UAE Property Values and Rents Surge Up to 25% Near Etihad Rail

  21-08-2025
  Royal Panorama
UAE Property Values and Rents Surge Up to 25% Near Etihad Rail

Areas close to the UAE’s Etihad Rail have had double-digit increases in property prices and rental rates in 2025, and more growth is anticipated. Executives in the real estate sector estimate that although rents may increase by up to 15%, property values may climb by up to 25%.

Rental values in areas close to Etihad Rail stations have seen consistent growth, averaging a nine per cent increase over the past nine months. Dubai Festival City posted a standout 23 per cent rise, followed by a 10 per cent increase in Dubai South. This mirrors rental trends seen in areas under construction of the Dubai Metro Blue Line, where rents have already jumped by 23 per cent.

Accessibility creates demand, and properties located within easy reach of the new rail stations will command a premium, which is expected to be from 10 to 20 per cent.

During the previous nine months, property values in areas close to Etihad Rail stations have increased by an average of 13%. Dubai Festival City, located near Al Jaddaf Station, led the surge with an impressive 18 per cent increase, followed closely by Dubai South and Dubai Investments Park at 17 per cent each.

Passenger service on the UAE’s national railway project is scheduled to begin in 2026. By 2030, it is expected to handle about 36.5 million passengers a year once it is up and running. The network will link 11 cities and regions throughout all seven emirates, with a total length of about 900 kilometers.


Drawing comparisons with the Dubai Metro Red Line — where properties within a five to 15-minute walking radius appreciated by 15 to 25 per cent — it is conservative to project a 10 to 15 per cent appreciation in residential values in the near future, given Etihad Rail’s national scale and its integration with key hubs like the expanding Al Maktoum International Airport.

Growing buyer interest
Investor interest is soaring as many seek to take advantage of early entry chances due to the anticipated greater profits on homes close to Etihad Rail stations.

There has been a rise in client interest, with agents guiding clients toward strategic locations where they can enter the market early, with the expectation that demand will push both sales prices and rental yields upward. As stations become operational, the premium for well-connected homes, whether apartments or villas, will likely mirror the uplift seen in Dubai Marina and Downtown after the metro launch.

In the first three to five years after the start of operations, residential properties close to Etihad Rail stations may witness a 15–25% price boost. The strongest growth is likely to occur in areas that combine affordability with improved connectivity, attracting both end-users and investors. This includes ready properties that will immediately benefit from better accessibility, as well as off-plan developments launched ahead of completion.

Royal Panorama
Royal Panorama