Dubai Holding, through its wholly owned subsidiary DHAM REIT Management LLC has announced that, following approval from the UAE Securities and Commodities Authority (SCA), it increased the Offering size of the initial public offering (IPO) of Dubai Residential REIT, a Shariah-compliant income-generating closed-ended real estate investment fund under establishment and one of the largest owners and operators of residential real estate in Dubai (the REIT), to 1.95bn Units from 1.625bn Units, which would result in floating 15.0% of the REIT’s issued unit capital, instead of the previously announced 12.5%.
Based on the unchanged Offer Price Range of AED 1.07 to AED 1.10 per Offer Unit, the revised Offering size is expected to be between AED 2,087m (USD 568m) and AED 2,145m (USD 584m), implying a market capitalisation at listing of between AED 13.9bn (USD 3.8 bn) and AED 14.3bn (USD 3.9 bn).
As previously announced, Dubai Residential REIT’s Offering consists of two tranches. The revised Offering size entails the following:
The First Tranche, the UAE Retail Offer, remains unchanged at 162,500,000 Units, and is open to retail investors and eligible entities holding a National Investor Number (NIN) with the DFM
The Second Tranche, the Institutional Offering, is increased from 1,462,500,000 Units to 1,787,500,000 Units, and is open to qualified institutional investors (“Professional Investors”) outside the United States under Regulation S, subject to applicable UAE laws and SCA approval.
Investors in both tranches can subscribe to the Offering, which opened on 13 May 2025, and will close on 20 May 2025. The final Offer Price will be determined through a book-building process conducted in consultation with the Joint Global Coordinators, the Fund Manager and the Selling Unitholder, and is expected to be announced on 21 May 2025.
The completion of the Offering and admission of Units to trading on the DFM (“Admission”) is expected to take place on or around 28 May 2025. The Units are expected to trade under the symbol “DUBAIRESI”.
Citigroup Global Markets Limited, Emirates NBD Capital PSC, and Morgan Stanley & Co. International plc have been appointed as Joint Global Coordinators and Joint Bookrunners. Emirates NBD Bank PJSC has been appointed as the Lead Receiving Bank.
Abu Dhabi Commercial Bank PJSC, Arqaam Capital Limited acting in conjunction with Arqaam Securities LLC, and First Abu Dhabi Bank PJSC are acting as joint bookrunners (together with the Joint Global Coordinators, the “Banks”) for the Offering.
