Real estate brokerage Exclusive Links says it completed one of Dubai’s highest-value residential rental transactions of 2025 last month, securing a Dhs4.25m annual lease
Concerns about oversupply and a potential slowdown in Dubai’s real estate market do not appear to be troubling landlords at the ultra-luxury end, where annual rentals are pushing well into multi-million-dirham territory.
Real estate brokerage Exclusive Links says it completed one of Dubai’s highest-value residential rental transactions of 2025 last month, securing a Dhs4.25m annual lease for a mansion in Dubai Hills Estate.
The fully furnished home spans 18,749 square feet and features expansive living areas, a private swimming pool, jacuzzi, landscaped outdoor spaces and six-car underground parking.
The property is close to championship golf courses, premium retail outlets, top-tier schools and business districts.
James Gosling, who handled the transaction for Exclusive Links, said the firm secured a VIP tenant — already residing in Dubai — within just one week of the property being listed.
“Large, well-positioned homes in established master-planned communities are attracting serious enquiries quickly, provided they are priced and marketed correctly,” Gosling told Gulf Business.
“We are also seeing sustained demand for long-term ultra-prime rentals from tenants who value flexibility, capital mobility, or who maintain multiple global residences. Dubai’s depth of luxury stock now supports both paths, which is why the rent-versus-buy decision at this level is increasingly strategic rather than purely financial,” he added.
While Dhs4.25m a year would be considered an exceptional rental by most standards, verified data seen by Gulf Business suggests some tenants are paying even higher rents in the same area.
At least two other properties in Dubai Hills Estate have secured leases worth Dhs25m and Dhs22m respectively over 24-month periods.
In the same neighbourhood, the Dhs4.25m annual rental ranks among the highest recorded recently, with at least ten properties being leased for between Dhs2.2m and Dhs2.75m per year. Several other homes in the area have also fetched rents exceeding Dhs3m annually.
Further afield, current listings on the Palm Jumeirah advertised on property portal Property Finder show some signature villas being marketed for rents above Dhs16m a year.
Asked why tenants capable of affording such rents might opt not to buy, Gosling said the decision often reflects a desire to assess options before committing long term.
“Many ultra-high-net-worth tenants choose to rent initially while they familiarise themselves with Dubai, assess communities, schooling and lifestyle fit,” he said. “After 12–24 months, a significant proportion transition into ownership once they are confident in their long-term plans.”
These ultra-prime rentals also coincide with the UAE attracting the highest number of dollar millionaires globally last year.
Private wealth advisory firm Henley & Partners reported that the UAE was on track for a net inflow of 9,800 millionaires, ahead of the US, which recorded a net inflow of 7,500.
Slowdown? What slowdown?
Multi-million-dirham rentals appear to sit alongside some warnings that oversupply risks may be building in Dubai’s property market.
In May last year, Fitch Ratings cautioned that Dubai property prices could fall by up to 15 per cent in the second half of 2025 and into 2026, amid an estimated 120,000 new units expected to come online in 2026, up from 90,000 in 2025.
Those projections, however, have been widely debated across the industry.
At Gulf Business’ latest real estate panel in November, Lewis Allsopp, chairman of Allsopp & Allsopp, dismissed predictions of an imminent downturn, pointing instead to population growth, infrastructure expansion and more than $700bn in long-term investment commitments.
Read more: Gulf Business Real Estate Summit — Dubai defies gravity with record sales, soaring prices
“Dubai remains highly attractive to high-net-worth individuals, including premier league footballers,” Allsopp said. “Real-world demand contrasts sharply with short-term reports suggesting weakness.”
“In fully developed areas such as the Palm, prices have absolutely skyrocketed over the years,” he added.
“It all depends on location.”
https://gulfbusiness.com/dhs4m-rentals-dubai-landlords/