"Dubai's Real Estate Boom Sparks Interest in Innovative Investment Strategies."

Dubai’s transformation into one of the world’s hottest property markets is increasingly pricing out buyers, leading to a revival of interest in real estate investment trusts and prompting many to turn to fractional ownership apps that require as little as $136 in payments.

Buying property remains the most straightforward route to gain exposure to the market, but 17 consecutive quarters of price appreciation has put that option out of reach for many. Of the few stocks listed on Dubai’s bourse, Emaar Properties PJSC has surged nearly fivefold from a 2020 low and office landlord Tecom Group has risen about 18% since a 2022 listing.

Against that background, firms like Stake are gaining traction. Its online platform allows investors to buy fractions of properties for as little as 500 dirhams ($136), and the company recently drew funding from Abu Dhabi’s Mubadala Investment Co.

Meantime, real estate investment trusts that give investors exposure to a pool of income-generating properties without having to directly own them are also emerging as attractive alternatives. The latest push to create such structures is coming straight from the top echelons of the city’s government.