Dubai Residential REIT, a Shariah-compliant real estate investment trust, has received shareholder approval to distribute AED550 million ($150 million) in cash dividends for the second half of 2025.
The dividend, approved at the company’s Annual General Meeting, is equivalent to 4.2 fils per unit. As a result, the total payout for the financial year ended December 31, 2025 reached AED1.1 billion, or 8.5 fils per unit.
According to the company, the distribution implies a gross dividend yield of 7.7 percent based on the initial public offering price and represents approximately 86 percent of net profit before changes in the fair value of investment property.
One of the Region’s Largest Residential Leasing Portfolios
Managed by DHAM REIT Management, Dubai Residential REIT is one of the largest owners and operators of residential real estate in the Gulf Cooperation Council and is considered the region’s first pure-play residential leasing REIT.
The trust manages a portfolio of 21 integrated communities with more than 35,700 homes serving over 140,000 residents across the United Arab Emirates.
Its properties span four main segments: premium, community, affordable and corporate housing.
Strong Market Fundamentals Support Growth
Nabil Mohammad Ramadhan, Chairman of the Board of Directors for Dubai Residential REIT, said the approved dividend reflects the strength of the trust’s portfolio and confidence in the emirate’s residential leasing sector.
“The approval of the AED550 million cash dividend for the second half of 2025 is an important outcome for unitholders and reflects strength in the REIT’s portfolio, operating model and confidence in Dubai’s residential leasing market.
“With total cash dividends of AED1.1 billion for 2025, we have delivered in line with the distribution guidance provided at the time of listing.
“Looking ahead, we remain committed to strong governance, prudent leverage, and balanced capital allocation, while continuing to progress our committed growth pipeline and maintain our distribution policy of paying out at least 80% of our net profit.”
Ramadhan said Dubai’s residential leasing market continues to benefit from diversified demand and a well-established regulatory framework, supporting its long-term resilience.
Strong Financial Performance in 2025
The REIT reported solid operational performance in 2025, with revenue rising 9 percent year-on-year to AED1.95 billion.
Portfolio occupancy reached 98.3 percent, while tenant retention stood at 88 percent.
Meanwhile, net profit before changes in the fair value of investment property increased 14.5 percent to AED1.28 billion, reinforcing the strength of recurring rental income and supporting the dividend distribution.
