Dr. Mohanad Alwadiya
CEO, Harbor Real Estate
The first half of 2025 marked a strategic turning point in Dubai’s real estate market, following a landmark announcement by the Government of Dubai, represented by the Dubai Land Department, allowing full ownership for all nationalities in the Sheikh Zayed Road and Al Jaddaf areas. This decision stands out as one of the most significant legislative developments in the sector in recent years. It has immediately boosted investment appeal, invigorated transactional activity, and unlocked new development opportunities in some of the most infrastructure-connected zones in the emirate.
The decision included converting 457 land plots to freehold ownership, comprising 128 plots along Sheikh Zayed Road (from the Trade Centre Roundabout to the Dubai Water Canal) and 329 plots in Al Jaddaf. The impact was immediate: according to market reports, there has been a sharp increase in owners seeking to convert their properties and pay the required fees—about 30 percent of the property’s base value—in preparation to relist them on the market at prices that have risen between 50 percent and 100 percent.
This legal shift has also encouraged developers and investors to rethink their strategies. Ready, mixed-use developments in these prime locations are being offered under the freehold system with competitive payment plans and attractive pricing, especially compared to nearby up-and-coming projects still under construction. This signals the start of a tangible transformation in Sheikh Zayed Road and Al Jaddaf, from restricted ownership to an open and globally accessible investment market.
What we are witnessing is not merely a legal amendment but a strategic move to unlock the latent value of central locations that have long awaited full integration into the real estate investment landscape. This is about more than ownership rights—it is about triggering a wave of redevelopment, revitalisation, and investor confidence. The change is already stimulating economic activity across the construction, brokerage, legal, and financial sectors, creating a ripple effect that extends far beyond the immediate market.
For property owners, the introduction of freehold ownership in these areas represents an unprecedented opportunity for capital growth. Many are now converting their assets to capitalise on the surge in demand from both domestic and international buyers. The appeal for overseas investors lies in Dubai’s unique combination of tax advantages, political stability, globally recognised infrastructure, and now, expanded access to two of its most strategic urban zones.
From an investment standpoint, the appeal is multifaceted. Both Sheikh Zayed Road and Al Jaddaf are already served by extensive transport links, established commercial hubs, high-end retail, and abundant lifestyle amenities. The shift to freehold ownership enhances liquidity, broadens the buyer base, and encourages long-term value creation. Institutional investors, in particular, value the stability, predictable yields, and asset security offered by a market backed by a robust legislative framework.
The government’s decision also reflects Dubai’s broader vision of remaining one of the world’s most innovative and investor-friendly real estate markets. It underscores the emirate’s legislative agility—its ability to respond to evolving market dynamics and global investor sentiment with decisive, forward-looking policies. In doing so, Dubai sets a global precedent for how urban markets can use legislative reform to drive sustainable growth.
The transformation is already shaping urban planning priorities. With ownership rights expanded, developers are expected to introduce master-planned communities that blend residential, commercial, and leisure elements in ways that align with the city’s long-term growth strategy. This will create a richer, more diverse, and more competitive urban landscape, further elevating Dubai’s status as a world-class destination for investment and living.
In essence, the recent legislative change is a prime example of how a mature, adaptive, and forward-looking regulatory system can accelerate market transformation. It serves as a reminder that in real estate, the most powerful shifts often occur not through physical construction alone, but through the policies that determine how land and property can be owned, developed, and utilised.
Dubai has once again shown its ability to innovate, adapt, and lead. The new freehold framework in Sheikh Zayed Road and Al Jaddaf is not just a milestone in real estate legislation—it is a catalyst for a new era of growth, opportunity, and urban evolution. The coming years will reveal just how far-reaching this change will be, both for the city itself and for the global investors who continue to place their confidence in its future.
Ends
Also read: Why UAE Real Estate Continues To Hit Record-Breaking Growth
