Dubai Residential REIT pays $300m dividend for 2025

• H2 dividend of $150m approved
• Revenue rises 9% from 2024
• Portfolio occupancy of 98%

Unit holders of Dubai Residential REIT, which listed on the Dubai Financial Market in May 2025, have approved a dividend for the second half of 2025 amid rising revenue.

The REIT will now pay a dividend of AED550 million ($150 million), or 4.2 fils per unit, for the period between July and December, bringing the total payout in 2025 to AED1.1 billion, or 8.5 fils per unit, the sharia-compliant real estate investment trust said in a statement.

The gross dividend yield is 7.7 percent at the initial public offering (IPO) price.

Dubai Residential REIT chairman Nabil Mohammad Ramadhan said that the trust has maintained its distribution policy of paying out at least 80 percent of its net profit.

It reported a revenue of almost AED2 billion, up 9 percent year on year, supported by portfolio occupancy of 98 percent and tenant retention of 88 percent.

Net profit before changes in the fair value of investment property increased by nearly 15 percent to AED1.3 billion.

From 2026 onwards, the REIT intends to continue distributing at least 80 percent of its profit semi-annually, subject to board and regulatory approvals.

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The government-owned Dubai Holding sold 15 percent of Dubai Residential REIT at AED1.1 per unit, or share, in an IPO that was 26 times oversubscribed. Originally, Dubai Holding planned to sell a 12.5 percent stake, but such was the demand that it expanded the offering.

The IPO raised AED2.15 billion ($584 million), valuing Dubai Residential REIT at $3.9 billion. Total gross demand for the IPO was $15.3 billion.

Units of Dubai Residential REIT closed 2.4 percent lower at AED1.20 on Monday.