Abu Dhabi to invest $16bn expanding financial hub

• To develop north side of Al Maryah Island
• Spans almost 500,000 square metres
• Office, residential, retail and hospitality space

Two Abu Dhabi state-backed companies are partnering to develop the next growth phase for Al Maryah Island, home to Abu Dhabi Global Market (ADGM), the emirate’s international financial free zone.

Mubadala Investment Company and Abu Dhabi-listed developer Aldar will jointly transform the north side of Al Maryah Island – the final undeveloped land bank – spanning almost 500,000 square metres at a gross development value of AED60 billion ($16.3 billion), the companies said in a joint statement.

Aldar will hold 60 percent of the joint venture, while Mubadala will own the rest.

The project includes 1.5 million square metres of new office, residential, retail and hospitality space. ADGM has more than 11,000 active licences with 40,000 individuals based in the financial district.

The expansion will add more than 450,000 square metres of new grade-A office space and over 3,000 waterfront luxury residences.

Retail offerings will expand by 40,000 square metres, featuring luxury shops, dining and a marina. The island is already home to The Galleria shopping mall, Cleveland Clinic Abu Dhabi, Active, an urban sports hub, and the UAE’s most Michelin-recognised dining area.

The new phase will have Al Maryah Waterfront as its centrepiece, featuring a bay fountain with water shows soaring up to 75 metres.

The masterplan includes 2.5km of air-conditioned pedestrian corridors, more than 12,000 parking spaces, and 20 percent open space in the financial district. Three new bridges are proposed to connect the north side of Al Maryah Island to Reem Island and the Abu Dhabi mainland.

Enabling works are scheduled to commence in 2026, the statement said.

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• Dubai vs Abu Dhabi: let’s play spot the investor difference

The news comes as the average asking price for office space in Abu Dhabi is up 8.7 percent year on year, while rental levels in primary commercial districts in the city gained 22.7 percent, according to research company ValuStrat.

Abu Dhabi’s estimated stock of office space stood at 3.9 million square metres in the third quarter of 2025, as average occupancy stood at 90.5 percent, ValuStrat said.

Property transactions jump

In a separate statement, ADGM said the value of property transactions jumped by 104 percent annually, while sales activity, including off-plan and ready units, increased 78 percent year on year.

Project registrations doubled during the quarter, showing rising investor confidence and the successful integration of Al Reem Island into ADGM’s jurisdiction.

No further details were given.

Assets under management in ADGM surged 48 percent year on year in the period, while the number of asset and fund managers rose to 161. The number of funds managed in the jurisdiction jumped to 220, the statement said.

The number of active licences has reached 11,920 since inception until the end of the third quarter. The free zone had issued 2,801 licences by the end of September.

Operational entities reached 3,227, a 43 percent year-on-year increase. Of these, 328 entities were in financial services.

The workforce across Al Maryah and Al Reem islands rose to 39,870 by the end of the third quarter of 2025.

In May 2023 the free zone expanded its jurisdiction to include neighbouring Al Reem Island, making it one of the largest international financial districts in the world.