Shifting Trends in Dubai's Real Estate: A Focus on Mixed-Use Developments and Luxury Growth

The Dubai real estate sector is transitioning towards mixed-use developments that blend residential, commercial, and leisure spaces, amid discussions of a moderation in market growth. Affordable housing is becoming a focal point, targeting the growing middle class and young professionals relocating to Dubai.

Experts highlight the rise of smart cities powered by digital infrastructure and AI, with developers adapting their strategies to offer properties at accessible price points, particularly in areas on the city’s outskirts. There’s an increased emphasis on sustainability, with green building certifications gaining traction, as seen in projects like Dubai Sustainable City.

Despite these shifts, the luxury real estate market remains robust, attracting global elites and driving economic growth. The construction of high-end properties stimulates job creation and demand for luxury services. Positive market sentiments suggest property prices in Dubai may rise by 5 to 7 percent annually through 2025. Overall, the UAE's real estate market is projected to reach $680 billion, with residential properties accounting for $390 billion, supported by a forecasted GDP growth of 6.2 percent driven largely by the luxury segment.