Real estate experts predict that property prices and rents in areas near Etihad Rail stations could surge by up to 15% following the recent unveiling of the high-speed rail network. While the full impact is expected to unfold gradually, the proximity to rail stations is anticipated to play a pivotal role in boosting property values.
Jeff Raju, CEO of Manifest Real Estate, stated, “Areas surrounding Etihad Rail stations could witness rental and price increases of 10 to 15%. Properties closer to metro and rail stations are likely to see the most significant appreciation.”
Svetlana Vasilieva, Head of Secondary Sales at Metropolitan Premium Properties, echoed this sentiment, highlighting specific areas like Al Jaddaf, where prices are projected to rise by 5 to 7%. “Larger apartments near stations could see up to a 10% increase once Etihad Rail becomes operational. Saadiyat Island, with its established social infrastructure and high demand, may experience even greater price hikes compared to Reem and Yas Islands,” she added.
However, experts caution that the rise in property values may not be immediate. Evgeny Ratskevich, CEO of Metropolitan Capital Real Estate, noted, “While the short-term impact on prices may be limited, the long-term benefits will be substantial. Properties near rail stations will gradually appreciate as more residents seek the convenience of shorter commutes between Dubai and Abu Dhabi.”
Etihad Rail’s High-Speed Network: A Game-Changer for UAE Real Estate
On January 23, Etihad Rail unveiled its first high-speed, all-electric passenger train, capable of reaching speeds of up to 350 kmph. The network will connect Dubai and Abu Dhabi in just 30 minutes, with six stations strategically located across key areas, including Reem Island, Saadiyat Island, Yas Island, Zayed International Airport, Al Maktoum International Airport, and Al Jaddaf. Additional stations in Fujairah’s Sakamkam and Sharjah University City further expand the network’s reach.
Reshaping Residential Choices and Boosting Property Demand
Fibha Ahmed, VP of Property Sales at Bayut, emphasized that the Etihad Rail network will replicate the success of the Dubai Metro, which significantly boosted property values in areas like JLT and Dubai Marina. “Improved connectivity along the Etihad Rail route, including ports, industrial zones, and urban centers, will drive demand for nearby properties across all seven emirates,” she explained.
The rail network is expected to contribute Dh145 billion to the UAE’s GDP over the next 50 years. Beyond economic benefits, it will transform commuting patterns and work opportunities. Mohammad Braiwish, Managing Director of TrafQuest, noted, “The rail network will reshape residential choices and enhance accessibility for major events like Formula 1. Stations near international airports will further streamline business and tourism connectivity.”
Key Growth Areas Near Etihad Rail Stations
Elie Naaman, Co-Founder and CEO of Ellington Properties, identified Al Jaddaf in Dubai as a prime area for growth, with improved accessibility driving demand and property values. “Saadiyat Island and Yas Island in Abu Dhabi will also emerge as major transit hubs, pushing property prices higher. These infrastructure advancements will create vibrant, connected communities,” he added.
Jeff Raju highlighted specific developments poised to benefit the most, including Emaar South, Dubai South, Damac Hills, Nshama, Creek Harbour, and Al Jaddaf. “The intercity connectivity between Dubai and Abu Dhabi will make commuting easier, increasing the appeal of these areas,” he said.
Evgeny Ratskevich further emphasized that new developments near stations will experience “more pronounced price appreciation” due to enhanced accessibility and reduced travel times.
Conclusion
The Etihad Rail network is set to revolutionize UAE’s real estate landscape, driving property price and rental increases in areas near its stations. With improved connectivity, reduced commute times, and enhanced accessibility, the rail network will not only boost property values but also reshape residential and commercial opportunities across the Emirates. Investors and residents alike can expect long-term benefits as the project progresses, making proximity to Etihad Rail stations a key factor in future property decisions.
