Dubai Residential REIT has taken another major step in expanding its residential investment portfolio by acquiring 220 townhouses in Jebel Ali Village through a forward purchase agreement valued at AED894 million. The transaction reinforces the REIT's long-term growth strategy while increasing its exposure to Dubai's growing family housing market.

The latest acquisition follows the successful addition of 56 premium Garden View Villas earlier this year, bringing the REIT's total acquisitions during the first half of 2026 to 276 residential units. Together, these newly added assets are expected to contribute approximately AED75 million in annual revenue once fully stabilised, supporting stronger cash generation and sustainable returns for investors.

The announcement reflects Dubai Residential REIT's commitment to expanding its portfolio with high-quality, income-generating residential communities that benefit from Dubai's strong population growth and increasing demand for family-oriented housing.

Strategic Expansion in One of Dubai's Established Communities

The acquisition of the Jebel Ali Village townhouses marks another milestone for Dubai Residential REIT since its public listing.

Located in one of Dubai's well-established residential communities, Jebel Ali Village has become increasingly attractive for families seeking larger homes, landscaped surroundings and convenient access to key employment hubs across the emirate.

Unlike many newly launched developments, the community already benefits from mature infrastructure, schools, retail facilities and transport connectivity, making it an attractive location for long-term tenants.

By securing these homes through a forward purchase agreement, the REIT is positioning itself to capture future rental income while expanding its presence within Dubai's premium residential market.

The transaction also reflects growing confidence among institutional investors in Dubai's residential property sector, which continues to outperform many global real estate markets.

Management Highlights Disciplined Growth Strategy

Ahmed Al Suwaidi, Managing Director of DHAM REIT Management, described the acquisition as another important step in executing the REIT's long-term investment strategy.

He said the addition of the 220 townhouses follows the earlier acquisition of Garden View Villas and demonstrates the company's disciplined approach to expanding its portfolio with quality residential assets.

According to Al Suwaidi, each acquisition aligns with the growth pipeline presented to investors during the REIT's listing, while maintaining a focus on operational efficiency, sustainable income generation and long-term value creation.

He added that the newly acquired community offers strong long-term demand fundamentals due to its family-oriented design, strategic location and high-quality residential environment.

The REIT will now focus on leasing the properties efficiently while maintaining a premium resident experience that supports stable occupancy and recurring rental income.

Dubai Residential REIT Continues Building Scale

The latest acquisition increases Dubai Residential REIT's portfolio by a total of 276 homes during the first six months of 2026, reflecting steady execution of its investment roadmap.

Since listing on the Dubai Financial Market, the REIT has focused on acquiring residential assets capable of delivering reliable rental yields while maintaining a diversified tenant base.

Unlike speculative property investments, residential REITs generate recurring income through rental collections, providing investors with regular distributions backed by professionally managed assets.

The continued expansion also strengthens the REIT's position as the largest residential real estate investment trust in the GCC, giving it greater scale within one of the region's fastest-growing housing markets.

Jebel Ali Village Continues to Attract Family Demand

Jebel Ali Village has experienced renewed interest in recent years following extensive redevelopment and modernisation.

Originally one of Dubai's most established residential neighbourhoods, the community has been transformed into a modern villa and townhouse destination while retaining its spacious layout and green open spaces.

The neighbourhood appeals particularly to families due to its:

• Spacious townhouses and villas
• Landscaped parks
• Community retail outlets
• International schools nearby
• Easy access to Sheikh Zayed Road
• Connectivity to Dubai Marina, Expo City Dubai and Jebel Ali Free Zone

Growing employment opportunities in nearby business districts have also contributed to rising rental demand across the surrounding area.

As Dubai's population continues expanding, established family communities such as Jebel Ali Village are expected to benefit from sustained occupancy and rental growth.

Strong Outlook for Dubai's Residential Rental Market

Dubai's residential sector has remained one of the strongest-performing segments of the emirate's property market.

Population growth, increasing foreign investment and continued business expansion have supported demand for quality rental accommodation throughout 2025 and into 2026.

The city's status as a global business hub continues attracting skilled professionals, entrepreneurs and international companies, creating consistent demand for apartments, villas and townhouses.

At the same time, government initiatives including long-term residency programmes, Golden Visas and business-friendly reforms continue encouraging expatriates to establish long-term homes in Dubai.

These structural trends have helped maintain healthy occupancy levels while supporting rental growth across many residential communities.

Institutional investors are increasingly viewing residential assets as stable long-term investments capable of generating predictable cash flows.

AED75 Million Revenue Potential Supports Future Growth

Dubai Residential REIT expects both the newly acquired Jebel Ali Village townhouses and the earlier Garden View Villas acquisition to generate approximately AED75 million in additional annual revenue once stabilised.

This recurring income is expected to strengthen future distributions to unitholders while enhancing the REIT's overall financial performance.

Because residential leasing provides relatively stable rental income compared with many commercial real estate sectors, expanding the residential portfolio offers greater resilience against economic fluctuations.

Management also emphasised that future acquisitions will continue prioritising operational readiness, strategic fit and long-term value creation rather than pursuing rapid expansion alone.

Additional Acquisitions Under Evaluation

Dubai Residential REIT has confirmed it continues evaluating several additional opportunities within Dubai Holding's residential development pipeline.

Among the projects currently under consideration are:

• Lantana Hills at Dubai Science Park
• New residential units within Dubai Wharf
• Single-family homes within The Acres community in Dubailand

Any future acquisitions will be assessed in accordance with the REIT's investment policy, portfolio diversification strategy and long-term return objectives.

This disciplined investment approach aims to ensure every acquisition contributes positively to rental income while maintaining portfolio quality.

Dubai's Residential Investment Market Continues to Mature

The latest acquisition also reflects the growing maturity of Dubai's institutional real estate investment market.

Historically dominated by individual investors, Dubai's residential sector is increasingly attracting professionally managed investment vehicles such as REITs.

These institutions provide investors with diversified exposure to income-producing residential assets without requiring direct property ownership.

As Dubai continues expanding its population, infrastructure and business ecosystem under the Dubai Economic Agenda (D33), demand for professionally managed rental housing is expected to remain strong.

Institutional ownership also supports improved property management standards, enhanced tenant experiences and greater transparency for investors.

Positive Long-Term Outlook

The acquisition of 220 townhouses at Jebel Ali Village represents more than a simple portfolio expansion—it signals Dubai Residential REIT's confidence in the long-term fundamentals of Dubai's housing market.

With a disciplined acquisition strategy, strong pipeline of potential investments and growing demand for family-oriented residential communities, the REIT is positioning itself to deliver sustainable rental income and long-term value for its investors.

As Dubai's population continues to grow and institutional investment in residential real estate accelerates, assets such as Jebel Ali Village are expected to play an increasingly important role in supporting stable returns and strengthening the emirate's evolving rental housing market.