Dubai Islands recorded AED6.1bn ($1.66bn) in property sales during the first half of 2025, confirming its status as one of Dubai’s fastest-growing waterfront destinations and a key contributor to the emirate’s record-breaking real estate performance.
According to Betterhomes Research, total transactions across Dubai reached AED262bn ($71.37bn) in H1 2025 — the strongest half-year on record.
Within that, Dubai Islands alone saw 1,936 transactions, positioning it among the city’s most active and sought-after coastal communities.
Dubai Islands real estate sales
Apartments accounted for the majority of activity, with 1,895 sales worth AED5.63bn ($1.53bn) and an average price of AED2.9m ($790,000).
Villas also showed strong momentum, with 28 transactions averaging AED15m ($4.08m) per villa, while six-bedroom homes averaged AED44.4m ($12.09m).
Average residential pricing in the neighbourhood reached AED2,340 ($637) per sq ft, compared with AED3,000+ ($817+) per sq ft on Palm Jumeirah — offering relative price efficiency and strong growth potential for investors.
Coastal communities
Coastal communities, including Dubai Islands, are already outperforming on yields and appreciation.
Premium waterfront areas across the emirate recorded 12 to 15 per cent annual price growth by June 2025, highlighting Dubai Islands’ potential for above-market returns, especially for early investors.
Wassim Abdallah, Director of Development Sales and Consultancy at Betterhomes, said: “Dubai Islands combines a premier waterfront setting with practical city access and a pipeline of branded hospitality and lifestyle assets.
“That together is drawing both end-users who want a resort-style daily life and investors who prioritise yield resilience and capital growth.”
Nakheel strategy
Backed by Nakheel and aligned with the Dubai 2040 Urban Master Plan, Dubai Islands spans 17sqkm and features 20km of beachfront across five interconnected islands.
The development blends luxury residences, hotels, retail, leisure, and cultural districts — all minutes from Dubai International Airport.
Planned RTA bridge enhancements will further streamline access for residents and visitors.
Anchored by Nakheel as master developer, Dubai Islands is expanding with a mix of hospitality-led and residential projects that enhance its destination appeal.
Operational landmarks already include:
- Rixos Dubai Islands Hotel and Residences
- Hotel Riu Dubai
- Centara Mirage Beach Resort Dubai
As infrastructure phases progress, new low- to mid-rise beachfront neighbourhoods will deliver upgraded community amenities, marina precincts, and cultural and retail hubs — creating a fully integrated lifestyle ecosystem.
For residents, the development offers a resort-style daily life with long beachfronts, pedestrian promenades, and close connectivity to Deira, Old Dubai, and DXB Airport.
For investors, the development presents three compelling advantages:
- Waterfront scarcity within a highly regulated, globally connected market
- Price efficiency versus mature peers such as Palm Jumeirah
- Integration of branded hospitality, driving rental performance and yield stability
With H1 2025 data showing premium price-per-square-foot benchmarks and strong sales volumes, the development represents an attractive entry point for both yield and long-term capital appreciation.
What’s next?
More than 10,700 residential units are currently under construction across multiple developers, with more expected as the islands evolve.
Upcoming phases will introduce a new wave of flagship residential and lifestyle projects, broadening choice for buyers and reinforcing Dubai Islands’ role in the city’s next growth phase.
As infrastructure advances and community amenities expand, the area continues to strengthen its position as Dubai’s next fully connected waterfront hub — offering early investors a prime opportunity to secure long-term value in a globally recognised destination.
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