Abu Dhabi records more than $3bn in property transactions in Q1

Emirate witnessed 1,722 real estate purchase and sale transactions in January-March period

Abu Dhabi's Yas Island was the best-performing area in the January-March period, registering Dh1.2 billion in deals. Victor Besa / The National

Abu Dhabi recorded 3,304 real estate deals worth Dh11.3 billion ($3bn) in the first quarter of this year, as the UAE’s property market continues to rebound from pandemic-induced slowdown, the emirate’s Department of Municipalities and Transport (DMT) said.

The emirate recorded 1,722 real estate purchase and sale transactions worth Dh4.35bn and 1,582 mortgage transactions worth Dh6.9bn during the first three months of this year, as per the official data.

“With steady and sustained growth in Abu Dhabi's real estate sector, the emirate has maintained its position as one of the world's most sought-after markets and destinations for real estate investment,” said Adeeb Al Afifi, executive director of the real estate sector at the DMT.

The UAE property market posted strong growth in 2021, with a similar trend continuing into this year as the country's economy has recovered.

Economic support measures and government initiatives — such as residency permits for those who have retired and remote workers, in addition to the expansion of the 10-year golden visa programme — also helped to improve market sentiment.

Residential property prices in Abu Dhabi increased 1.5 per cent in the 12 months to March, a report by property consultancy CBRE showed.

Average apartment prices increased 1.6 per cent in the year to March, to Dh10,904 per square metre, while average villa prices rose 1.1 per cent to Dh8,850 per square metre.

New supply in Abu Dhabi “remains limited”, with less than 200 new units delivered in the first quarter of 2022, the report said.

A further 9,588 units are scheduled for delivery during the remainder of the year, mostly in Al Raha Beach, Al Maryah Island and Reem Island.

Yas Island was the best-performing area in the January-March period, registering Dh1.2bn in deals, followed by Al Saadiyat Island at Dh673 million and Reem Island with Dh598m, according to DMT data.

Khalifa City came in fourth with Dh173m, Al Raha Beach stood fifth with Dh168m and Al Shamkha came in sixth with Dh150m worth of real estate transactions.

“With excellent infrastructure, a diverse range of options and world-class services, Abu Dhabi's real estate industry strengthens its position as one of the best places in the world to live, work and visit,” Mr Al Afifi said.

Abu Dhabi registered real estate transactions worth Dh71.5bn in 2021 and the total number of transactions across sales and mortgage deals stood at 14,958, the DMT said in a report earlier this year.