Dubai Residential REIT reported solid financial performance for the year ended 31 December 2025, supported by strong operating fundamentals and disciplined asset management. Moreover, profitability improved across key metrics, reflecting resilient demand in the residential leasing market.
Earnings and operating performance
Revenue increased by 9.0% year-on-year to AED1.95 billion in 2025. Additionally, net profit before changes in the fair value of investment property rose by 14.5% to AED1.28 billion. Adjusted EBITDA also grew by 15.2% to AED1.49 billion and, as a result, the adjusted EBITDA margin strengthened to 76.4% from 72.3%.
Occupancy levels remained high, with the average rate rising by 1.7 percentage points to 98.3%. Moreover, average revenue per leased unit increased to AED53,524, while revenue per leased square foot reached AED56.5. Therefore, performance reflected sustained tenant demand and effective execution of leasing and renewals.
Balance sheet strength and asset values
Asset valuations improved in line with operating momentum and market conditions. Gross asset value rose by 8.8% to AED23.54 billion, while net asset value increased by 12.6% to AED22.05 billion. Meanwhile, the residential portfolio remained stable at 35,700 units, with gross leasable area broadly unchanged.
Dividend proposal
Given the strong cash generation, the board proposed a dividend of AED550 million, equivalent to 4.2 fils per unit, for the second half of 2025. Consequently, the distribution is scheduled for April 2026, subject to unitholder approval at the Annual General Meeting on 9 March 2026.
