INSIDE RAK’S NEXT PROPERTY WAVE

Exclusive Interview with Philip Yousef, Chief Sales Officer, Major Developments.

What is driving property buying and selling in the region?

The Ras Al Khaimah market is being driven by a perfect convergence of fundamentals, tourism growth, infrastructure readiness, and yield resilience. In just the first half of 2025, RAK welcomed over 654,000 visitor arrivals, marking a 6% year-on-year surge, with tourism revenues climbing 9%, according to the RAKTDA. 

On the capital markets side, residential values have surged 18% year-on-year as per CBRE, with average apartment prices now reaching AED 1,947 per sq ft. Al Marjan Island has been a standout performer, recording an astonishing 71% annual increase in sales prices. Off-plan activity is also exceptionally strong, with 1,760 units sold in H1 2025 alone and Q2 sales reaching AED 3.6 billion, up from AED 2.5 billion in Q1. These aren’t speculative surges; they reflect the depth and maturity of the market, particularly as RAK Central nears full activation as the emirate’s business and commercial hub.

From my lens, what’s fuelling this activity is not just sentiment, it’s structure. Fitch Ratings continues to affirm RAK at A+ with a Stable outlook, while projecting UAE GDP to grow 5.1% in 2025 and RAK-specific GDP to average 6.1% over 2025-26. For us at Major Developments, this stability is the foundation upon which projects like Manta Bay on Al Marjan and Colibri Views in RAK Central are thriving, they’re built at the intersection of high-velocity tourism and long-term economic activity.

What changes are you seeing in buyer preferences – for example, are people prioritizing location, size, or lifestyle amenities differently than before?

Buyer behaviour in RAK has evolved significantly in the past 18 months. Location remains paramount, but the definition of a “prime” location has bifurcated. On one end are leisure-focused buyers who are driving demand on Al Marjan Island, where the +71% price surge underlines the premium for branded, beachfront, short-let-ready homes. On the other end, we see growing demand for urban convenience in RAK Central, where mixed-use infrastructure, offices, and parks are creating a modern business core. Colibri Views is a direct response to this shift, designed to serve the growing executive and corporate workforce that prefers to live at the centre of activity while staying minutes from the leisure coast.

We’ve also noticed that buyers are increasingly seeking fully furnished, turnkey residences. They want to activate their investment from day one, without the friction of setup and fit-outs. That’s why all our homes at Manta Bay and Colibri Views come fully furnished with integrated European interiors and modular layouts.

Most critically, amenities are no longer seen as decorative, they are decisive. This is where innovation is reshaping buyer expectations. At Manta Bay, we’re delivering the world’s first Sky Beach, a fully functional sandy beach suspended several feet above the shoreline, designed as a year-round leisure space. At Colibri Views, we’ve built the world’s first and only Rooftop Footbot experience in collaboration with international football legend Patrice Evra, combining AI-driven wellness with sport and community engagement. These are not vanity add-ons. They’re lifestyle infrastructure, and increasingly, buyers benchmark projects on the depth and uniqueness of their amenity ecosystem.

We’ve also seen a shift from sheer size to specification quality. Today’s buyers prefer slightly more compact homes if it means better views, better design, and better services. This is exactly why our planning philosophy prioritises layout efficiency and convertible spaces over excess square footage.

To what extent are digital platforms, proptech solutions, and virtual property tours influencing how buyers and sellers engage in the market today?

Digital walkthrough solutions and VR-based tools are redefining how potential buyers experience real estate, taking project understanding to an entirely new level. We see a diverse mix of preferences among our clients, some continue to value traditional purchase journeys, while others find greater clarity and satisfaction when engaging through the latest tech solutions.

We remain committed to exploring emerging proptech trends and integrating the most effective innovations to deliver an informed, seamless, and future-ready experience to our clients.

Are you noticing a shift in the profile of investors entering the market – for example, more overseas buyers, first-time homeowners, or institutional investors?

Absolutely. The profile has diversified significantly. European interest is at an all-time high, with the RAKTDA recording the strongest tourism growth from Central and Eastern Europe, Romania up 65% and Poland up 56% in the first half of this year. That correlates directly with what we’re seeing on the ground: more first-time European buyers entering the market, often purchasing for hybrid use – personal holidays and short-let income.

We’re also seeing more first-time regional buyers, particularly younger GCC and expat professionals, entering through fully furnished, ready-to-rent stock. And notably, institutional investors and regional developers are circling RAK, with CBRE data confirming a surge of interest in acquiring or partnering on new branded residential projects on Al Marjan.

Our two projects reflect these buyer personas clearly: Manta Bay caters to yield-driven investors seeking high-visibility leisure stock near the Wynn Resort, while Colibri Views attracts business-adjacent residents and investors who value RAK Central’s emerging ecosystem of offices, retail, and parks. Together, they capture the two strongest growth corridors in the emirate.

Looking ahead, what trends will drive property transactions over the next 12–18 months?

There are four clear forces set to shape the next cycle of property transactions in Ras Al Khaimah. The most immediate catalyst is the Wynn Resort on Al Marjan Island, which is on track to open in early 2027. Each construction milestone has continued to re-rate the value of surrounding real estate, anchoring Al Marjan as the epicentre of leisure-driven investment.

At the same time, RAK Central is transitioning from concept to reality; its land plots are fully sold out, infrastructure is now complete, and commercial tenants are beginning to activate the district. This momentum positions Colibri Views to serve as the residential benchmark of RAK Central, capturing demand from both regional executives and international investors seeking a foothold in the emirate’s emerging business hub.

The tourism base is also compounding at record levels. In H1 2025, visitor arrivals reached 654,000 (+6% year-on-year) and revenues rose 9%, while ancillary segments like MICE and weddings grew +36%. This sustained inflow will directly fuel demand for short-stay-ready residences, especially those with resort-led appeal like Manta Bay.

And underpinning it all is a highly supportive macroeconomic climate. Ras Al Khaimah continues to hold an A+ (Stable) rating from Fitch, and the UAE is forecast to achieve 5.1% GDP growth this year, creating a favourable environment for capital inflows and real estate liquidity.

Looking ahead, I see the market being shaped by distinctive, experience-led projects in catalytic locations. At Major Developments, we’ve already partnered with global football icons like Francesco Totti and Patrice Evra, whose involvement has reinforced buyer confidence and amplified our international visibility. Building on this success, we intend to forge more such high-profile partnerships while also expanding our portfolio into the Beach District, further strengthening our footprint across Ras Al Khaimah’s most future-ready corridors.