Dubai Islands turn next big waterfront investment

Dubai: Dubai Islands is fast becoming one of the city’s most talked-about coastal communities. Once a quiet development zone, it’s now a thriving real estate story — recording Dh6.1 billion in sales during the first half of 2025, according to Betterhomes Research.

Backed by Nakheel and aligned with the Dubai 2040 Urban Master Plan, Dubai Islands is reshaping what luxury waterfront living looks like — blending resort-style homes, leisure districts, and city convenience in one location.

Spanning 17 square kilometres and offering 20 kilometres of beachfront, the project features five interconnected islands designed for living, hospitality, and culture — all within minutes of Deira, Old Dubai, and Dubai International Airport. Upcoming RTA bridge links will make access even easier, adding to its appeal for residents and investors alike.

Dubai’s property market reached Dh262 billion in total transactions in H1 2025, its best half-year on record. Within that, Dubai Islands stood out:

Waterfront communities saw 12–15% annual price growth by June 2025, with Dubai Islands positioned to outperform in both yields and appreciation.

“Dubai Islands combines a premier waterfront setting with practical city access,” said Wassim Abdallah, Director of Development Sales and Consultancy at Betterhomes. “It attracts both end-users seeking resort-style living and investors focused on yield and long-term capital growth.”

Nakheel, the project’s master developer, is rolling out a mix of residential, retail, and hospitality projects. Key developments already open include:

Upcoming phases will feature low- to mid-rise residential buildings, marina precincts, and cultural and retail hubs. Together, they’ll form a walkable lifestyle destination with beachfront promenades, dining, and wellness spaces.

For residents, Dubai Islands offers a resort lifestyle within city reach — long beaches, open views, and proximity to everyday conveniences. Homes are designed with open layouts, natural light, and outdoor spaces, making them ideal for families, professionals, or those seeking a second home by the sea.

For investors, it’s about value and timing. Prices remain below Palm Jumeirah levels, leaving room for capital growth, while strong tourism and hospitality infrastructure help sustain rental yields. With limited true waterfront inventory in Dubai, early buyers are positioning themselves before the area matures.

More than 10,700 residential units are currently under construction, with more planned across upcoming phases. As new bridges and infrastructure come online, Dubai Islands is expected to become Dubai’s next fully connected waterfront district — offering a balance of lifestyle, location, and long-term investment potential.

Whether you’re searching for your next home or your next high-yield investment, Dubai Islands is shaping up to be one of 2025’s most promising addresses.