Abu Dhabi’s real estate sector witnessed solid growth in the first quarter with its total transaction value surging to hit US $18bn representing a 160.7% increase across 13,518 deals compared to US $6.8bn from 6,896 transactions in the same period of 2025, according to the Abu Dhabi Real Estate Centre (ADREC), the regulator of the emirate’s real estate sector.

Sales and purchases totalled US $13.8bn through 8,940 transactions, reflecting a 228.6% increase in value and a 134% rise in volume compared to the first quarter of 2025. Mortgage transactions also reached US $4bn  through 4,578 transactions, representing a 53.4% increase in value and a 48.8 % rise in volume YoY.

Hudayriyat Island was the leading area for real estate transactions, recording deals amounting to approximately US $3.3bn. It was followed by Reem Island, with US $2.6bn, and Saadiyat Island, with US $2.4bn, while Yas Island recorded activity exceeding US $1.5bn in transactions.

Rashed Al Omaira, Director General of ADREC said, “This quarter’s performance is a clear reflection of the confidence Abu Dhabi continues to earn from investors both locally and internationally. Reaching a record level of activity is not only a sign of demand, it signals a market that is becoming more disciplined, with a clear focus on long-term investment.”

He added, “Our role as ADREC is to ensure this growth is supported through consistent oversight and a regulatory framework that upholds trust and accountability across the sector. This is what gives Abu Dhabi its strength. It is not about short-term momentum, but a market built on strong fundamentals, positioning it as a reliable investment destination.”

Market indicators continue to show strong and sustained demand across Abu Dhabi’s real estate sector, with leasing activity maintaining growth into March. The repeat lease price index recorded a 16% annual increase compared to March 2025, underscoring continued demand from end users and investors.

While demand continues to outpace supply, the market is supported by a growing development pipeline with 16 new real estate projects registered during the quarter, a 60% 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 to 325,248, representing annual growth of 3.3%. Supply is projected to grow further in 2027, reaching 333,564 units. This reflects a market that continues to expand on solid foundations.

The report highlighted exceptional growth in Foreign Direct Investment (FDI), with total investments by individuals reaching US $2.3bn, marking a 423% increase compared to Q1 2025 and equivalent to the total foreign direct investment recorded during 2025. Investors from 99 nationalities contributed to this performance, up from 68 nationalities during the same period last year.

Foreign investment activity remained strong within investment zones, accounting for approximately 84% of total investment value, surpassing US $9.9bn out of a total US $11.9bn. This represents a 242% increase compared to the same period last year, with key contributing markets including the United Kingdom, India, the Russian Federation, China, Jordan, France, and Egypt.

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The Ministry of Energy and Infrastructure (MoEI) has announced the launch of an innovative strategic project aimed at implementing microgrid systems. This project represents a significant advancement in the UAE’s commitment to developing a smart, resilient, and adaptable energy ecosystem.

The initiative aims to bolster energy security, promote sustainability, and enhance efficiency, aligning with the objectives of the ‘We the UAE 2031’ vision. As reported by Wam, this vision emphasises the development of advanced and future-ready infrastructure.

The outcomes underscore the fact that investing in smart energy solutions is no longer a mere option but a strategic imperative to bolster energy security, reduce costs and emissions, and improve resource efficiency.

The project  was first developed and implemented in 2025 at the Ministry headquarters in Sharjah. This proactive vision aims to enhance national preparedness for electricity outages during emergencies and crises. The project employs an integrated operational model that synergises clean energy generation, energy storage, and cutting-edge digital energy management solutions.

Eng Sharif Al Olama, Undersecretary, Energy and Petroleum Affairs said, “This project reflects a transformative shift in building-level energy management – from a conventional model dependent on the central grid to a smart, decentralised model with independent operational capability. It enhances the reliability of electricity supply and the continuity of vital services, while also improving resource efficiency and reducing costs and emissions.”

“It also increased the contribution of solar energy to 30% of total electrical load. Importantly, the project achieved 100% operational resilience in the event of sudden power outages, ensuring uninterrupted services. The microgrid project represents a qualitative leap in the way building energy systems are planned and operated, and reflects the UAE’s direction towards building a smarter, more resilient, and more sustainable energy ecosystem.”

“We are not only enhancing operational efficiency but also establishing an integrated national model that ensures the continuity of vital services under all conditions and strengthens infrastructure readiness to address future challenges.

Al Olama said the next phase would focus on scaling up the initiative and broadening its application nationwide, alongside the development of a national technical and regulatory guide to establish the necessary governance frameworks and technical standards for Microgrid deployment. This would help unify efforts and strengthen integration between federal and local entities, as well as the private sector, he added.

The Ministry is currently working, in cooperation with its partners across the government and private sectors, to expand the implementation of this model across the UAE, thereby accelerating the transition towards resilient, decentralised energy networks that support both competitiveness and sustainability.

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HKR has appointed Monika Kalinowska as its Design Lead as part of its efforts to further strengthen its design capability and accelerate its growth internationally. She brings extensive experience across cultural, commercial, hospitality and residential sectors, having contributed to a wide range of international competitions and developments throughout Europe, the Middle East and North America.

She joins HKR from LAVA and Asymptote Architecture, where she developed a broad, context-driven design perspective shaped by diverse global environments. Throughout her career, Kalinowska has been recognised through a number of awards and scholarships, further supporting her professional growth and creative development.

For over 30 years, under the leadership of Jerry Ryan, Executive Chairman and more recently alongside Managing Director, Kola Ojeyomi, HKR has been delivering commercially successful projects across multiple sectors. With multi-disciplinary teams embedded in the UK, Ireland and MENA, HKR is uniquely positioned to bridge global design innovation with regional ambition, said a statement.

On the key appointment, Kalinowska said, “I am delighted to be joining HKR at an exciting time and support their ambition to further strengthen their design expertise. I approach design as a dialogue between present human needs and future possibilities. By leveraging new tools and emerging technologies, I seek innovative solutions that create architecture which is both responsive today and resilient for tomorrow.”

She added, “This role presents a unique opportunity to redefine design ambition at scale internationally. I look forward to working with the team to deliver projects that combine cultural intelligence, technical innovation and enduring design quality.”

Kola Ojeyomi, MD of HKR stated, “Monika’s appointment further strengthens our position as a global leading design consultancy. Her international experience, design intelligence and ability to navigate complex cultural contexts make her an exceptional addition to our team. As we continue to expand our presence internationally, her vision and technical expertise will play a key role in elevating our design ambition and delivering projects that are both innovative and enduring.”

In recent years, the firm has positioned itself at the forefront of the industry, improving construction efficiency and reducing environmental impact through cutting-edge technologies and modular construction. HKR says it has also developed in-house AI-driven design tools that optimise building performance and streamline project workflows, revolutionising the design process and the client experience, he added.

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Asas Makeen Real Estate Development and Investment Company has announced it has signed an agreement with Tawafuq Al Rimal Real Estate Fund for the development of an integrated residential project in Al Rimal District, Riyadh.

The agreement comes in line with the company’s strategy to expand its real estate projects across Riyadh, and to strengthen its third-party real estate development services through partnerships with landowners and investors, said Asas Makeen in its filing to Saudi bourse Tadawul.

Spanning over a 30,000sqm  in area, the residential compound will feature a total of 503-homes, it stated.

As per the US $71.4mn  contract, Asas Makeen is responsible for managing and executing the superstructure development works, including oversight of design, planning and project implementation.

The entire work will be completed within a 19-month period, it stated.

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Multidisciplinary consulting firm KEO and data centre and mission-critical design specialist Margulies Hoelzli Architecture (MHA) have inked a strategic partnership to deliver end-to-end data centre solutions for developers and investors across the GCC and Europe.

As demand for high-performance digital infrastructure accelerates amid power constraints and regulatory complexity, the partnership combines KEO’s regional infrastructure leadership with MHA’s expertise in hyperscale and complex mission-critical facility design, said a statement from KEO.

Together, the firms will deliver a unified platform that provides full-cycle service from early-stage feasibility through to design, construction, commissioning, and ongoing facility management, it added.

“This partnership brings together global hyperscale design expertise with deep regional infrastructure delivery, enabling a more coordinated approach to data centre development. By aligning grid, regulatory, and facility design from the outset, we help clients reduce risk, accelerate approvals, and bring capacity online faster,” said Gregory Karpinski COO & Partner at KEO.

Matthew Hoelzli, Principal at MHA added, “By aligning our deep technical expertise with KEO’s leadership in the Middle East, we are streamlining the path to advanced AI infrastructure. Our combined strengths allow us to cut through delivery complexities, optimizing both capital expenditure and long-term operational performance for the region’s most ambitious projects.”

Going forward, over US $3tn is expected to be invested in data centre infrastructure globally over the next 5-years. The sheer financial scale of this infrastructure boom eclipses some of the greatest transformative endeavors of our time, dwarfing even the Apollo Mission. The KEO & MHA partnership is positioned to competitively and innovatively support clients navigating complex challenges, including power availability, regulatory constraints, and the need for zero-downtime operations, the statement noted.

The partnership enables KEO and MHA to deliver a fully integrated approach to data centre development, combining hyperscale design, infrastructure planning, regulatory coordination, and project delivery within a single framework. This enables simultaneous development of facility and grid infrastructure from day one, aligning utility requirements, regulatory approvals, and design progression in parallel.

This integrated model provides a single point of accountability across the full project lifecycle, from concept advisory through to operations. It enables more predictable delivery, optimises total cost of ownership, and supports ESG compliance and access to green financing through recognised certification frameworks, the statement said.

KEO and MHA are said to boast a proven track record across more than 30 countries, representing over 1,200MW of installed capacity and more than $100bn in energy, power and data centre investments.

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Almal Real Estate Development announced that the construction of the ‘Unexpected Al Marjan Island Hotel & Residences’ in Ras Al Khaimah is 23% complete. Following its launch, the project is said to have achieved the highest price per square metre on the island.

The construction of the project is progressing on schedule and without any delay towards its 2027 handover. This reaffirms ALMAL’s commitment to its buyers and reinstates the sustained market value of developments on Al Marjan Island, the developer said.

The milestone follows regular site visits by Founder of Almal Real Estate Development, Dmitriy Starovoitov, who confirmed that construction activity remains fully on track, with no delays or disruption, as cranes move continuously and development milestones are met.

Amid global economic uncertainty, the uninterrupted pace of construction signals supply chain reliability, workforce stability, and sustained investor confidence, highlighting the consistency of project delivery in the UAE.

“Reaching this milestone at The Unexpected Al Marjan Island Hotel & Residences reflects disciplined execution and strong alignment across our partners,” said Starovoitov. “This sold-out project has been strongly received in the market, and the consistency of progress on site reflects the UAE’s stable and resilient economic environment, supported by reliable supply chains and sustained investor confidence. Our focus remains on delivering a high-quality, world-class project that aligns with market demand and contributes to the continued growth of Ras Al Khaimah.”

Located on the shores of Al Marjan Island, this project will be managed by Palladium Hotel Group, and features 422 five-star hotel rooms and branded residential units. Inspired by Ibiza, the development blends architecture with a dynamic hospitality concept, providing direct access to the upcoming Wynn Al Marjan Island resort, scheduled to open in 2027.

The project is said to offer a refined beachfront experience characterised by elevated amenities, services, and a distinctive lifestyle that sets it apart within the region.

Al Marjan Island continues to gain traction as one of the UAE’s most enticing investment destinations, positioning Ras Al Khaimah as a rising luxury and tourism hub with long-term prospects. This emirate has quietly established itself as a strategic growth market, attracting international capital and developer interest.

Tourism figures reached 1.35m visitors in 2025, marking a 6% year-on-year increase, with projections indicating growth to nearly 5.5m visitors by 2030. The Wynn Al Marjan Island resort is expected to further accelerate demand in the surrounding area, reinforcing the island’s status as a focused investment zone with strong projected returns and long-term growth potential, the statement concluded.

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Arada has said it welcomed the first residents to Vida Residences Aljada following completion of the 4 building Vida Aljada complex, which brings together homes, a lifestyle hotel, and a dynamic social environment in one integrated setting.

The first ever branded residences project in Sharjah, Vida Residences Aljada is located on East Boulevard in the Naseej District – the creative hub of the mega community, and offers a diverse array of lifestyle, hospitality, dining and retail offerings to residents, guests and visitors alike.

Delivery of the 579 units in the complex means that over 8,800 homes have now been completed at the US $9.5bn Aljada megaproject.

The completed 4 building development comprises 255 branded residences, 149 serviced apartments, and the upcoming 175 room Vida Aljada Sharjah hotel with Emaar Hospitality Group. Together, they form a connected experience rooted in Vida’s philosophy of modern living, where simplicity, energy and human connection shape every moment.

Vida Aljada’s residential buildings include 1-3 bedroom apartments, as well as 3-4 bedroom penthouses, said the UAE developer.

Rooted in Vida’s signature approach to lifestyle hospitality, the development has been designed to foster a sense of ease, openness and connection. From modern, light-filled interiors to transitions between private and social spaces, every detail reflects a contemporary way of living, the developer said.

Within the development, residents enjoy access to a range of lifestyle amenities including fitness and wellness spaces, pools for both adults and children, and  communal areas designed for both quiet moments and social interaction. Smart home features come as standard, it added.

Group CEO Ahmed Alkhoshaibi said, “We are committed to delivering 4,000 homes as well as key supporting infrastructure across our communities this year, and the handover of Sharjah’s first ever branded residences scheme is an important part of that journey. Vida Residences Aljada are the most premium homes completed so far in our flagship megaproject, and these units have already delivered significant capital appreciation to our buyers.”

“In Emaar Hospitality, we have a partner that is totally aligned with our vision of quality, service and efficiency and we look forward to working with them as we near the opening of the Vida Aljada Sharjah hotel in the coming months,” he stated.

The Vida Aljada buildings will host a selection of high end dining outlets, which are opening in the coming months alongside various other cafés, studios and boutiques, the developer noted.

These venues will further elevate more than 100 existing dining and retail experiences on East Boulevard, delivering a premium lifestyle and hospitality offering to residents, visitors and families from across Sharjah. The complex’s serviced apartments and branded residences both include 24/7 concierge support, bellman services, and monthly planned preventive maintenance for fire and life safety systems, the statement concluded.

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Work is moving at a steady pace on the Al Mamzar Corniche Development in Dubai with the project nearly 88% completed, thus reflecting steady progress in line with planned timelines and adherence to the standards of safety, environmental sustainability, and service quality, said a statement from Dubai Municipality.

Through Al Mamzar Corniche, Dubai Municipality will introduce a new coastal destination guided by an integrated vision that transforms public beaches into urban spaces.

The project represents a qualitative leap and a significant addition to the emirate’s coastal landscape, offering a destination for those seeking privacy, tranquility, and luxury-oriented beach experiences.

It will feature a public beach dedicated exclusively to women, available for night swimming, designed in line with the highest international standards to ensure privacy and safety. The beach will be fully enclosed by a surrounding fence to guarantee complete privacy for women.

Marwan Ahmed bin Ghalita, Director General of Dubai Municipality said, “Dubai’s beach development projects are among the most important strategic initiatives we are delivering to enhance the efficiency and quality of the emirate’s coastal and beachfront infrastructure.”

He was speaking after conducting a field visit to the Al Mamzar Corniche Development Project to review the progress of works and ensure alignment with delivery timelines ahead of its completion and opening.

Accompanied by executive leadership, project managers, and engineering teams, Bin Ghalita assessed construction progress, supply chain resilience, and operational readiness, reaffirming Dubai Municipality’s commitment to delivering high-quality, future-ready coastal destinations.

The visit forms part of Dubai Municipality’s broader efforts to advance the development of public beaches and strengthen Dubai’s position as a leading global destination for beach tourism, aligned with its vision to enhance quality of life through sustainable and resilient urban infrastructure.

As part of Dubai Municipality’s commitment to climate adaptation and infrastructure resilience, the project includes measures to elevate beach levels and strengthen coastal protection against the impacts of climate change.

More than 500,000cu/m of beach sand have been utilised based on specialised environmental studies to enhance shoreline stability and ensure long-term sustainability, the statement said.

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The cement sales volumes across the Kingdom of Saudi Arabia declined by 6.7% YoY and 21.3% MoM to hit 3.37MT, reflecting the holiday effect and recent geopolitical developments, according to a report by Al Rajhi Capital, a leading financial services provider in the Kingdom.

The sales volume for the first 3 months fell by 4.7% YoY to 12.76MT, it stated.

Yamama continues to command the highest market share, recording 14.2% in Q1, followed by Saudi Cement (12.8%) and Qassim Cement (12.1%), said the report by Al Rajhi Capital.

Clinker inventory grew by 2.1% MoM to 43.6MT, with Southern cement holding the highest inventory (18 months of LTM average sales), it added.

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Phase 1 of the Sewerage and Stormwater Network Development Project in Al Quoz Creative Zone, has been completed according to Dubai Municipality at a cost of US $68.1mn, with the total investment in the project said to be $136.1mn. The Al Quoz Creative Zone is said to be one of Dubai’s most dynamic and economically active areas.

The project aims to develop an integrated, adaptable, and sustainable sewerage and stormwater system serving Al Quoz Industrial Areas 1, 2, 3, and 4, as well as the area located between Sheikh Zayed Road and Al Khail Road. It spans a total area of 1,600ha and covers more than 1,507 plots.

His Excellency Marwan Ahmed bin Ghalita, Director General of Dubai Municipality said, “The Sewerage and Stormwater Network Development Project in Al Quoz is one of Dubai Municipality’s key strategic projects to enhance the efficiency, resilience, and operational readiness of the emirate’s infrastructure systems. It supports Dubai’s ongoing urban and population growth, reinforces its position as a global leader in sustainable urban planning, and strengthens the future readiness of its infrastructure, making Dubai a more attractive, sustainable, and liveable city.”

“The project enhances the efficiency of sewerage and stormwater infrastructure systems in Al Quoz Creative Zone and supports its integrated urban model. It will further strengthen the area’s appeal as a vibrant hub for economic and investment activity, while keeping pace with the emirate’s future development requirements,” he added.

Phase 1 included the construction of sewerage and stormwater drainage networks covering 155ha and 123 plots. Supporting the emirate’s sustainable sewerage infrastructure, Dubai Municipality delivered sewerage networks adding up to a length of 15km, with pipe diameters ranging from 160mm to 1,600mm. The works also included the development of an integrated stormwater drainage network extending 14km, with pipe diameters ranging from 200mm to 3,000mm.

This project forms part of the emirate-wide Sewerage System Development Programme, which aims to transform the system into a more sustainable, innovative, and efficient network. It also aligns with the Tasreef programme for stormwater drainage development, valued at $30bn – the largest unified stormwater collection system in the region and one of the most operationally efficient – designed to increase drainage capacity by 700% for the next 100 years.

Adel Mohammed Al Marzouqi, CEO of the Waste and Sewerage Agency at Dubai Municipality noted, “This project contributes to enhancing the efficiency of the rainwater drainage system and the smooth flow of water in the Al Quoz Creative Zone, while reducing water accumulation. This ensures the continuity of services and business operations and supports the city’s resilience and preparedness to face various future climatic conditions.”

Dubai Municipality said that it will continue to implement transformative infrastructure projects that strengthen the emirate’s resilience to future environmental challenges, enhance operational efficiency, and ensure service continuity in line with urban and population growth.

These efforts support Dubai’s transition towards a smart and sustainable city model, aligned with national agendas and the leadership’s vision to position Dubai as a global benchmark for infrastructure quality and public services, it added.

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Source: MEConstructionNews