Fahid Island and Hudayriyat Island: Where Abu Dhabi’s Property

Abu Dhabi’s property market is in the middle of a genuine boom. Transaction value across the emirate reached roughly Dh203 billion in the 12 months to the end of June 2026, up 76.6% year-on-year, according to Abu Dhabi Real Estate Centre (ADREC) figures reported by Khaleej Times. The first half of 2026 alone brought in close to Dh84.5 billion in sales, nearly double the same period last year.

For most of the past decade, that growth played out on a familiar map: Al Reem Island, Saadiyat Island, and Yas Island. Those districts are still busy, and still where a large share of branded and boutique developments are landing. But two much bigger projects, Fahid Island and Hudayriyat Island, are now absorbing a growing share of investment and headlines, and they say a lot about where property developers in Abu Dhabi are placing their long-term bets.

Fahid Island: Aldar’s AED 40 Billion Wellness Destination

Aldar Properties unveiled Fahid Island as Abu Dhabi’s first coastal development built specifically around wellness. Sitting between the entertainment draw of Yas Island and the cultural district of Saadiyat Island, the masterplan spans roughly 3.4 million square metres and carries a gross development value of about AED 40 billion (close to $11 billion).

The plan calls for more than 6,000 homes, ranging from apartments to ultra-luxury beachfront villas, spread across a coastline of nearly 4.6 kilometres of beach and framed by mangrove forest on the inland side. More than 30% of the island is set aside for parks, gardens and shaded trails, anchored by a roughly 10-kilometre fitness corridor running through the centre. Aldar brought in international design names, including architects Kengo Kuma and Koichi Takada, to shape the residential districts, and the first phase, Fahid Beach Residences, comprises seven mid-rise buildings of 65 units each.

Fahid Island has already picked up Fitwel certification, making it the first island anywhere to meet that healthy-building standard, alongside LEED for Cities and Communities pre-certification. Full completion is targeted for 2029.

Hudayriyat Island: Modon’s Record-Breaking Island Community

Hudayriyat Island, developed by Modon Properties (part of ADQ), is the larger of the two projects by land area: a masterplan of about 51 million square metres, equal to more than half the size of Abu Dhabi Island itself. It connects to the mainland by bridge from Sheikh Shakhbout bin Sultan Street and is adding roughly 50 kilometres of new coastline and around 16 kilometres of beach to the emirate.

Hudayriyat was originally built out as a public leisure destination, home to Surf Abu Dhabi, the Circuit X motorsport park, and an extensive network of cycling and running trails. It has since evolved into one of the city’s most active residential launch pads. Freehold communities such as Wadeem, Nawayef and Bashayer have each sold out within days of launch, and in Q1 2026 the island led every district in Abu Dhabi by transaction value, with close to AED 12 billion changing hands, according to data compiled by Cavendish Maxwell.

That momentum accelerated further in July 2026, when Modon launched Hudayriyat Golf Estates, the UAE’s first golf-led island community. Within days, the launch had generated more than AED 13 billion in sales and moved roughly 1,700 residences, understood to be the highest publicly recorded sales value for a single residential launch in the country.

Why These Two Islands Signal a Shift in the Development Map

The scale of Fahid Island and Hudayriyat Island reflects a broader pattern in how property developers in Abu Dhabi are responding to demand. Foreign direct investment into the sector reached AED 8.27 billion in the first quarter of 2026 alone, roughly matching the total FDI recorded across all of 2025, with buyers from 99 nationalities taking part. Off-plan sales have been the main engine of that growth, and Abu Dhabi’s government-linked master developers, Aldar and Modon among them, have responded by opening entirely new land banks rather than relying solely on infill plots within already-established islands.

As of mid-2026, roughly 140 developers were active in Abu Dhabi, but only 38 held primary project registration, with the remaining 102 building within those primary developers’ master-planned communities. That structure is visible on both new islands: Aldar and Modon set the masterplan and infrastructure, while a wider circle of hospitality brands, joint-venture partners, and secondary developers deliver the residential product on top of it.

The Established Islands Are Still Where Much of the Building Happens

Even with two new islands dominating headlines, most of the branded and boutique residential activity in 2026 has stayed on Al Reem Island, Saadiyat Island, and Yas Island. Al Reem Island remained the single busiest location for apartment sales in the first quarter of 2026, with just under 2,000 transactions, a 224% increase on the same period a year earlier. Yas Island, meanwhile, posted the strongest apartment rental growth of any district, at close to 20%, against an emirate-wide average nearer 10.5%.

This is where a number of branded-residence specialists have concentrated their activity. Royal Development Holding, a subsidiary of Emirates Stallions Group, has been among the more active names on Al Reem Island over the past year, delivering the world’s first standalone Radisson Residences on the island and a Rotana Residences project that reportedly sold out ahead of its official launch. The developer has also partnered with fashion house Elie Saab on STELLAR, a waterfront residential tower on Yas Island. Rather than opening new land, this second track of development is largely about layering hospitality-branded, design-led product onto islands where the infrastructure, retail and transport links are already in place.

Together, the two approaches, greenfield masterplanning on Fahid Island and Hudayriyat Island alongside branded infill on Al Reem, Saadiyat and Yas, give Abu Dhabi’s developer landscape more range than it has had in years. Buyers now have a genuine choice between ground-floor entry into a new destination and proven, established addresses with a shorter runway to completion.

What This Means for Buyers and Investors

For anyone comparing property developers in Abu Dhabi right now, the distinction between these two tracks matters more than any single project’s marketing. Fahid Island and Hudayriyat Island offer earlier-stage pricing and long-term upside tied to infrastructure that is still being built, with handovers largely landing between 2028 and 2029. Al Reem Island, Saadiyat Island and Yas Island offer shorter timelines, established rental demand, and a longer track record of delivery from the developers building there.

Neither approach is inherently the safer bet; they simply carry different risk and return profiles. As always, buyers should check a developer’s escrow account status with ADREC, its delivery history on prior projects, and the specific handover date before committing, rather than relying on launch-week sales figures alone.

A Dual-Track Future for Abu Dhabi Real Estate

Abu Dhabi’s next chapter of growth is being written in two places at once. Fahid Island and Hudayriyat Island are where the emirate’s master developers are staking out entirely new territory, while Al Reem Island, Saadiyat Island and Yas Island remain where much of the branded, boutique development continues. Together, they give a clearer picture than ever of where property developers in Abu Dhabi are building next, and where the city’s property market is likely headed over the rest of the decade.