Abu Dhabi real estate transactions jump 160.7 percent in first quarter

Real estate transactions in Abu Dhabi surged 160.7 percent in value in the first quarter of 2026 compared to a year earlier, the emirate’s property regulator said Tuesday.

The Abu Dhabi Real Estate Centre, known as ADREC, reported total transaction value of AED66 billion across 13,518 deals in the first three months of 2026, up from AED25.31 billion through 6,896 transactions in the same period of 2025, according to the state-run WAM news agency.

Sales and purchases totaled AED50.97 billion through 8,940 transactions, reflecting a 228.6 percent increase in value and a 134 percent rise in volume compared to the first quarter of 2025.

Mortgage transactions reached AED15.03 billion through 4,578 transactions, representing a 53.4 percent increase in value and a 48.8 percent rise in volume year over year.

Hudayriyat Island recorded the highest transaction value at approximately AED11.97 billion during the quarter. It was followed by Reem Island with AED9.45 billion and Saadiyat Island with AED8.8 billion. Yas Island recorded transactions exceeding AED5.5 billion.

“This quarter’s performance is a clear reflection of the confidence Abu Dhabi continues to earn from investors both locally and internationally,” said Rashed Al Omaira, director-general of ADREC.

“Reaching a record level of activity is not only a sign of demand, but it signals a market that is becoming more disciplined, with a clear focus on long-term investment,” he said.

Al Omaira said ADREC’s role is to support growth through consistent oversight and a regulatory framework that upholds trust and accountability across the sector.

“It is not about short-term momentum, but a market built on strong fundamentals, positioning it as a reliable investment destination,” he added.

Leasing activity continued to grow into March, according to the report.

The repeat lease price index recorded a 16 percent annual increase compared to March 2025, underscoring continued demand from end users and investors.

ADREC said demand continued to outpace supply, although the market is supported by a growing development pipeline. Sixteen new real estate projects were registered during the quarter, a 60 percent increase compared to the same period last year.

Residential supply in the Abu Dhabi region is projected to increase by 10,272 units in 2026, rising from 314,976 units to 325,248 units, representing annual growth of 3.3 percent.

Supply is projected to grow further in 2027, reflecting continued expansion in the market, the report said.

The regulator also highlighted growth in foreign direct investment. Total investments by individuals reached AED8.27 billion in the first quarter, marking a 423 percent increase compared to the same period in 2025. The figure was equivalent to the total foreign direct investment recorded during all of 2025, the report said.

Investors from 99 nationalities contributed during the quarter, up from 68 nationalities in the same period last year.

Foreign investment activity remained concentrated in investment zones, accounting for approximately 84 percent of total investment value. That amounted to more than AED36.4 billion out of AED43.59 billion, representing a 242 percent increase compared to a year earlier.

Key contributing markets included the United Kingdom, India, the Russian Federation, China, Jordan, France and Egypt, according to ADREC.