Abu Dhabi plans to deliver 8,000 new residential units by the end of the year as solid demand pushes property prices and rents higher, real estate consultancy Cavendish Maxwell said on Thursday.
The firm said a further 12,800 homes are scheduled for handover in 2026, although actual deliveries may fall short of projections based on historic trends. About 2,700 apartments, villas and townhouses were completed in the first nine months of 2025.
Abu Dhabi also has 12,400 homes planned for 2027 and 21,400 for 2028, but handovers are likely to be staggered to prevent sudden increases in stock, the consultancy said.
“Based on recent handover trends, we could see fewer than planned properties being delivered in the next couple of years,” said Andrew Laver, Associate Director at Cavendish Maxwell in Abu Dhabi. “This staggered approach allows the market to absorb new supply gradually and prevents sudden increases in available stock.”
Off-plan sales dominate Abu Dhabi market
Sales activity remained strong in the third quarter, with more than 6,400 residential transactions recorded across apartments, villas and townhouses. Off-plan deals dominated the market, with apartment sales accounting for about 5,100 transactions as young professionals and smaller families continued to drive demand.
Villas and townhouses saw an 8.3 per cent increase in sales from the previous quarter and a slight 0.3 per cent rise year on year, with limited new launches pushing some buyers towards apartments.
Total sales value reached AED20.5 billion in the July to September period. Off-plan purchases accounted for AED16.3 billion.
Average apartment prices rose nearly 15 per cent year on year in Q3, with Yas Island and Al Reem Island recording the biggest gains. Villa prices rose by just under 12 per cent, led by Yas Island and Saadiyat Island.
Rents also increased. Apartment rents climbed by an average of 14.2 per cent, reaching up to 25 per cent growth on Yas Island. Villa rents rose 5.1 per cent on average.
Laver said the market continues to benefit from strong investor appetite, economic diversification, population growth and the rising appeal of large master planned communities.
“Looking ahead, the market is expected to remain resilient,” he said. “We expect to see both sales and rental prices rise further in the near term, although the pace of growth will vary depending on location as new supply enters the market.”
The findings are part of Cavendish Maxwell’s Q3 2025 Abu Dhabi Residential Market Performance report.
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