Affordable units in Abu Dhabi witness surge in cost

Most areas in Abu Dhabi in the affordable segment recorded increases between 2 per cent and 20 per cent last year, a report showed on Thursday.

According to data from bayut, a leading property portal, Al Ghadeer has shown the most significant price growth at 19.8 per cent, suggesting rapid development and increasing popularity. Baniyas has been the only area with a price decline (-1.92 per cent), which could potentially present favourable investment opportunities moving forward.

Al Raha Beach has been the most searched location for buying luxury apartments. Other areas that have captured investor interest when it comes to upscale apartments include Yas Island and Saadiyat Island. Sales prices for luxury apartments in popular areas have recorded price increases of between 5 per cent and 32 per cent. The most prominent appreciations have been recorded in Saadiyat Island, where prices grew by 32.4 per cent.

Al Reef has emerged as the most popular community for buying affordable villas in Abu Dhabi. Other preferred areas include Khalifa City and Abu Dhabi Gate City. The average price-per-square-foot for affordable villas has increased by between 6 per cent and 18 per cent, with Al Ghadeer recording rises of 17.4 per cent in property prices. However, Khalifa City and Abu Dhabi Gate City have witnessed marginal declines of under 2 per cent.

Haider Ali Khan, CEO of Bayut and Head of Dubizzle Group MENA, said: “2024 has been an incredible year for Abu Dhabi’s real estate market. At Bayut, we’ve witnessed over 15.2 million visits to Abu Dhabi property listings, showing the robust demand the capital has experienced throughout the year. The growing interest in high-end properties also reflects Abu Dhabi’s evolution into a global city that offers an unparalleled quality of life, while the increasing availability of affordable options ensures the city remains inclusive and accessible. As we look ahead to 2025, both the off-plan and ready markets appear set for an exciting year. With many new projects in the pipeline in the island communities and a significant number of handovers from late 2024 carrying into the new year, Abu Dhabi is well-positioned to further solidify its reputation as a premier destination for investors and residents alike.”