Why Abu Dhabi is becoming more attractive for millionaire investors

Millionaire investors are looking towards Abu Dhabi for long-term investments, according to data that shows the capital is home to the highest number of luxury properties on sale in the UAE.

Analysis by real estate developers Bloom Holding found the highest property price growth between 2020 and 2025 was in Abu Dhabi, with the capital having 352 homes for sale valued above $1 million, compared with 343 in Dubai.

Abu Dhabi recorded year-on-year growth of 202 per cent in the last five years, with 8,490 properties on sale increasing in value.

Low taxes and substantial sovereign wealth, along with high living standards, were listed as significant factors in attracting ultra-high-net-worth individuals to choose Abu Dhabi for long-term property investments.

A bright future

Asad Khan, chief executive of Invest Dubai Real Estate, said Abu Dhabi is becoming a more attractive option for investors.

“With all the government bodies based there, as well as sectors like technology, healthcare, finance and renewable energy all setting up, the bigger players are coming into Abu Dhabi,” he said.

“There's a lot of investment coming into the area, not only from the government but also from the private sector.

“I feel that the future is very, very strong in terms that the entry price is a lot lower in Abu Dhabi – even within the luxury market.”

“Abu Dhabi is getting more people coming into that space only because, the entry price is a lot lower,” said Mr Khan.

“You're getting a lot more for your money, both on the commercial side and also on the residential side.”

One UAE resident looking to invest in Abu Dhabi is Kevin Goodall, who lives in Dubai with his wife and four sons.

Mr Goodall sold his IT business last February and moved to Dubai to rent a family villa in Arabian Ranches in August. He has already purchased off-plan in a luxury development in Dubai, but is now looking towards Abu Dhabi for opportunities.

“I will probably be looking to invest around Yas Island or anywhere near where Disneyland is being proposed,” he said.

“Investing in Abu Dhabi is more of a diversification tactic. Obviously it is very different to Dubai, and they've both got very different appeal.

“There are a lot of attractions there like the F1, theme parks and Disney which is definitely appealing. Investing there is more a strategic tactic.”

Population growth

In a decade, Abu Dhabi’s population has grown 51 per cent, rising from 2.7 million in 2014 to over 4.1 million in 2024.

In the first three months of 2025, total real estate transactions in Abu Dhabi grew by 34.5 per cent compared with the same period in 2024, climbing from Dh18.82 billion to Dh25.3 billion.

Figures from the Abu Dhabi Real Estate Centre showed the number of property deals made in that quarter increased from 5,773 to 6,896.

Mortgage transactions also recorded strong growth in Abu Dhabi, reaching Dh9.8 billion through 3,077 transactions – a 49 per cent year-on-year increase.

“Abu Dhabi Vision 2030 is a comprehensive long-term plan that aims to transform the emirate into a diversified, sustainable, and globally integrated economy,” said Arun Bose, director of the International Real Estate & Investment Show that takes place in Abu Dhabi in September.

“At the heart of this vision is real estate development, which plays a pivotal role in shaping the future of urban living, economic growth, and social infrastructure.

“The strategy focuses on creating vibrant, liveable communities supported by smart infrastructure, green spaces, and world-class amenities.

“With investments pouring into mixed-use developments, waterfront districts, cultural hubs, and high-tech business zones, Abu Dhabi is positioning itself as a real estate powerhouse in the region.”