Dubai’s World Islands will host the Middle East’s first Buddha-Bar Hotel and Floating Residences, a AED3 billion project that adds fresh momentum to the artificial archipelago’s long-awaited revival.
The development, announced by Buddha-Bar Real Estate Development and managed exclusively by Dubai-based firm Yieldhaüs, will feature a 162-room hotel, 24 floating residences and a Buddha-Bar Beach venue. Construction is expected to be completed in 2027.
“For the first time, the Buddha-Bar concept is being brought to an island setting,” said Nabil Souhail, Vice President of Buddha-Bar International. “This project combines our brand’s focus on music, mood and design with a new standard of hospitality.”
The floating residences will span roughly 4,000 square feet across three levels and accommodate up to eight guests. Each unit will feature a rooftop terrace with a jacuzzi, a sea-level lounge and underwater bedrooms overlooking coral gardens. The hotel will also include a full floor of branded residences, a spa and Pacific Rim-inspired dining venues.
Yieldhaüs founder and CEO Mohamad Issa described the project as part of Dubai’s next wave of experience-led developments.
“Dubai has long been a global stage for architectural ambition, but what truly sets this project apart is how it redefines experiential living,” Issa told Arabian Business. “It is where hospitality meets high-end real estate, and where architecture and culture come together in a new way for the region.”
The Buddha-Bar Hotel and Floating Residences join a growing pipeline of high-end projects on The World Islands as new capital and developer interest return to the cluster after years of dormancy.
Once billed as one of Dubai’s most ambitious real estate projects, The World Islands lay largely undeveloped for over a decade following the 2008 financial crisis. But ultra-high-net-worth investors from Europe, Asia and the Gulf have recently revived interest, driving what experts have described as the first sustained wave of activity since reclamation.
Listings show island plots and villas priced from around AED50 million to AED125 million, while entire islands can command up to AED588 million. Developers say scarcity and exclusivity have become key drivers of demand.
“When The World Islands was first announced, it was seen as pure Dubai ambition,” said Ben Bandari, CEO of Benco and DevCore, in a previous interview with Arabian Business. “Now they’re viewed as ultra-exclusive opportunities that simply don’t exist anywhere else.”
Projects already underway include Amali Properties’ ultra-luxury villas on Sao Paulo and Uruguay Islands, which sold out within weeks of launch last year, and Kleindienst Group’s $6 billion Heart of Europe, comprising 20 themed hotels. That project alone represents about 10 per cent of Dubai’s five-star hotel inventory, according to data from the Department of Economy and Tourism.
The Buddha-Bar project, first announced at the Arabian Travel Market in April 2025, is among several branded developments breathing life back into the islands. It will join a growing roster of international concepts, including the voco Monaco hotel and the forthcoming Portofino family resort.
Founded in Paris in 1996, Buddha-Bar began as a restaurant brand and has now turned into a global hospitality name spanning hotels, beach clubs and lounges in cities such as Paris, Prague, Mykonos and Abu Dhabi.
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