Ras Al Khaimah's Tourism and Real Estate Boom

The New Face of Ras Al Khaimah: Emerging Tourism and Investment Hub

Ras Al Khaimah, located in the northern part of the United Arab Emirates, was for decades considered a quieter, less spotlighted emirate, but this perception has drastically changed in recent years. The city's new vision, the ambitious 2030 development plan, and significant infrastructure and tourism investments have combined to generate momentum that has directed regional attention towards RAK.

The real estate market is experiencing explosive growth. According to local statistics, the volume of real estate transactions reached 2.53 billion dirhams by June 2024, representing an almost 25,000 percent increase compared to June 2017. A similar leap is evident in the mortgage sector, with the value reaching 3.48 billion dirhams by July 2024, compared to just 15.8 million in July 2017.

One of the focal points of this remarkable development is Al Marjan Island, currently filled with multi-billion-dollar projects. It is home to the Middle East's first integrated resort with a casino, Wynn Al Marjan, set to open in early 2027. Following its announcement, property prices in the area have risen at an unprecedented rate: average square meter prices for new apartments jumped from 950 dirhams to 2020 dirhams, a 113 percent increase.

This surge is noticeable not only in apartments but also in villas. The average primary market price for villas increased from 1070 to 1380 dirhams per square meter, showing a 29 percent rise. Foreign buyers are making up an increasing percentage; in the case of Ras Al Khaimah, this percentage is already 15-20 percent, far exceeding similar metrics in Abu Dhabi and Dubai.

However, foreign interest is not new. The emirate opened its real estate market to foreign investors in the early 2000s by introducing freehold ownership. This led to the initiation of iconic projects like Al Hamra Village and Mina Al Arab, where expats and international buyers could own property for the first time. Al Hamra Village today comprises over 4,000 residential units, an international golf course, and a marina, the first of its kind in the region.

Development has not stopped there. Al Hamra continues to expand its waterfront communities with new projects like Falcon Island and Waldorf Astoria Residences. A similar trend is observed in Mina Al Arab, already home to the Anantara and InterContinental Resort, with preparations underway for Nikki Beach, Staybridge Suites, and Four Seasons.

Ras Al Khaimah is also becoming increasingly popular among tourists. In 2024, the emirate received 1.28 million visitors, marking a 5.1 percent increase compared to the previous year. Air traffic showed significant growth, with a 28 percent increase in passenger numbers arriving. Attractions like the Jais Flight zipline, Bear Grylls Explorers Camp, and 1484 by Puro, the country's highest restaurant, make the region particularly appealing.

The growth in tourism and the real estate market go hand in hand: increased demand necessitates the construction of new residential and accommodation facilities. Authorities expect the population to reach 650,000 by 2030, compared to the current 400,000, requiring the construction of approximately 45,000 new residential units, with one-third expected to be covered by announced projects by the end of 2024.

Rental prices have also risen significantly. On Al Marjan Island, for example, the average annual apartment rental price increased from 40,000 dirhams in April 2023 to 64,800 dirhams in April 2025, representing a 62 percent increase. The growth rate between years accelerated as well: by 45 percent between 2023 and 2024, and a further 12 percent the following year.

Among the central players in developments are Marjan, Al Hamra, and RAK Properties, along with renowned brands like Emaar, Aldar, and Ellington, which have already proven themselves in other emirates. Marjan's planned RAK Central project aims to create a modern, sustainable business center with premium offices, an important element of economic diversification.

The growth is also supported by Ras Al Khaimah's developed infrastructure. The emirate boasts eight hospitals, a modern school system, and outstanding public safety—all of which contribute to the emirate being considered one of the most livable places in the world.

The future outlook is particularly promising. Experts suggest that over the next five years, Ras Al Khaimah's real estate market will face another wave of growth, especially in premium housing and branded residences, increasingly appearing in the offering. Buyers have a growing demand for excellently located, lifestyle-driven homes, offering not only living space but also excellent investment opportunities.

Thus, Ras Al Khaimah is no longer just a quiet, background emirate. Thanks to ambitious developments, a growing population, vibrant tourism, and a dynamic real estate market, it has become one of the most exciting and fastest-growing areas in the United Arab Emirates. And this is just the beginning.

(Source: Based on reports from RAK real estate experts.)