GCC REIT Industry Market Size (2024 - 2029)

The GCC REIT market is poised for growth, driven by recent regulatory changes and an increasing interest from a new class of investors seeking to diversify their portfolios. Despite the challenges posed by the COVID-19 pandemic and the relative lack of popularity compared to advanced markets, the region's capital markets authority is actively working to enhance the regulatory framework, facilitating the development of alternative investments. Islamic REITs, in particular, present a compelling option for traditional investors interested in Sharia-compliant products across various asset classes, including real estate.

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Market Size of GCC REIT Industry

GCC REIT Industry (2020-2025)
Study Period 2020 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 10.37 Billion
Market Size (2029) USD 15.40 Billion
CAGR (2024 - 2029) 8.24 %
Market Concentration Medium

Major Players

GCC REIT Industry Major Players

*Disclaimer: Major Players sorted in no particular order

GCC REIT Market Analysis

The GCC REIT Industry is expected to grow from USD 10.37 billion in 2024 to USD 15.40 billion by 2029, at a CAGR of 8.24% during the forecast period (2024-2029).

The GCC has seen several Real Estate Investment Trusts (REITs) listed in stock exchanges in the past few years. This accelerated after Saudi Arabia's Capital Markets Authority (CMA) approved the listing of REITs in 2016 as a part of the National Transformation Program (NTP) and Saudi Vision 2030. Due to the economic crisis in the wake of the COVID-19 pandemic, many of the listed REITs have seen a steep decline in their share prices and market capitalizations.

REITs are not as popular in the GCC as in advanced countries despite the region being home to wealthy individuals and large institutional investors. The lack of a regulatory framework for the listing and operation of REITs remains a major hindrance to its development in the region. However, the region's capital markets authority (CMA) has started revamping regulations to pave the way for the development of alternative investments.

The future looks promising for REITs in GCC, especially with the new class of investors looking for investment products to diversify their portfolios in the local markets. Islamic REITs can be a preferable option for traditional investors who wish to invest in Sharia-compliant products in different asset classes, such as real estate.

GCC REIT Industry Segmentation

An understanding of the GCC REIT industry, regulatory environment, REITs, and their business models, along with detailed market segmentation, product types, revenues and dividends, current market trends, changes in market dynamics, and growth opportunities. In-depth analysis of the market size and forecast for the various segments. The GCC REIT Industry is segmented based on country (United Arab Emirates, Saudi Arabia, Oman, Bahrain, Qatar, and Kuwait). The report offers market size and forecasts in value (USD Billion) for all the above segments.

By Country
United Arab Emirates
Saudi Arabia
Bahrain
Oman
Qatar
Kuwait
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GCC REIT Industry Size Summary

The GCC REIT market is poised for significant growth over the forecast period, driven by regulatory advancements and increasing interest from a new class of investors seeking diversification in their portfolios. Despite the initial challenges posed by the COVID-19 pandemic, which led to a decline in share prices and market capitalizations, the region's capital markets authority has been actively revamping regulations to support the development of alternative investments, including REITs. The introduction of Islamic REITs offers a Sharia-compliant investment option, appealing to traditional investors. The real estate sector's potential for steady cash flows, inflation hedging, and capital appreciation makes it an attractive avenue for sovereign wealth funds, which are expected to increase their allocations towards real estate in the GCC.

The UAE and Saudi Arabia present distinct landscapes for REITs, with the UAE offering higher returns due to tax exemptions on capital gains, while Saudi Arabia has seen a rapid increase in listings, albeit with varying asset quality. The property price correction in the UAE has prompted investors to consider REITs as a means to preserve and grow wealth. Major players in the market, such as Al Rajhi REIT, Riyad REIT, Emirates REIT, ENBD REIT, and Jadwa Saudi REIT, are profiled in the report, highlighting their product offerings, regulatory frameworks, and financial performance. The market's future looks promising, with ongoing developments and strategic investments expected to enhance the appeal and performance of REITs across the GCC.

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GCC REIT Industry Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Porter's Five Force Analysis

      1. 1.4.1 Threat of New Entrants

      2. 1.4.2 Bargaining Power of Buyers/Consumers

      3. 1.4.3 Bargaining Power of Suppliers

      4. 1.4.4 Threat of Substitute Products

      5. 1.4.5 Intensity of Competitive Rivalry

    5. 1.5 Insights on Returns And Dividends - Key Performance Indicators for REITs

    6. 1.6 A Brief on Regulatory Environment

    7. 1.7 Impact of COVID-19 on the Market

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Country

      1. 2.1.1 United Arab Emirates

      2. 2.1.2 Saudi Arabia

      3. 2.1.3 Bahrain

      4. 2.1.4 Oman

      5. 2.1.5 Qatar

      6. 2.1.6 Kuwait

GCC REIT Industry Market Size FAQs

The GCC REIT Market size is expected to reach USD 10.37 billion in 2024 and grow at a CAGR of 8.24% to reach USD 15.40 billion by 2029.

In 2024, the GCC REIT Market size is expected to reach USD 10.37 billion.

GCC REIT Market Report Snapshots

GCC REIT Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)