Capstone eyes property development as Abu Dhabi market demand exceeds supply

Capstone

Ishrath Jaigirdar

Dubai, UAE

Abu Dhabi’s property market is reaching new heights as seen in its half yearly performance this year. The sector achieved a total transaction value of Dh51.72 billion in H1 2025, making a 39 per cent jump from Dh37.2 billion in the same period in 2024, as per Abu Dhabi Real Estate Centre (ADREC). This is a clear indication of strong demand for real estate assets in the capital at a time when the market is witnessing supply shortage. Leveraging on the supply-demand imbalance, Capstone Real Estate – a property management agency based in Abu Dhabi – will soon launch itself as a property developer, its CEO told Gulf Property in an exclusive interview.

“The economic diversification is creating new jobs and opportunities in Abu Dhabi where the demand for quality residential units is way much higher than the pace of supply and developers need to invest in new homes,” Amer Al Ahbabi, Chairman of Capstone Real Estate, said at the International Real Estate Investment Show (IREIS) 2025, that took place at the Abu Dhabi National Exhibition Centre (ADNEC).

“The higher demand is pushing the prices up, that makes investment in real estate very profitable with premium growing fast. Properties are sold out at launch events as more and more investors are coming to Abu Dhabi to enjoy living in one of the safest places in the world,” he added.

According to Cavendish Maxwell, housing supplies in Abu Dhabi could exceed 11,900 units this year while more than 33,000 residential units are under construction till 2029.

Ahbabi cited various investment routes like Golden Visa and tokenisation which are pushing the demand. They are helping investors to invest, live in the UAE, and also make profits from the investment.

“The Government authorities have created a world-class eco-system for international investors and we are here to serve them along with government. The UAE has one of the best regulations when it comes to real estate where the investors are very well protected by the laws,” he said.

With a property management portfolio of over 3,000 units valued at more than Dh1 billion, Capstone Real Estate has established a solid ground in Abu Dhabi since its inception in 2018 – offering end to end services in property management as well as the buying and selling of properties. From contract signing and cheque collection to snagging and facilities management, the firm covers all aspects of property management. It currently oversees a varied array of units, including residential, commercial, retail, warehouses, and camps.

Muhammad Shoaib, CEO of Capstone Real Estate, spoke to Gulf Property at IREIS 2025 about the company’s expansion into real estate development. Capstone expanded its operations in Dubai and Al Ain in 2021 and found global presence in London following its regional growth.

As demand for properties in the capital is presently gaining significant traction, Shoaib considers this as the ideal time to enter the market as the developer. Capstone’s plan to foray into development stems from the current situation of demand outgrowing supply. This is underscored by the instant sell-out of projects in the emirate.

“Aldar’s latest project was sold out before the public launch. So, demand is very high in Abu Dhabi, particularly in areas like Yas Island, Saadiyat Island, and Reem Island,” he said.

Capstone will build its first development on Reem Island, Shoaib revealed. The project will offer luxury units available at affordable prices, which will target a bigger spectrum of homebuyers.

Being a fully local-owned property management firm, Capstone caters to a large number of local clients who own individual standalone buildings in Abu Dhabi, Dubai, and Al Ain.

It has come up with initiatives that offer added value to buyers. “Any investor who buys off-plan properties with Capstone can avail free snagging and free property management services for the first five years,” Shoaib added. It also facilitates virtual ownership transfer through Abu Dhabi Global Market (ADGM), enabling its clients to purchase properties without being physically present.

Capstone Real Estate is part of a well-diversified group of Vertix Holdings that has interests in investment, facilities management, property management, artificial intelligence, education, etc.

Ends

Also read: IREIS in Abu Dhabi highlights capital’s US$758 billion active projects portfolio

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