Dubai Residential REIT has announced plans to distribute $150 million in cash dividends to investors for the second half of 2025. The payout highlights the fund’s stable performance and continued strength in Dubai’s residential real estate market.
Dubai Residential REIT, a shariah-compliant real estate investment trust, said it has won approval from the company's shareholders at the Annual General Meeting for the distribution of AED550 million ($150 million) cash dividends for H2 2025. This reflects its strength in the REIT’s portfolio and confidence in Dubai’s residential leasing market.
REIT, one of the largest owners and operators of residential real estate in Dubai, is managed by Dham REIT Management.
The cash dividends being distributed are equivalent to 4.2 fils per unit, thus bringing the total payout for the year ended December 31, 2025, to AED1.1 billion, said the statement from the Dubai group.
“The amount is equivalent to 8.5 fils per unit, implying a gross dividend yield of 7.7% on IPO price and accounting to 86% of net profit before changes in the fair value of investment property,” it stated.
Nabil Mohammad Ramadhan, Chairman of the Board of Directors for Dubai Residential REIT, said: "The approval of the AED550 million cash dividend for the second half of 2025 is an important outcome for unitholders and reflects strength in the REIT’s portfolio, operating model and confidence in Dubai’s residential leasing market."
"Looking ahead, we remain committed to strong governance, prudent leverage, and balanced capital allocation, while continuing to progress our committed growth pipeline and maintain our distribution policy of paying out at least 80% of our net profit," he stated.
"Against this backdrop, the REIT’s long-term fundamentals remain stable, underpinned by a diversified portfolio, high occupancy, recurring rental income and disciplined balance sheet management," he noted.
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Last year, the Dubai Residential REIT delivered strong results. It has reported revenue of AED1.95 billion, up 9% year-on-year. It is supported by a portfolio occupancy of 98.3% and tenant retention of 88%.
Dubai’s real estate and residential leasing markets remain supported by diversified demand and a well-established regulatory framework, reinforcing confidence in their resilience.