The UAE property market, particularly in Abu Dhabi and Dubai, is drawing increasing interest from investors in Hong Kong and mainland China. Recent activity highlights this trend, including a US$150 million residential acquisition in Abu Dhabi by Gaw Capital and an investment by Black Spade Capital in IFCX, a Hong Kong-based real estate brokerage with a focus on emerging markets like the Middle East.
In the first quarter of 2024, Chinese buyer inquiries for UAE properties surged by 28 per cent compared to the previous year. Foreign investors contributed over US$2 billion to the Abu Dhabi property market during the same period—a 125 per cent year-on-year increase—placing China among the top sources of capital alongside the US, UK, France, Kazakhstan, and Russia.
Gaw Capital’s acquisition was part of Mamsha Gardens, a low-density residential project located on Saadiyat Island. The property was purchased from Aldar, Abu Dhabi’s largest developer, which reported that international buyers accounted for 87 per cent of its first-quarter sales. Gaw Capital, managing over US$34 billion in assets as of late 2024, has signaled plans to continue increasing its exposure to the Middle East market.
Dubai also saw robust activity, with Chinese investors accounting for approximately 8 per cent of total foreign investment in its real estate sector this year. Residential rents and sales prices climbed 16 per cent and 18 per cent respectively in 2024, while office rents rose by 22 per cent and are forecasted to rise by another 10 to 12 per cent in 2025.
These gains are supported by growing expatriate demand, government initiatives that encourage foreign investment, economic diversification, and the introduction of new residency permits. The region’s strategic importance is further emphasized by recent high-profile visits from world leaders and efforts by Hong Kong to deepen economic ties with the Gulf Cooperation Council.
Investors are increasingly targeting institutional-grade assets in logistics, offices, and premium residential segments due to their income-generating potential and strong regulatory frameworks. Average luxury property transaction prices in Abu Dhabi reached US$743,000 in early 2024, with foreign buyers averaging US$1.12 million.
IFCX aims to raise at least US$5 billion from Asian investors for real estate projects across emerging markets. The group operates several real estate service platforms catering to direct investment, developer representation, and property management.
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