intelligence, the country's construction market is projected to grow from $41 billion in 2024 to over $50.4 billion by 2029.
The ValuStrat Price Index, which tracks changes in property values, increased by 4.2 per cent annually for Abu Dhabi in 2023. The emirate recorded 2,238 off-plan sales transactions last year, accounting for 75.1 per cent of total sales and reflecting a 39.4 per cent rise from the same period in 2022.
For a detailed perspective on the property market, visit: Abu Dhabi - Real Estate Review Q1 2024
