Dubai Islands records USD 1.66 billion in sales during H1 2025

Dubai, UAE – October 9, 2025: The Dubai Islands are emerging as one of Dubai’s most ambitious waterfront destinations, recording strong transaction activity and attracting both residents and international investors in the first half of the year. Backed by Nakheel and aligned with Dubai’s 2040 Urban Master Plan, the multi-island development is quickly taking shape as a hub for luxury living, culture, and long-term capital growth.

Spanning 17 square kilometres and featuring 20 kilometres of beachfront, Dubai Islands will comprise five interconnected islands designed to balance luxury residences, hospitality, retail, leisure, and cultural offerings, all just minutes from central Dubai and Dubai International Airport. Planned RTA bridge enhancements will further improve access, making connectivity effortless for residents and visitors alike.

H1 2025 performance: Dubai Islands among top coastal districts

According to Betterhomes Research, Dubai’s real estate market achieved its strongest ever half-year in H1 2025, with total transactions across the emirate surpassing USD 71.3 billion (AED 262 billion).

Within this performance, Dubai Islands recorded USD 1.66 billion (AED 6.1 billion) in property sales from 1,936 transactions between January and June 2025, placing it among Dubai’s most active and sought-after coastal destinations.

Apartments

• 1,895 units sold, totalling USD 1.52 billion (AED 5.63 billion)
• Average price: USD 790,000 (AED 2.9 million)

Villas

• 28 transactions, averaging USD 4.08 million (AED 15 million) per villa
• Six-bedroom villas averaged USD 12.1 million (AED 44.4 million)

Pricing context

• Dubai Islands residential average: USD 637 (AED 2,340) per sq ft
• Palm Jumeirah average: USD 818 (AED 3,000+) per sq ft

Yields, growth, and investor appeal

Coastal communities across Dubai, including Dubai Islands continue to outperform the broader market in yields and appreciation. Premium waterfront districts registered 12%–15% annual price growth by June 2025, highlighting Dubai Islands’ potential for above-market returns and strong entry opportunities for early investors.

“Dubai Islands combines a premier waterfront setting with practical city access and a pipeline of branded hospitality and lifestyle assets,” said Wassim Abdallah, Director of Development Sales and Consultancy at Betterhomes.

“That together is drawing both end-users who want a resort-style daily life and investors who prioritise yield resilience and capital growth,” he added.

Ongoing developments and key players

Anchored by Nakheel as the master developer, Dubai Islands is steadily gaining momentum with a curated mix of residential and hospitality-led projects. Among the flagship developments is Rixos Dubai Islands Hotel & Residences, which brings branded, service-driven living to the waterfront.

Operational family resorts such as Hotel Riu Dubai and Centara Mirage Beach Resort Dubai have already established consistent leisure footfall, enhancing the area’s visibility and tourism draw.

As infrastructure continues to progress, new low- to mid-rise residential neighbourhoods are rolling out along the waterfront, offering elevated community amenities, lush promenades, and open recreational spaces. Complementary cultural, retail, and marina precincts are also planned, forming a complete lifestyle ecosystem that reinforces Dubai Islands’ appeal as a long-term, livable waterfront address.

Why Dubai Islands stands out

For end-users, the destination offers a resort-style daily lifestyle, combining long beachfronts, pedestrian-friendly promenades, and branded hospitality at their doorstep. Connectivity remains a key advantage, close to Deira, Old Dubai, and DXB Airport, with enhanced RTA bridge links ensuring seamless access to the rest of the city.

Homes are designed to maximise natural light, flow, and indoor-outdoor living, appealing to families, professionals, and second-home buyers seeking space and tranquility without compromising convenience.

For investors, Dubai Islands presents a rare combination of value, location, and growth potential. Key drivers include genuine waterfront scarcity in a regulated global market, competitive pricing versus mature peers like Palm Jumeirah, and branded hospitality integration supporting strong occupancy and rental performance.

With more than 10,700 residential units under construction and additional phases planned, the Dubai Islands pipeline reflects sustained development and investor confidence.

As infrastructure and community amenities evolve, the destination is set to welcome a new wave of flagship residential and lifestyle projects from leading developers, expanding choice for buyers and solidifying its position as Dubai’s newest fully connected waterfront district.

For early movers, the current phase presents a prime entry window into a waterfront community that blends urban connectivity with the serenity of resort living, a defining hallmark of Dubai’s next generation of coastal development.