Apartment Prices Soar 32% as Coastal Hotspots Lead Record Gains
Dubai: Ras Al Khaimah’s residential market saw exceptional growth in 2025, with prime apartment prices reaching Dh2,428 per square foot, the highest level in the current property cycle. Strong capital appreciation across coastal hotspots—including Al Marjan Island, Al Hamra, and Mina Al Arab—fuels this surge. Villa prices also rose, averaging Dh1,211 per square foot, supported by sustained demand in Al Hamra.
Overall property values surged in 2025, with apartment prices rising 32% year-on-year and villas up 11%. Rental trends mirrored this growth: apartment rents climbed nearly 25%, driven by significant new supply in key communities, while villa rents remained broadly stable, showing selective increases in prime waterfront areas like Mina Al Arab.
“Ras Al Khaimah’s real estate market continues to evolve at an unprecedented pace, supported by strong macroeconomic fundamentals, record levels of foreign investment, and a maturing property ecosystem,” said Matthew Green, Head of Research at CBRE MENA.
The emirate’s residential and hospitality sectors have entered a new phase of growth, driven by global brand partnerships, major tourism-led projects, and a deepening pool of international buyers.
Ras Al Khaimah apartment prices have surged to a record Dh2,428 per square foot, reflecting strong investor demand and rising confidence in the market, according to Matthew Green, Head of Research at CBRE MENA.
The property upswing mirrors broader economic momentum across the emirate, where steady employment growth, strong foreign investment, and rising investor confidence continue to reshape the landscape. Ras Al Khaimah has attracted record levels of greenfield foreign direct investment while expanding its economic base through major tourism and industrial projects.
Large-scale developments, such as the $5.2 billion Wynn Al Marjan Island project, have accelerated demand, while the emirate’s low inflation environment and ongoing business expansion—including the addition of more than 19,000 new companies to RAKEZ—have strengthened the underlying demand for residential and mixed-use assets.
New launches have reinforced this momentum, with branded developments including Mondrian Beach Residences, Jacob & Co Residences, and upcoming projects like Janu Al Marjan Island, positioning Ras Al Khaimah firmly within the luxury segment. Rapid price growth in prime locations has widened the gap between sale prices and rental levels, though this imbalance is expected to ease gradually as new inventory enters the market.
“A nearly ninefold increase in real estate activity in Q1 2025 compared to Q1 2017 reflects a market that has moved far beyond speculation,” said Andrei Charapenak, CEO of Major Developments. “Buyers and investors today are looking for stability, infrastructure, and long-term value, and they’re finding that in Ras Al Khaimah.”
Hospitality Sector Records Strong Growth
Tourism continued to play a central role in driving Ras Al Khaimah’s real estate activity, with visitor arrivals reaching a record 1.36 million in 2025, evenly split between domestic and international travellers. Hotel performance indicators improved across the board: occupancy rose 4.6 percentage points, average daily rates increased 6.6%, and revenue per available room climbed 11.5%.
The emirate now has over 9,000 hotel keys, with the 2026–2030 development pipeline adding more than 9,500 keys, the majority in the five-star category. Global hospitality operators—including Accor, Hilton, Aman Group, and Wynn Resorts—continue to expand their presence, reinforcing confidence in long-term tourism growth.
“With major developers bringing branded residences such as Anantara Residences and ENTA MINA by RAK Properties, Fairmont Residences by Ardee Developments, and Soto Grande by Ellington, alongside infrastructure upgrades and iconic projects like the Wynn resort, the emirate is attracting serious interest from global investors,” said Maxim Novikov, Head of the RAK branch at Metropolitan Premium Properties. “We see this as just the beginning of Ras Al Khaimah’s real estate growth story.”
Delivery cycles are expected to accelerate from 2027 onwards, further strengthening Ras Al Khaimah’s position among the UAE’s fastest-growing real estate markets.
