Abu Dhabi-based property developer Bloom Holding began work on the fifth phase of its Bloom Gardens project in the emirate.
It has broken ground on Aldhay, a community of two-, three-, four- and five-bedroom townhouses, containing 181 homes in total. Prices start from Dh1.85 million ($503,662).
“Breaking ground of Aldhay heralds the official start of yet another much-anticipated development," the company said in a statement. "The launch of this mixed-use project falls in line with Bloom’s wider long-term strategy to contribute to the rapidly increasing demand for premium housing across the UAE.”
Demand for larger homes is increasing across the UAE as end users look for more outside space amid a growing trend towards remote working and learning sparked by the pandemic.
Prices for Abu Dhabi villas rose 2.2 per cent quarter-on-quarter during the first three months of 2021, according to research last month from Chestertons. This followed on from a strong second half performance last year, meaning an annual price rise of 0.5 per cent. Average rent also rose by 0.4 per cent during the quarter, but remained 2.4 per cent below last year's levels.
"With work-from-home practices, along with more flexible workplace policies, remaining in place across the private sector, we expect villas to outperform the wider residential average medium-term," Chris Hobden, head of strategic consultancy at Chestertons MENA, said.
Bloom Holding, a subsidiary of Abu Dhabi-based National Holding, said Aldhay is likely to complete in the third quarter of 2023.
The development, close to Khalifa Park, offers "a high rental yield for UAE national investors and a great place to call home for end users", the company said.