Al Reem Island recorded the strongest real estate performance in Abu Dhabi during 2025, with transaction volumes more than tripling year-on-year and property prices rising by 45%, according to a new market analysis released by MERED.
The findings reinforce the emirate’s growing appeal among international investors and highlight the increasing role of premium developments delivered by luxury property developers in the UAE,such as MERED, in shaping demand patterns.
Across Abu Dhabi’s off-plan sector, total sales volume reached approximately 1.17 million square metres in 2025, nearly doubling compared to the previous year. Within this market growth, Al Reem Island emerged as the primary contributor.
Transaction volumes on the island increased from roughly 94,000 sqm in 2024 to 284,000 sqm in 2025, accounting for around 24% of all real estate transactions in Abu Dhabi.
The data also showed a sharp rise in property values, with average prices climbing by 45% during the year, marking the highest annual increase across the emirate’s residential districts.
Industry analysts attribute this growth to a combination of factors, including:
- The launch of higher-quality residential developments
- Expanding infrastructure and lifestyle amenities
- Strong investor confidence
- Increasing demand for waterfront living within integrated communities
Al Reem Island’s proximity to the Abu Dhabi Global Market (ADGM) financial free zone has further strengthened its appeal among both local and international buyers, particularly professionals seeking urban waterfront living near the capital’s business hub.
The district has also seen rising interest in branded residences in Abu Dhabi, reflecting a broader market shift toward lifestyle-driven developments offering hospitality-level services and curated living experiences.
The report suggests the area’s performance reflects a wider trend in Abu Dhabi’s property sector, where demand is increasingly concentrating around master-planned communities rather than expanding evenly across all locations.
With continued development activity and sustained buyer interest, Al Reem Island is expected to remain a key driver of residential market growth in Abu Dhabi over the coming years.