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Dubai’s new land law to spur strategic property market growth, boost foreign investment: Experts

The initiative will also elevate Dubai’s position as one of the world’s most investable cities, as it will help in instilling long-term market confidence among global investors

Dubai 2040 Urban Master Plan
The law aims to align land allocation with the Dubai 2040 Urban Master Plan, as well as streamline distribution, ensure efficient use of government plots, and provide public entities with the land needed to carry out their mandate. Image: Shutterstock

The recently announced new Dubai land law on allocation and management of government land plots to public entities will herald a major shift from fast-paced to foresight-led growth in the emirate’s real estate sector, experts said.

The move, aimed to act as a template for how Dubai will manage its future urban growth plans, will also elevate its position as one of the world’s most investable cities as it will help in instilling long-term market confidence among global investors, they said.

The emirate’s latest legislation – Law No. (6) of 2025 – grants Dubai Municipality the authority to evaluate, approve and reclaim government-owned land assigned to federal and local public entities.

The initiative is widely seen as aimed to streamline the distribution process, ensure efficient use of government land, and align land allocation with the Dubai 2040 Urban Master Plan.

Farooq Syed, CEO of Dubai-based Springfield Properties, said the initiative is a strong step forward in urban governance.

“It reflects the kind of strategic oversight that global investors value – where growth is guided by vision, supported by policy, and built for long-term sustainability,” Syed told Arabian Business.

Sankey Prasad, CMD of Colliers India & Middle East, said the move will help investors, developers, and residents alike, as it reinforces confidence in Dubai’s vision of becoming a model city where growth is sustainable, infrastructure is future-ready, and land is managed with precision.

“It’s not just a legal shift; it’s a philosophical one that underscores Dubai’s role as a global leader in urban innovation,” Prasad told Arabian Business.

Industry players hailed the new law as a win-win for all – for developers, it unlocks greater predictability, for investors, it signals maturity and for the broader economy, it reinforces Dubai’s long-term resilience.

Land law shifts Dubai’s strategy

Sector experts said the new land law marks a decisive shift in Dubai’s approach to land management, reinforcing its long-term commitment to planned, sustainable urban expansion.

With public land now governed under a stricter policy lens, the move reaffirms the emirate’s ambition to align infrastructure, services, and development in a single, coordinated strategy, they said.

Angad Bedi, CMD, BCD Group, an India-based global real estate company with a major presence in the UAE and the wider Middle East, said Dubai’s move to enact a new land law illustrates a maturing real estate ecosystem – one that recognises the strategic value of land as a public asset.

“This law reframes land not just as a commodity, but as a cornerstone of civic planning and environmental responsibility,” Bedi told Arabian Business.

“With tighter oversight on public land use, Dubai is positioning itself to prevent urban sprawl, optimise resource allocation, and enhance liveability for future generations,” said the chief executive of BCD Group, which also has operations in Saudi Arabia and Iraq, and plans further expansion in GCC and the wider region.

Syed said while Dubai has long been celebrated for its ambitious urban expansion, the new land law ensures that the pace of development is now even more tightly aligned with public infrastructure and services.

“It reflects a clear shift: from fast-paced to foresight-led growth,” he said.

Syed said that by centralising land allocation decisions under Dubai Municipality and tying them to verifiable public need, the law strengthens transparency, planning efficiency, and long-term market confidence.

Issued by Sheikh Mohammed bin Rashid Al Maktoum in the last week of April, the new law introduces a rigorous framework that requires entities to justify land requests based on measurable public need – whether economic, social, or strategic.

The Dubai Municipality is also granted the authority to withdraw land, including the removal of incomplete or inactive structures, if project commitments are not fulfilled.

Dubai Municipality is responsible for issuing site maps for allocated government land, maintaining a registry of relevant land data, and coordinating with the Land Department to align the data in both registries. Image: Shutterstock

Dubai’s growth blueprint

Industry players said the role of the new land policy assumes added strategic significance at a time when Dubai transitions into its next phase of growth.

The legislation will also act as a key enabler of the Dubai 2040 Urban Master Plan, which outlines a comprehensive roadmap for the city’s sustainable development over the next 15 years, they said.

With the emirate’s population forecast to reach 7.8 million by 2040, the plan calls for integrated residential communities, enhanced mobility, and expanded public services.

“The new land law ensures that public land plays a foundational role in delivering these objectives, aligning infrastructure deployment with demographic trends and investment flows,” Syed said, adding that the law ensures that land is a key pillar of urban planning.

The Colliers India & Middle East chief executive said by bringing public land under a more structured, policy-driven framework, Dubai is sending a clear signal that it’s prioritising long-term, integrated planning over ad-hoc development.

“This legislation empowers authorities to align infrastructure rollouts, housing, and community services within a unified blueprint, ensuring balanced growth across emerging and mature districts,” he said.

BCD Group’s Bedi said new legislation will help enforce accountability and encourage collaboration across government departments, creating a more resilient planning apparatus.

“As cities worldwide grapple with fragmented development, Dubai’s approach – centralised, data-driven, and vision-led – cements its status as a benchmark for sustainable urban expansion in the 21st century,” he said.

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James Mathew

James Mathew, preferred to be addressed as James, assumes the role of India Correspondent at Arabian Business from New Delhi, bringing to the table a wealth of knowledge and expertise in economic, financial,...