Major infrastructure projects worth billions of dirhams are expected to reshape Dubai’s real estate market by improving connectivity, supporting urban expansion and increasing the appeal of emerging residential and commercial districts, according to a leading UAE brokerage study by W Capital Real Estate Brokerage.
The study identified four major projects – the AED128 billion ($34.9 billion) expansion of Al Maktoum International Airport, the AED20.5 billion Dubai Metro Blue Line, the Fourth Federal Corridor and Etihad Rail – as potential drivers of property demand and investment across Dubai and the wider UAE.
Property and land values around Dubai Metro Blue Line stations could rise by up to 25%, according to projections by Dubai’s Roads and Transport Authority (RTA). The project is also expected to generate more than AED56.5 billion in economic, social and environmental benefits by 2040.
The findings underscore the growing importance of transport links and infrastructure in shaping real estate investment decisions, as developers and investors look beyond established property districts towards communities connected to new economic centres, it stated.
Metro expansion could support property demand
The AED 20.5 billion Blue Line will extend 30 km and include 14 stations, connecting established and emerging districts including Dubai Creek Harbour, Dubai Silicon Oasis, International City, Mirdif and Al Warqa.
The line is expected to serve communities with a combined population of more than one million people. Daily ridership is projected to reach 200,000 passengers by 2030 and approximately 320,000 by 2040.
Historical data cited in the study from property consultancy CBRE showed that residential properties within a 15-minute walk of Dubai Metro Red Line stations recorded average price growth of 26.7% between 2010 and 2022, compared with 24.1% across Dubai’s wider residential market.
W Capital said improved public transport access could support property values, although future performance would also depend on supply, demand, construction quality and the availability of community services.
Airport expansion puts Dubai South in focus
The expansion of Al Maktoum International Airport is another potential driver of long-term real estate demand, particularly in Dubai South and surrounding districts.
The AED128 billion project is designed to accommodate up to 260 million passengers annually and includes plans for five parallel runways and 400 aircraft gates.
The development is expected to strengthen Dubai’s position as an aviation and logistics hub, potentially supporting employment growth and demand for residential, commercial and mixed-use properties.
