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Luxury Villas & Island Deals Drive Abu Dhabi Property Sales Amid West Asia Conflict

Abu Dhabi Housing Market Thrives: Record Sales Amid Middle East Conflict

Written By : Poulami Saha
Reviewed By : Sankha Ghosh

The real estate market remains resilient despite ongoing issues in raw materials markets stemming from the US-Iran war. Recent reports indicate that the real estate sector in Abu Dhabi is thriving despite geopolitical uncertainties. Demand for property in Abu Dhabi is strong, with sales exceeding Dh4.267 billion ($1.16 billion) in the first week of March, demonstrating resilience amid concerns about the regional military conflict

Abu Dhabi Real Estate Market

According to Abu Dhabi Real Estate Centre (Adrec) data, a villa in Hidd Al Saadiyat was sold for Dh88 million, making it the highest ready property sale during the week. A duplex in Four Seasons Private Residences at Saadiyat was sold for Dh68 million, making it last week's highest off-plan sale. 

Additionally, Al Reem Island has recorded 115 property sales worth Dh189 million. This property sale chart highlights strong, rising demand in Abu Dhabi despite the geopolitical military conflict.

Real-Estate Market: The Future 

Just after the record-breaking performance in 2025, Abu Dhabi real estate sector continued its growth trajectory in March 2026. As explained by Cavendish Maxwell, “Overall, Abu Dhabi’s residential market enters 2026 from a position of strength, supported by disciplined supply, strong investor confidence, robust demand drivers, and a supportive macroeconomic backdrop.”

Several experts noted that the real estate market can remain strong even if the war continues to escalate. The sales prices and rental rates could see further increases in the coming days. However, the growth rate can vary across communities as new supply will enter the market gradually. 

Talking about the supply chain, the residential stock will continue to expand steadily. It is estimated that approximately 7,400 units were completed in 2025, making the total supply to around 315,000 units. Additionally, approximately 15,900 units are expected to be completed in 2026. Other recent handover trends suggest that actual deliveries can be lower, coming within the range of 6,500-9,000 units.

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