Abu Dhabi-listed RAK Properties plans to launch about 12 projects worth Dh5 billion ($1.36 billion) in Ras Al Khaimah in 2025 as demand for real estate remains strong in the emirate.
The new projects, consisting of high-end villas and branded apartments, will be rolled out mainly within its Mina master development, spanning four million square metres of land, according to its chief executive.
“The [Dh]5 billion is a conservative estimate of what we will be bringing to the table,” RAK chief executive Sameh Muhtadi told The National. “The momentum is very strong and the interest in Ras Al Khaimah is still extremely strong, so the idea here is to bring as much to the table as we can in 2025.”
The first project to be launched within Mina, formerly Mina Al Arab, this year will be Mirasol, a beachfront property consisting of 339 units with a mixture of studios, apartments and duplexes. It is scheduled for handover in the first half of 2028, with average prices of units at Dh2,200 per square foot.
The new projects will be funded through its own liquidity but will also tap into Dh2 billion financing deal RAK signed with the Commercial Bank of Dubai last year if needed, Mr Muhtadi said. In 2025, overall, the company plans to build 2,500 to 3,000 units, with sales doubling to Dh3 billion from last year.
Demand for property continues to remain strong in Ras Al Khaimah. Sale prices for apartments in the third quarter of 2024 jumped 14 per cent on an annual basis, with Al Hamra village recording the highest surge of 18 per cent, according to Asteco.
The development of the $3.9 billion Wynn Resorts in Ras Al Khaimah “is a huge factor” in boosting demand for property in the emirate, aside from its strong economic growth, Mr Muhtadi said.
“Wynn is the Rolls-Royce of gaming resorts, and what they're doing in Ras Al Khaimah. [It] will be the largest Wynn resort anywhere in the world and it’s three times the size of Las Vegas. So that tells you that there is that sense of confidence that the future is in Ras Al Khaimah.”
The 1,500-room Wynn Al Marjan Island, with entertainment and gaming amenities, is set to open in early 2027.
Ras Al Khaimah’s strong economic growth is also supporting the property market, with growth in the industrial sector and new licences being granted to companies to set up their operations, Mr Muhtadi added.
In May, Fitch Ratings projected RAK’s economy to grow 6.2 per cent in 2024 and 5 per cent in 2025 on the back of strong fiscal policies and strategic investments in tourism and other sectors.
“There is a huge gap for new property in Ras Al Khaimah” with demand currently standing at 40,000 for new units in the emirate, he added. Last year, RAK Properties sold homes to customers from Germany, the UK, France, the CIS and the Levant region as well as to the locals in the UAE.
Other developers have also launched projects in RAK amid continued demand including Abu Dhabi’s Aldar Properties, Dubai Investments and Dar Global, the global arm of Saudi Arabia’s biggest developer Dar Al Arkan and Damac Properties.
“There is competition and we welcome that competition. It's highlighting the interest in the market,” Mr Muhtadi said.
