Dubai sees surge in studio sales: Over 26,000 units sold for Dh20b in 8 months

Demand surges for compact, flexible units as investors eye steady returns

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2 MIN READ
The Dubai skyline.
The Dubai skyline.

Dubai: Dubai’s real estate market has seen remarkable activity in the small-apartment segment, with 26,103 studio units—both residential and hotel apartments—sold for a total of Dh20.1 billion during the first eight months of 2025.

Off-plan sales accounted for the majority, representing 76.3 per cent of the total, while Downtown Dubai led in transaction value and Jumeirah Village Circle topped in the number of deals, reflecting growing recognition of these units as investment tools offering stable returns aligned with evolving living and working patterns.

Data from the Dubai Land Department shows that residential studio sales accounted for Dh18.7 billion through 24,734 transactions, while hotel-style studios totalled Dh1.3 billion across 1,369 deals. This performance highlights the widening demand base for small units, attracting young professionals, small families, and residents seeking practical, cost-effective housing.

Hotel-style studios, particularly in vibrant areas like Downtown Dubai and Jumeirah Village Circle, demonstrate the market’s appeal to short-term rental investors, supporting liquidity by offering units that can be easily sold or leased compared with larger apartments.

Off-plan studio sales dominate

Off-plan studios dominated sales with Dh15.3 billion across 18,931 transactions, or roughly 76.3 per cent while ready-to-move-in units accounted for Dh4.7 billion via 7,172 transactions, making up around 23.6 per cent of the total.

The figures indicate investors’ preference for competitive pricing and higher future returns from off-plan projects, while continued demand for ready units reflects a stable market of buyers seeking immediate housing options.

Geographically, Downtown Dubai led studio sales by value with Dh3.6 billion through 3,176 transactions, followed by Jumeirah Village Circle with Dh2.6 billion across 3,787 deals, Dubai Land Residences concluded 2,372 deals worth Dh1.49 billion, while Dubai Production City witnessed Dh1.42 billion worth of 2,405 transactions, and Dubai Marina saw 833 deals at Dh1.04 billion

The dominance of Downtown Dubai in value underscores its appeal to investors seeking high rental yields and strong occupancy rates, combining a strategic business hub location with vibrant urban living. Meanwhile, Jumeirah Village Circle’s leading number of transactions highlights its attractiveness to middle-income buyers, boosted by expanding infrastructure projects enhancing both its residential and investment value.

With over 30 years of journalistic experience spanning from Jordan to the UAE, Khitam has spent the past 22 years reporting on national and regional news from Dubai, with a strong focus on the UAE, GCC and broader Arab affairs. As Chief News Editor, she brings extensive expertise in delivering breaking and engaging news to readers. Beginning her tenure as a translator, she advanced through roles as Senior Translator and Chief Translator before transitioning to editorial positions, culminating in her current leadership role. Her responsibilities encompass monitoring breaking news across the UAE and the broader Arab region, ensuring timely and accurate dissemination to the public.​ Born into a family of journalists, Khitam's passion for news was ignited early in life. A defining moment in her youth occurred in September 1985 when she had the opportunity to converse with the late British Prime Minister Margaret Thatcher during her visit to a Palestinian refugee camp north of Amman. During this encounter, Khitam shared her family's experiences of displacement from their home in Palestine and their subsequent refuge in Jordan. This poignant interaction not only deepened her understanding of geopolitical issues but also solidified her commitment to pursuing a career in journalism, aiming to shed light on the stories of those affected by regional conflicts. Khitam’s commitment to accurate and timely reporting drives her to seek out news that interests readers, making her a trusted source for news on the UAE and the broader Gulf region.

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