Dubai Residential REIT reports 15% H1 profit growth, approves Dhs573.2 million interim dividend

Dubai Residential REIT reported net profit before changes in the fair value of investment property of Dhs716.5 million for the first half of 2026, up 15.1 per cent from Dhs622.3 million in the corresponding period last year, driven by higher rental income, increased occupancy and disciplined cost management.

Revenue rose 8.1 per cent year-on-year to Dhs1.0357 billion from Dhs957.8 million in the first half of 2025, while adjusted EBITDA increased 14.6 per cent to Dhs822.6 million. The adjusted EBITDA margin expanded to 79.4 per cent from 74.9 per cent a year earlier.

The REIT announced that its board had approved an interim cash dividend of Dhs573.2 million, equivalent to 4.4 fils per unit, representing 80 percent of H1 2026 net profit before changes in the fair value of investment property.

This implies an annualised dividend yield of approximately 8.0 per cent based on the IPO price and 7.1 per cent based on the closing price as of 30th June 2026.

The property portfolio continued to deliver strong operational performance, with average occupancy reaching 98.6 per cent, up 0.5 percentage points year-on-year, while the tenant retention rate improved to 94.1 per cent from 93.8 per cent in the same period last year.

Gross Asset Value (GAV) increased to Dhs25.2 billion at the end of June 2026, up 6.9 per cent from the end of 2025, primarily driven by the addition of 56 Garden View Villas and the acquisition of 220 units in Jebel Ali Village. Net Asset Value (NAV) rose to Dhs22.6 billion, while NAV per unit increased to Dhs1.74 from Dhs1.70 at the end of December 2025.

Ahmed Al Suwaidi, Managing Director of DHAM REIT Management, said, “Dubai Residential REIT’s H1’26 performance demonstrates the quality of our portfolio, the depth of demand for our communities and the discipline with which we are executing our strategy. We delivered double-digit net profit growth, maintained near-full occupancy, and continued to grow rental income across one of Dubai’s largest and most diversified residential leasing portfolios.

Looking ahead, we will continue to manage the portfolio with discipline, capture value through active asset management and evaluate further value-accretive opportunities within the Dubai Holding and Dubai Holding Asset Management pipeline. Our focus remains clear, leveraging this differentiated residential platform to deliver stable income and create long-term value for unitholders.”

The REIT also announced that it had submitted Expressions of Interest for the acquisition of three medium-term residential projects comprising 448 premium and 107 community units.

WAM