RIYADH: Rising demand drove Dubai’s real estate rental value to rise 17 percent year on year in 2025 to reach 126.4 billion Emirati dirhams ($34 billion), a sign of the market’s strength and the sustained pace of residential and commercial activity, new figures showed.

Data by the Dubai Land Department revealed that registered tenancy contracts recorded a 6 percent increase in volume during 2025, reaching 1.38 million agreements.

In addition to rising demand, the performance was also supported by a broad mix of housing options and clear regulatory frameworks that define and manage relationships between all stakeholders, according to a statement.

The rise in figures underscores the stability of Dubai’s real estate sector and its growing operational maturity.

The outlook is also consistent with projections that approximately 180,000 new units will be delivered in Dubai between 2026 and 2028. This significant rise in supply, compared with prior years, is likely to dampen demand and moderate price growth, according to a Moody’s report released in February.