Jets are driving the rapid emergence of a new real estate hotspot in Dubai. Al Maktoum International Airport’s (DWC) enormous Dh128 billion expansion is currently underway, and Dubai South is swiftly emerging as the city’s next major development.
Even though the remodeled airport is expected to handle up to 260 million passengers annually, making it the largest in the world, the impact on the real estate market in Dubai South is already apparent.
Prices affordable – for now
Due to property prices that are still about 60% cheaper than in desirable neighborhoods like Downtown or Business Bay, homebuyers and investors are swarming to the area. Nearby neighborhoods such as Dubai Industrial City now have average sale prices of Dh750 per square foot, whereas Dubai Investment Park has an average of Dh850.
Prime zones, on the other hand, continue to fetch Dh2,000–2,500 per square foot. Both end users and investors looking for value and long-term growth potential are drawn to this pricing disparity.
Property sales are soaring
Property sales in Dubai South totaled Dh16.1 billion in 2024 alone. According to a recent Betterhomes market study, that amount has already surpassed Dh15 billion just five months into 2025, indicating further progress.
The demand for rentals is growing at the same rate. Due to a strong increase in tenant demand, average annual rentals have increased by 20% in 2025. According to the research, buyer and rental inquiries have actually been increasing by more than 20% each month. The increase is attributed to rising interest in both ready and off-plan properties.
Infrastructure, a game-changer
Future connection initiatives like the Etihad Rail, which will have a stop in Dubai South, and the Dubai Metro Blue Line, which will service Al Maktoum Airport, are anticipated to increase the area’s allure even further. The area is becoming more livable and more investment-friendly as transportation access increases.
A recent Dh1 billion deal to build the airport’s second runway provided additional proof of momentum and indicated that schedules are proceeding quickly.
Investors are betting big
The excitement is being heightened by significant investments. New institutional capital is being injected into the residential sector, not only in Dubai but throughout the region, thanks to a $1 billion real estate partnership between a global investment firm Brookfield and an asset manager located in the United Arab Emirates.
This type of institutional confidence, according to Betterhomes, frequently signals the start of a longer development cycle. After the opening of Terminal 3 at Dubai International Airport in 2005, they anticipate that Dubai South would have a similar trend, with property values in the surrounding districts, such as Dubai Marina and Al Barsha, virtually doubling by 2008.
Outlook: More room to grow
Prices in Dubai South are expected to increase by an additional 15% to 20% in the near future. The window of opportunity is still open, but probably won’t last long, as infrastructure is being built, development is moving forward, and prices are still reasonably affordable.
Dubai South might be the next destination for UAE citizens looking for a house or investment with significant upside potential.