Dubai Holding Will Start Selling Shares of Its Real Estate Business Next Week
Dubai Holding plans to offer shares of its Dubai Residential Real Estate Investment Trust (REIT) to the public next week. The goal is to list the fund on the Dubai stock market.
IPO Details
Dubai Residential REIT is a real estate investment fund that follows Sharia (Islamic) rules. It makes money by investing in properties and is not open-ended, meaning investors can’t join or leave whenever they want. The fund is one of the largest owners and operators of homes in Dubai.
The fund is fully owned by DHAM Investments, which is part of Dubai Holding. Through this IPO (Initial Public Offering), the company will sell 1.6 billion shares to the public.
People can buy shares during the subscription period, which runs from May 13 to May 20. The shares are expected to start trading on the Dubai Financial Market (DFM) on May 28.
The company managing the fund, DHAM REIT Management LLC (also part of Dubai Holding), may decide to change the number of shares offered before the subscription ends, depending on the rules.
Dividend Policy
Dubai Residential REIT plans to pay dividends twice a year — in April and September — starting in September 2025.
The first two dividend payments, expected in September 2025 and April 2026, should be more than $299.5 million (AED 1.1 billion). This amount is about 80% of the fund’s net profit (before any changes in property values) for the year ending December 2025, but it still needs the board’s approval.
From 2026 onward, the fund plans to pay at least 80% of its yearly net profit (before adjusting for property value changes) as dividends, again subject to board approval.
Big Number
The number of homes managed by Dubai Residential REIT slightly increased by 0.6%, reaching 35,700 units at the end of 2024, up from 35,483 units a year earlier.
Financials
As of December 31, 2024, the fund’s total assets were worth $5.9 billion (AED 21.6 billion). Its revenue rose by 8.9% compared to the previous year, reaching $6.4 million (AED 1.8 billion).
Published: 7th May 2025
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