Sobha Realty launches $24bln UAE mega communities amid expansion drive

Sobha Realty has launched two new master-planned developments in the UAE — Sobha Sanctuary in Dubai and Sobha City in Abu Dhabi — as the developer pushes ahead with an expansion drive that brings its total UAE master developments to 16. The twin projects represent roughly AED 90 billion ($24.4 billion) of planned development: Sobha Sanctuary is a AED 50 billion ($13.6 billion) community spanning about 37.5 million sq.ft with approximately 20,000 residential units, while Sobha City is a AED 40 billion ($10.8 billion) development across about 38 million sq.ft with around 7,000 units.

“We are fundamentally a build-to-sell company, focused on designing and delivering products that meet customer expectations,” said Francis Alfred, Managing Director of Sobha Realty.

Both developments form part of a continued roll-out following an active 2025 for the Dubai-headquartered developer, which completed around 3,000 residential units ahead of schedule and launched approximately 15,000 new units last year across projects including Sobha Solis, Sobha Central, Sobha Skyparks and Downtown UAQ. As of 2025 Sobha’s UAE portfolio exceeded 39,000 units across 14 master-planned projects in Dubai and Umm Al Quwain; the two 2026 launches raise that to 16.

• Sobha Sanctuary (Dubai): ~37.5 million sq.ft, AED 50 billion ($13.6 billion), c.20,000 units (18,000 apartments, 2,000 villas). Enabling works under way; first phase of 250 villas targeted for completion by Q4 2029.
• Sobha City (Abu Dhabi): ~38 million sq.ft, AED 40 billion ($10.8 billion), c.7,000 units (4,000 apartments, 3,000 villas). Construction due to start in Q2 2026; first phase (one-third of units) targeted for Q4 2029.
• Sobha One (Dubai): five interconnected towers, scheduled completion Q4 2026; awarded Green Mark Platinum Super Low Energy certification and financed through a $750 million Green Sukuk issued in 2025.

Alfred stressed the company’s financial resilience amid regional volatility, pointing to a strong sales backlog and land bank. “We’ve got almost three years’ revenue backlog because we had extraordinary sales in the last three to four years,” he said, adding that Sobha has sufficient land bank for approximately “four-and-a-half years of future development.” He highlighted the firm's vertically integrated model and in-house manufacturing capabilities, noting that “manufacturing facilities maintain their own stock” and that alternative import routes through Oman, Fujairah, and other ports have helped mitigate delays.

On costs and demand Alfred said: “Although short-term price inflation exists, we expect conditions to normalise as regional tensions ease. We ensure that we do not pass cost increases on to customers; instead, we absorb them to ensure that product quality is never compromised.” He also said enquiries and conversions surged when a ceasefire was announced, adding that the market should emerge stronger as global confidence in the UAE returns.

Sales and marketing chief Ashish Parakh provided buyer-profile detail: in Dubai the mix is typically “around 60 percent international investors and 40 percent UAE residents,” while “in Abu Dhabi, that ratio has reversed. We’re also seeing growing interest from the US, Canada, and key European markets for properties in Dubai and Abu Dhabi.” Sobha has partnered with UAE banks to offer home finance solutions for off-plan purchases, a strategy Alfred credited to the company’s financial foundation and track record of on-time delivery.

Environment and liveability are core to both masterplans. James Marvin, CEO of PNC Architects, said the landscaping strategy is intended to reduce ambient temperatures and energy demand: “As tree cover increases, ground temperature drops and the air around a villa becomes cooler. Air entering a home may be 35°C instead of 40°C, and with cooling systems, it reduces further to around 25°C, thus lowering air- conditioning demand and contributing to long term energy efficiency.” He added that Sobha City will ensure “Every unit will have a minimum 10 metre green buffer” and that apartments will be separated from roads by “a 25 to 30 metre forested green strip.”