Dubai’s luxury real estate market witnessed unprecedented activity in 2025, driven by rising demand from high-net-worth individuals supported by a favorable investment environment.
A total of 6,668 luxury property transactions were recorded, with a combined value of AED 143.8 billion—an increase of 41% in the number of deals and 45% in value compared to 2024. The average price per square foot for properties valued above AED 10 million also rose by 5.3% to reach AED 3,588.
The market recorded 20 exceptional transactions with a total value of AED 4.85 billion, most notably the Marble Palace at AED 425 million and a penthouse at Bugatti Residences for AED 550 million.
Jumeirah Bay Island topped the list with the highest price per square foot at AED 10,974, followed by Jumeirah, Emirates Hills, La Mer, and Palm Jumeirah, where limited supply and prime locations contributed to elevated prices.
In contrast, areas such as DAMAC Islands and DAMAC Lagoons posted lower prices due to larger plot sizes and limited development, while communities including The Oasis, Palm Jebel Ali, and other locations witnessed intense activity in luxury property transactions.
As for the Dubai Islands, 4,277 transactions were recorded, with activity concentrated in Islands A and B, where average prices per square foot reached AED 2,404 and AED 2,520, respectively. The remaining islands are still awaiting launch following the completion of infrastructure works. Development continues in phases, with Islands A and B currently capturing the majority of market activity.
