Dubai Residential REIT announced its financial results for the six-month period ended June 30, 2026, reporting strong financial and operational performance supported by growth in rental income, higher occupancy rates, disciplined cost management, and continued progress in implementing its growth strategy through portfolio expansion and active asset management.

Net profit before changes in the fair value of investment properties reached AED 716.5 million, representing a year-over-year increase of 15.1%.

Adjusted earnings before interest, taxes, depreciation, and amortization rose 14.6% to AED 822.6 million, while revenue increased 8.1% year over year to AED 1,035.7 million.

Dividend Distribution

The board of directors of Dubai Residential REIT approved an interim cash dividend of AED 573.2 million, equivalent to 4.4 fils per unit and representing 80% of net profit for the first half of 2026 before changes in the fair value of investment properties.

The distribution reflects an annualized dividend yield of 8.0% based on the initial public offering price and 7.1% based on the closing price as of June 30, 2026.

Disciplined Approach

Ahmed Al Suwaidi, Managing Director of DHAM REIT Management, said: “The results of Dubai Residential REIT during the first half of 2026 reflect the quality of our real estate portfolio and the depth of demand for our residential communities. They also confirm the effectiveness of our disciplined approach to executing our strategy. We achieved strong growth in net profit, maintained high occupancy levels, 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 our portfolio efficiently and focus on enhancing value through active asset management, while also evaluating further promising opportunities within the portfolios of Dubai Holding and Dubai Holding Asset Management.

“Our focus will remain on leveraging the strengths of this differentiated residential platform to generate stable income and create long-term value for unitholders.”

Portfolio Performance

Dubai Residential REIT’s revenue increased 8.1% year over year to AED 1,035.7 million in the first half of 2026, compared with AED 957.8 million during the same period in 2025.

The growth was driven primarily by higher rental rates across the portfolio’s assets, together with continued improvement in occupancy levels.

Average revenue per leased and leasable area rose 7.5% year over year to AED 59.7 per square foot, while average revenue per leased unit reached AED 56,638, compared with AED 52,594 in the first half of 2025.

The performance reflects the REIT’s ability to achieve positive rental growth across its real estate portfolio, supported by sustained demand for high-quality residential communities managed to professional standards in Dubai.

The portfolio continued to record strong occupancy levels during the period, with the average occupancy rate increasing to 98.6% in the first half of 2026, compared with 98.1% during the same period a year earlier.

Tenant retention also improved to 94.1%, up from 93.8% in the first half of 2025.

Higher realized rents, improved occupancy levels, and stronger tenant retention supported growth in recurring rental income and enhanced the resilience, consistency, and visibility of the REIT’s cash flows.

Profitability also recorded strong growth, reflecting the efficiency of Dubai Residential REIT’s large-scale residential leasing platform.

Adjusted earnings before interest, taxes, depreciation, and amortization rose 14.6% year over year to AED 822.6 million, while the margin expanded to 79.4%, compared with 74.9% in the first half of 2025.

The improvement was driven by the efficient conversion of higher rental income into profit, disciplined cost management, and the benefits of the portfolio’s scale and diversification.