11/03/2026 04:13 AST
The Abu Dhabi property market is witnessing strong demand, with sales crossing Dh4.267 billion ($1.16 billion) during the first week of March, shrugging off concerns surrounding the regional military conflict.
According to Abu Dhabi Real Estate Centre (Adrec) data, a villa in Hidd Al Saadiyat was sold for Dh88 million, making it the highest ready property sale during the week.
A duplex in Four Seasons Private Residences at Saadiyat was sold for Dh68 million, making it the highest off-plan sale last week.
Al Reem Island recorded 115 sales worth Dh189 million.
These strong numbers show resilient demand in Abu Dhabi despite the regional military conflict.
The Abu Dhabi real estate continued its growth trajectory in March 2026, following record-breaking performance in 2025 and in the first two months of 2026.
"Overall, Abu Dhabi's residential market enters 2026 from a position of strength, supported by disciplined supply, strong investor confidence, robust demand drivers, and a supportive macroeconomic backdrop. The market is expected to remain resilient, with sales prices and rental rates likely to record further increases in the near term, although the pace of growth will vary across communities as new supply gradually enters the market," according to Cavendish Maxwell.
In 2025, total transaction volumes reached approximately 22,400 deals, up 55 per cent year-on-year, while the total sales value climbed to Dh73.2 billion.
"This performance was driven by robust end-user demand, sustained investor activity, and a wave of new project launches that kept the off-plan segment at the centre of market activity. Apartments dominated the market, accounting for 66.1 per cent of transactions, while villas and townhouses also recorded strong growth, supported by demand from families and high-net-worth individuals seeking larger living spaces," it said.
On the supply side, residential stock continued to expand steadily, with approximately 7,400 units completed in 2025, bringing total supply to around 315,000 units. While approximately 15,900 units are projected for completion in 2026, recent handover trends suggest actual deliveries are likely to be lower, in the range of 6,500-9,000 units.
"This measured pace of supply delivery is expected to support pricing momentum and help prevent near-term market imbalances," said Cavendish Maxwell.
Pricing strength was sustained across both the sales and rental markets. Apartment sales prices increased by 15.1 per cent year-on-year, while villa prices rose by 12.2 per cent, reflecting strong competition for limited stock.
Rental growth also remained robust, with apartment rents rising 12.5 per cent and villa rents increasing 5.5 per cent. Elevated rental levels have further reinforced sales demand, as tenants increasingly viewed homeownership as a more cost-effective long-term option.
Khaleej Times
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