Major real estate projects have flooded Ras Al Khaimah in recent years, completely changing the local real estate market. With branded residences, world-class hotel brands, and opulent real estate developments, Ras Al Khaimah has established itself as a prime destination for real estate investment in the United Arab Emirates.
Unprecedented demand was seen in Bayut’s 2023 RAK Market Report for real estate in upscale island and waterfront neighborhoods like Al Hamra Village, Al Marjan Island, and Mina Al Arab.
These neighborhoods’ skylines are still being shaped by opulent developments; some homes are listed for more than AED 80 million. According to Bayut, apartment prices have increased by almost 20 percent since last year, making these waterfront communities the most sought-after in Ras Al Khaimah.
Here is what each neighborhood has to offer:
Al Hamra Village
Based on data from Bayut, Al Hamra Village—which has over 2,500 homes spread over four connected lagoons—has become the best place to invest in real estate.
There was significant growth in the previous year, with average increases in property prices of five percent per square foot and rents of three to six percent per Bayut. The average rate of return on investment was slightly higher than 7%.
The most eagerly awaited project is Falcon Island, a private island community that is scheduled to be completed in early 2025. Over 500 townhomes and villas with starting prices of $2.1 million will be available.
The full lifestyle that Al Hamra Village provides is a major draw. Four interconnected lagoons, an 18-hole golf course, a marina, a yacht club, dining options, and a shopping center are all part of the neighborhood. Families looking for privacy and golf enthusiasts have been drawn to neighborhoods like Royal Breeze, Marina Residences, and Golf Apartments.
Although there isn’t any public transportation in the area, most buyers find that the amenities and lifestyle options make up for it. Realiste predicts that this year will see an average increase in property prices in Al Hamra Village of 13%.
Mina Al Arab
One of Ras Al Khaimah’s most prestigious residential areas is Mina Al Arab, which is also the location of future projects like RAK Properties’ “Quattro Del Mar Project,” Porto Playa, and Cape Hayat.
As a high-profile residential neighborhood inside the Emirate, these luxury properties offer an integrated lifestyle hub with entertainment and top-notch amenities. With prices for real estate reaching up to AED 20 million, the Peninsula has drawn families and investors looking for a place to call home.
Within a gated wetland area, the waterfront community offers villas and apartments. There have been a lot of new project launches in important areas as a result of the spike in demand for real estate in this area.
Several upscale residential real estate projects have been introduced recently in response to the increase in demand, including Bay Residences, Gateway Residences, and Marbella Villa Phase 2.
Due to the quick sell-out of new projects, developer RAK Properties reported record sales of AED 2.8 billion in 2023. This trend is anticipated to continue in 2024.
There are currently only two hotels in the area: the InterContinental and the Anantara Resort, but more are being built.
The community’s offerings will be further expanded in the upcoming year thanks to RAK Properties’ joint venture with Ellington and the addition of Nikki Beach Resort & Spa. Realiste, an AI-based market forecasting tool, projects that high demand and limited supply will cause real estate prices to rise by up to 20.7 percent.
Al Marjan Island
Al Marjan Island has quickly become Ras Al Khaimah’s premier luxury destination with the upcoming $3.9 billion Wynn resort, luring upscale developers and high-net-worth investors.
Al Marjan, which is made up of four islands with 7.8 kilometers of beaches, will soon have world-class amenities and major 5-star hotel brands to accommodate affluent travelers.
Prices per square foot for existing properties increased by 8% last year, according to real estate portal Bayut, indicating a surge in demand.
For those looking to live by the water, developments like Bab Al Bahr Residences on Breeze Island and the Pacific have proven to be popular choices. Al Mahra and Danah Bay Phase 3 are two other properties that have attracted a lot of interest. A report states that these properties could increase in value by up to 14.5 percent this year.
The Wynn resort will be built on Dream Island, which is developing into a gated community drawing ultra-high-net-worth individuals with its opulent branded residences. Renowned real estate projects like Nobu Residences, MASA Residences, Nikki Beach, and Oceano are currently under construction. Penthouses in the Oceano towers are priced between AED 1 million and AED 80 million. This private area will offer seclusion, seclusion, private beaches, private clubs, and upscale dining establishments.
Property experts predict a very high demand for rental properties of any kind situated on Al Marjan and close to the multi-billion dollar Wynn resort. Maxim Novikov, Head of Metropolitan Premium Properties’ RAK branch, predicts that property values will rise by an additional 50% following the opening of the Wynn resort.
Ras Al Khaimah’s standing as a popular international destination is further enhanced by the ongoing growth of its luxury development. With a record 1.22 million overnight arrivals, the Ras Al Khaimah Tourism Development Authority (RAKTDA) reported the highest-ever annual visitor numbers in 2023.
The island is quickly emerging as Ras Al Khaimah’s tourism hub due to the ongoing construction of hotels and residential buildings. In addition to drawing tourists, its beaches and corniches lined with palm trees also draw fitness enthusiasts who use the running and cycling tracks.