Hudayriyat Island: The Investor's Guide

Everything you need to know about buying property on Abu Dhabi's fastest-growing island, from pricing and payment plans to rental yields and connectivity.

 

Reviewed by: Josh Bullen, Head of Investment, Source

Data: Q3 2026 | Last Updated: July 2026

Hudayriyat Island is emerging as one of Abu Dhabi's most significant new residential and investment locations.

With new communities being released across the island, investors now have a growing choice of apartments, townhouses, villas and residential land, supported by established beaches, sporting facilities and waterfront infrastructure.

This guide covers the island's masterplan, key residential communities, current pricing, payment plans, rental potential and the factors investors should consider before buying on Hudayriyat Island.

 

 

About Hudayriyat Island

Hudayriyat Island is a 5,100-hectare coastal island off Abu Dhabi, master-planned and developed by Modon Properties, a state-backed developer majority-owned by the Abu Dhabi government, a signal of long-term commitment and delivery certainty for investors.

Hudayriyat is being developed as one of Abu Dhabi's leading lifestyle and sporting destinations. Beaches, cycling routes and attractions such as Circuit X are already operational, while the island's residential communities are now being delivered.

Hudayriyat Island was Abu Dhabi's highest-transacting residential market in Q1 2026, with AED 11.97 billion in recorded sales - ahead of Saadiyat, Yas and Al Reem.

Connected to the mainland by a dedicated bridge off Sheikh Shakhbout bin Sultan Street, it sits 25 minutes from ADGM, Abu Dhabi's financial district and the fastest-growing international financial centre across the Middle East and Africa, putting a lifestyle-first island within easy reach of the city's core professional and investor population.

Location and connectivity

Although Hudayriyat offers a quieter island setting, it remains well connected to the rest of Abu Dhabi. A dedicated bridge links the island to the mainland, placing key business districts, neighbouring islands and Zayed International Airport within easy driving distance.

Destination Drive time from Hudayriyat Island
Zayed International Airport 30 min
Yas Island 20–25 min
Al Reem Island 20 min
Saadiyat Island 20–25 min
Fahid Island 20–25 min
Abu Dhabi Corniche 15 min
Etihad Towers 12 min

 

This connectivity allows residents to enjoy a more resort-style environment while remaining within commuting distance of Abu Dhabi's principal business districts, schools and leisure destinations.

Residential Communities on Hudayriyat

Hudayriyat Golf Estates

Townhouses, villas & mansions

From AED 4.3m

A golf-led residential community surrounding an 18-hole course, suited to buyers seeking larger homes, green space and long-term ownership.

Bashayer

Apartments, penthouses & villas

From AED 2.5m

Hudayriyat’s first waterfront community, positioned along a 3.5km promenade with views towards Al Bateen Beach and the Abu Dhabi skyline.

Nawayef

Apartments, townhouses, villas & mansions
. From AED 4.1m

A collection of hillside communities rising up to 55 metres above sea level, positioned around elevation, views and a broad range of property types.

Wadeem

Residential land plots for villas
Plots from AED 4.1m

Hudayriyat's first residential plot community, designed for buyers looking to create a bespoke villa in one of the island's most exclusive locations.

Al Naseem


4–5 bed villas

From AED 9m

A low-density villa community aimed primarily at owner-occupiers and lifestyle buyers seeking larger family homes within Central Hudayriyat.

Why Invest in Hudayriyat Island?

For investors, Hudayriyat Island offers the opportunity to buy into one of Abu Dhabi's newest residential destinations before the market has matured. Supported by established leisure infrastructure, a low-density masterplan and continued growth across the wider Abu Dhabi property market, it has quickly become one of the emirate's most closely watched investment locations.

  1. An emerging residential development

    Unlike Yas Island, Saadiyat Island and Al Reem Island, Hudayriyat's residential communities are only just beginning to launch. Buyers are entering at an earlier stage of the island's development, before the first homes have been completed, while benefiting from infrastructure that is already attracting visitors from across Abu Dhabi.

    In Q1 2026, Hudayriyat recorded AED 11.97 billion in residential transactions, making it Abu Dhabi's highest-transacting residential market during the quarter, ahead of Saadiyat, Yas and Al Reem Islands.

  2. Limited long-term supply

    Hudayriyat has been designed as a low-density island community, with a target population of around 30,000 residents despite covering approximately 549 million square feet. Its naturally formed island setting also means the amount of developable land is inherently limited compared with many master-planned communities elsewhere in the UAE.

    The island's two elevated hillsides, rising to around 50 metres above sea level, create a setting unlike any other residential island in Abu Dhabi, with panoramic views across the city and waterfront forming the backdrop to some of its most premium neighbourhoods.

  3. Established infrastructure

    Many new residential communities spend years building the amenities that attract residents. Hudayriyat is different.

    Surf Abu Dhabi, the region's first wave pool, the Velodrome Abu Dhabi, Circuit X, Marsana waterfront, Blue Flag beaches, cycling routes and a marina are already operational before the island's first residential communities have been handed over. This provides an established lifestyle offering from the outset, rather than relying entirely on future development.

  4. A growing Abu Dhabi property market

    As Hudayriyat's residential market begins to take shape, it does so against the backdrop of sustained growth across Abu Dhabi's property market.

    Over the last 12 months, residential demand has increased by approximately 6.6%, while supply has grown by just 2.8%. That imbalance has contributed to a 32% year-on-year increase in residential capital values across the emirate, creating a supportive backdrop for new developments coming to market.

Lifestyle & Amenities on Hudayriyat Island

Water Sports

Home to Surf Abu Dhabi, the region's first artificial wave pool, alongside wakeboarding and a growing range of watersports on the island.

Cycling & Outdoor Sports

Purpose-built cycling tracks, the Velodrome, Circuit X, BMX facilities and skate parks make Hudayriyat one of Abu Dhabi's leading outdoor destinations.

Beaches & Waterfront

Multiple public beaches, a marina and the Marsana waterfront destination provide year-round access to the island's coastline.

Dining & Leisure

Marsana's restaurants and cafés, together with Bab Al Nojoum beach resort, add to the island's growing leisure offering.

Healthcare

Healthcare is available both on and around the island, with Al Hudayriyat Clinic and Burjeel Hospital approximately 10 minutes away.

Planned Infrastructure

Future phases include international schools, neighbourhood retail, healthcare facilities, hotels and further marina and road improvements.

Who is buying and renting on Hudayriyat Island?

As Hudayriyat's first residential communities begin to take shape, the island is attracting interest from a broad mix of investors, owner-occupiers and future tenants. Its combination of waterfront living, outdoor amenities and proximity to central Abu Dhabi means different developments are likely to appeal to different buyer and tenant profiles.

Long-Term Residents

Hudayriyat is expected to appeal to professionals and families looking for a lower-density island lifestyle without losing easy access to Abu Dhabi's business districts. Beaches, sporting facilities, open green space and future schools make it well suited to buyers seeking a primary residence or long-term family home.

Short-Term Visitors

The island's established leisure infrastructure, including Surf Abu Dhabi, Circuit X, the Velodrome, beaches and waterfront dining, is expected to support demand for short-term accommodation where permitted. This creates an additional rental market beyond traditional long-term residents.

Investors

Apartment developments such as Bashayer Residences and Nawayef Park Views are expected to appeal to investors seeking a lower entry point, rental income and long-term capital growth. Larger villas and townhouses across Golf Estates, Nawayef and Al Naseem are likely to attract buyers prioritising lifestyle and long-term ownership, while still benefiting from the island's wider investment potential.

Across Abu Dhabi's investment zones, apartment rents increased by 21% year-on-year during 2025, while villa rents rose 14%, highlighting continued demand across the emirate. While Hudayriyat's residential market is still emerging, the island's mix of lifestyle amenities, waterfront setting and connectivity places it in a strong position to attract both long-term residents and short-term visitors as communities complete.

Recent Hudayriyat Launches

Hudayriyat Golf Estates

Townhomes, villas & mansions
From AED 4.25m

Launched: June 2026
Status: SOLD OUT

Bashayer Residences

Seafront apartments & penthouses
From AED 2.5m

Launched: July 2026
Status: SOLD OUT

Next Release

Register your details to be updated when new opportunities become available on Hudayriyat Island.

COMING SOON

Hudayriyat vs Abu Dhabi's other locations

For investors evaluating Abu Dhabi's different communities, the table below compares the five key locations.

Each island occupies a distinct position in terms of maturity, property type, entry price and tenant demand profile, as well as current availability. The right choice for you depends on your time horizon, appetite for risk and whether the priority is yield, capital growth or a blend of both.

Location Positioning Best Suited To From
Hudayriyat Island Sport & leisure Active families, lifestyle buyers & investors AED 2.5M
Fahid Island Wellness island Luxury buyers & second-home owners AED 3.5M
Yas Island Entertainment & tourism Investors, holiday home buyers & families AED 1.65M
Saadiyat Island Premium cultural district Luxury owner-occupiers AED 2.2M
Al Reem Island Urban living Professionals, city residents & investors AED 1.2M

*Indicative entry prices based on new residential developments available at the time of writing.

 

Ready to discuss which Abu Dhabi location fits your investment goals?

Risks & considerations for investors

No Completed Residential Market

Hudayriyat's first residential developments are still under construction, meaning there is not yet an established resale or rental market on the island. Investors should therefore take a longer-term view when assessing potential returns.

Construction & Handover Timelines

As with any off-plan purchase, construction timelines can change. While Modon has an established track record of delivering major projects in Abu Dhabi, buyers should allow for the possibility of revised handover dates.

Rental Income Begins at Completion

Off-plan properties do not generate rental income until construction has been completed and the property has been handed over. Investors relying on rental returns should factor this into their investment timeline.

Off-Plan Resale Restrictions

Selling an off-plan property before completion is generally possible, but is subject to the developer's assignment rules and eligibility requirements, which vary between projects.

Market Conditions

Like any property investment, values and rental demand can be influenced by wider economic conditions, interest rates, currency movements and changes in buyer demand. Hudayriyat is generally best considered as a medium- to long-term investment.

Ownership, Golden Visa & Buying Costs

Freehold Ownership

Hudayriyat Island is a designated freehold investment zone, meaning all residential properties are sold freehold - there is no leasehold restriction, even for foreign buyers. Foreign nationals of any nationality can purchase and hold full freehold title, with title deeds issued through Abu Dhabi's Department of Municipalities and Transport (DMT) via the DARI platform.

Golden Visa eligibility

Property purchases with a value of AED 2 million+ (approx. £405,000) qualify for the UAE's 10-year Golden Visa, including both completed and off-plan properties.

Mortgaged properties may also qualify, provided the buyer's equity reaches AED 2 million and the financing bank issues a No Objection Certificate (NOC). All current Hudayriyat residential launches exceed this threshold.

Buying Costs

Abu Dhabi charges a 2% property registration fee (ADM fee), compared with 4% in Dubai. For off-plan purchases made directly from a developer, this is typically payable at handover. On resale transactions, the fee is generally split equally between buyer and seller.

Buyers should also allow for an AED 1,000 title deed fee, together with any applicable developer administration charges. As a guide, total acquisition costs for a direct off-plan purchase are typically around 2.5–3% of the purchase price.

Important Note: Some developers are currently offering incentives by waiving or subsidising the ADM fee on selected off-plan launches. These promotions vary between developers and projects, so any available incentives should be confirmed before purchasing.

FAQs about investing in Hudayriyat

Is Hudayriyat Island freehold?

Yes. Hudayriyat Island is a designated freehold investment zone, allowing foreign nationals of any nationality to purchase residential property with full freehold ownership.

Can foreigners buy property on Hudayriyat Island?

Yes. There are no nationality restrictions on buying freehold property within Hudayriyat's designated investment zones. Title deeds are issued through Abu Dhabi's Department of Municipalities and Transport (DMT).

Does buying on Hudayriyat qualify for the UAE Golden Visa?

Yes, all current Hudayriyat properties exceed the AED 2 million investment threshold for the 10-year Golden Visa.

Is Hudayriyat a good investment?

Hudayriyat offers a different investment proposition to Abu Dhabi's more established residential locations. As an emerging masterplan, it provides buyers with the opportunity to invest before the island is fully developed, supported by operational lifestyle infrastructure and government-backed investment.

It is likely to appeal most to investors with a medium- to long-term investment horizon who are comfortable buying off-plan.

What rental yields can investors expect?

As no residential units have yet been completed, there is no established rental market on Hudayriyat Island.

Based on comparable Abu Dhabi communities, indicative gross rental yields are generally expected to fall within the region of 5–7%, although this will vary depending on the property type, purchase price and rental strategy.

When will the first homes be completed?

The first residential handovers (Al Naseem, Nawayef Homes) are expected from late 2027, with further communities completing through to 2030, depending on the development.

Is Modon a trusted developer?

Yes. Modon is a government-backed master developer responsible for delivering Hudayriyat Island. The company is also behind several of Abu Dhabi's major residential, leisure and infrastructure projects.

What taxes and fees apply when buying property in Abu Dhabi?

Abu Dhabi charges a 2% property registration fee (ADM fee), compared with 4% in Dubai. The UAE does not levy income tax or capital gains tax on residential property, and there is no annual property tax.

Buyers should also allow for title deed and developer administration fees.

What is Disneyland Abu Dhabi and how does it affect Hudayriyat?

Evidence from other Disney resorts shows measurable increases in surrounding property values and employment, as well as enabling demand for improved visitor infrastructure and increased tourism demand across Abu Dhabi's wider island network. With the new Disneyland site 25–30 minutes away from Hudayriyat Island, this area should also see benefit from the park. 

See our Yas Island investment guide for a detailed analysis of Disney's investment implications.

Can I get a mortgage to buy property on Hudayriyat Island?

Yes. Mortgage finance is available for many buyers purchasing property in Abu Dhabi, including eligible overseas investors, although lending criteria and loan-to-value ratios vary between banks and developments.

Please Note: If you require finance, Source Investments can introduce you to our network of trusted mortgage advisers who specialise in UAE property.

What payment plans are available?

Payment plans vary between developments. Many Modon launches follow a 40/60 structure, with instalments paid during construction and the balance due on handover, although other projects may use different structures, such as 50/50. Buyers should always confirm the payment schedule for their chosen development before reserving.

Find out more about investing in property at Hudayriyat Island

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