Dubai Holding increased the Dubai REIT IPO size due to overwhelming demand from both local and global investors. Initially, the offer covered 12.5% of the capital. However, strong momentum encouraged the company to raise it to 15%.
As a result, the offer now seeks between AED 2.08 billion and AED 2.14 billion in total capital. Moreover, the unit price range remains between AED 1.07 and AED 1.10. This means the IPO could give the company a valuation of AED 13.9 billion to AED 14.3 billion.
In response to demand, Dubai REIT IPO, the institutional tranche grew from 1.46 billion to 1.79 billion units. Meanwhile, the retail portion remained unchanged. Consequently, institutional investors will take a larger share of the offer.
Additionally, Dubai Holding plans to allocate up to 243.75 million units to xCube LLC. This company will handle price stabilisation on the Dubai Financial Market once trading begins.
Furthermore, Dubai Holding will still own 85% of the REIT through DHAM REIT Management LLC and DHAM Investments LLC. This shows their continued commitment to the long-term value of the Dubai REIT IPO.
Importantly, the strong investor response reflects deep trust in Dubai Holding’s property strategy. Therefore, the success of the Dubai REIT confirms the growing appeal of real estate-backed investments in the UAE.
Besides that, Dubai’s broader push to develop capital markets supports this momentum. Authorities aim to turn the emirate into a regional listing hub. Thus, successful IPOs like this play a key role in that goal.
Notably, Dubai REIT IPO, the region has seen rising demand for REITs. Investors continue to seek stable, income-generating opportunities in secure real estate assets.
In addition, Dubai Holding remains one of the largest landowners and developers in the UAE. That reputation further boosts investor confidence in this offer.
Notably, more developers may follow with public listings. Clearly, the Dubai REIT IPO sets a strong example for future real estate investments.
Trading of units is scheduled to begin later this month. Until then, market watchers will monitor the final pricing closely.
All things considered, Dubai REIT IPO signals growing trust in Dubai’s property market and financial infrastructure.
