Fujairah Coastal Real Estate: 6 Projects Targeting Second-Home Buyers in 2025

REAL ESTATE3 weeks ago

Fujairah’s AED 15.43B real estate market in 2024 (24% year-on-year price growth) offers apartments (AED 533K–3M), villas (AED 1.5M–10M), and townhouses (AED 1.2M–5M) with 7–9% ROI and 10–15% appreciation by 2029.

With 150K residents and 1M tourists in 2024, demand is fueled by tax advantages (zero personal income, capital gains, and property taxes, 2% registration fee), freehold laws (since 2019 for expats in designated zones), and infrastructure (e.g., Fujairah International Airport, Port of Fujairah).

Fujairah, on the Gulf of Oman, lacks a distinct “island” but features coastal areas like Al Aqah, Sakamkam, and Corniche Al Fujairah, ideal for second-home buyers seeking tranquility, beaches, and Hajar Mountain views.

Six projects Ocean Living Al-Aqah, The Address Fujairah Residences, Eagle Fujairah Beach, Emtelak Al Dana Villas, Rawasi Naseem Al Bahr Villas, and Fujairah Beach Townhouse offer villas and townhouses (AED 1.6M–7M) tailored for holiday homes, blending affordability, luxury, and nature. This guide details each project, its freehold benefits, tax incentives, sustainability features, and investment potential, supported by 2024–2025 data.

1. Ocean Living Al-Aqah (Al Aqah)

Project Details: Developed by Future Cities and Emtelak Properties, this luxury villa project in Al Aqah Beach offers 5-bedroom villas (AED 5M–7M, 7,000 sqft) with private pools, indoor elevators, sea-view gardens, and Gulf of Oman views. Handover Q4 2025 with escrow-based 60/40 payment plans and a 5% limited-time discount. Average price: AED 714–1,000 psf. Restricted to UAE and GCC nationals.
Freehold Benefits: Freehold ownership for UAE/GCC nationals, registered via Fujairah Municipality. Enables global resale and wealth transfer within eligible groups.
Tax Incentives: Zero personal income tax on rentals (AED 150K–300K/year), zero capital gains tax on profits (e.g., AED 500K–700K by 2029), and no property tax. 2% registration fee (AED 100K–140K). Free zone ownership via Fujairah Free Zone ensures 0% corporate tax.
Sustainability Features: Eco-friendly designs with energy-efficient systems. Aligns with Fujairah 2040 Plan and SDGs 11 and 13.
Investment Potential: 7–9% ROI, with 80% occupancy driven by tourism (1M visitors in 2024) and water sports appeal (diving, fishing). AED 200M in 2024 pre-sales, with 10–15% appreciation by 2029 (e.g., AED 5M villa to AED 5.5M–5.75M). Not Golden Visa eligible due to nationality restrictions.
Impact: Luxury holiday homes for Gulf families. Tax savings (AED 100K–440K) and proximity to luxury hotels (5 min) attract UAE nationals.

2. The Address Fujairah Residences (Al Aqah)

Project Details: Eagle Hills’ mixed-use project in Sharm, offering 2–3-bedroom apartments and villas (AED 1.6M–3M, 1,200–2,000 sqft) with beachfront access, luxury interiors, and proximity to Address Hotel amenities. Handover completed, ready-to-move units in 2025. Average price: AED 1,333–1,500 psf.
Freehold Benefits: 100% freehold ownership for expats in designated zones, registered via Fujairah Municipality. Supports global resale and legacy planning.
Tax Incentives: Zero personal income tax on rentals (AED 50K–120K/year), zero capital gains tax on profits (e.g., AED 160K–300K by 2029), and no property tax. 2% registration fee (AED 32K–60K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Energy-efficient materials and green landscaping. Aligns with Fujairah 2040 Plan and SDG 11.
Investment Potential: 7–9% ROI, with 85% occupancy due to hotel proximity and tourism. AED 150M in 2024 sales, with 10–15% appreciation by 2029 (e.g., AED 1.6M villa to AED 1.76M–1.84M). Golden Visa eligible (AED 2M+).
Impact: Affordable luxury for second-home buyers. Tax savings (AED 32K–180K) and connectivity to Fujairah International Airport (8 min) attract Indian expats.

3. Eagle Fujairah Beach (Al Faseel, Sakamkam)

Project Details: Eagle Hills’ gated community in Sakamkam, offering 2–4-bedroom villas and townhouses (AED 2M–5M, 1,500–3,000 sqft) with beach access, community pools, and mountain views. Handover completed, ready-to-move units in 2025. Average price: AED 1,333–1,667 psf.
Freehold Benefits: 100% freehold ownership for expats, registered via Fujairah Municipality. Enables global resale and wealth transfer.
Tax Incentives: Zero personal income tax on rentals (AED 70K–150K/year), zero capital gains tax on profits (e.g., AED 200K–500K by 2029), and no property tax. 2% registration fee (AED 40K–100K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Low-density design with eco-friendly materials. Aligns with Fujairah 2040 Plan and SDG 11.
Investment Potential: 7–9% ROI, with 80% occupancy driven by family-oriented amenities. AED 100M in 2024 sales, with 10–15% appreciation by 2029 (e.g., AED 2M villa to AED 2.2M–2.3M). Golden Visa eligible.
Impact: Coastal family retreats. Tax savings (AED 40K–250K) and proximity to Al Faseel Beach (5 min) attract GCC expats.

4. Emtelak Al Dana Villas (Sharm, Dibba Al-Fujairah)

Project Details: Emtelak Properties’ ready-to-move project, offering 3–4-bedroom villas (AED 2.5M–4M, 2,000–3,500 sqft) with sea views, private gardens, and access to Dibba’s recreational facilities. Handover completed, available in 2025. Average price: AED 1,250–1,143 psf.
Freehold Benefits: 100% freehold ownership for expats, registered via Fujairah Municipality. Supports global resale and legacy planning.
Tax Incentives: Zero personal income tax on rentals (AED 80K–140K/year), zero capital gains tax on profits (e.g., AED 250K–400K by 2029), and no property tax. 2% registration fee (AED 50K–80K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Energy-efficient systems and green spaces. Aligns with Fujairah 2040 Plan and SDG 11.
Investment Potential: 7–9% ROI, with 80% occupancy due to Dibba’s diving and fishing appeal. AED 80M in 2024 sales, with 10–15% appreciation by 2029 (e.g., AED 2.5M villa to AED 2.75M–2.88M). Golden Visa eligible.
Impact: Nature-focused holiday homes. Tax savings (AED 50K–220K) and connectivity to Oman border (25 min) attract European second-home buyers.

5. Rawasi Naseem Al Bahr Villas (Downtown Fujairah)

Project Details: Rawasi Real Estate’s sustainable community, offering 3–5-bedroom villas (AED 2M–4.5M, 2,000–4,000 sqft) with sea and mountain views, green spaces, and proximity to Fujairah Mall. Handover completed, ready-to-move units in 2025. Average price: AED 1,000–1,125 psf.
Freehold Benefits: 100% freehold ownership for expats, registered via Fujairah Municipality. Enables global resale and wealth transfer.
Tax Incentives: Zero personal income tax on rentals (AED 70K–160K/year), zero capital gains tax on profits (e.g., AED 200K–450K by 2029), and no property tax. 2% registration fee (AED 40K–90K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Eco-conscious design with solar panels and water recycling. Aligns with Fujairah 2040 Plan and SDGs 11 and 13.
Investment Potential: 7–9% ROI, with 80% occupancy driven by retail proximity and tourism. AED 120M in 2024 sales, with 10–15% appreciation by 2029 (e.g., AED 2M villa to AED 2.2M–2.3M). Golden Visa eligible.
Impact: Urban-nature balance for holiday homes. Tax savings (AED 40K–250K) and proximity to Fujairah Fort (10 min) attract Indian families.

6. Fujairah Beach Townhouse (Corniche Al Fujairah)

Project Details: A ready-to-move project in Corniche Al Fujairah, offering 2–3-bedroom townhouses (AED 1.6M–3M, 1,500–2,500 sqft) with beachfront access, community amenities, and proximity to Al Sharq Hospital. Handover completed, available in 2025. Average price: AED 1,067–1,200 psf.
Freehold Benefits: 100% freehold ownership for expats, registered via Fujairah Municipality. Supports global resale and legacy planning.
Tax Incentives: Zero personal income tax on rentals (AED 50K–100K/year), zero capital gains tax on profits (e.g., AED 160K–300K by 2029), and no property tax. 2% registration fee (AED 32K–60K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Energy-efficient materials and green landscaping. Aligns with Fujairah 2040 Plan and SDG 11.
Investment Potential: 7–9% ROI, with 85% occupancy due to beachfront appeal and healthcare access. AED 90M in 2024 sales, with 10–15% appreciation by 2029 (e.g., AED 1.6M townhouse to AED 1.76M–1.84M). Golden Visa eligible (AED 2M+).
Impact: Affordable coastal retreats. Tax savings (AED 32K–160K) and connectivity to Fujairah Mall (10 min) attract GCC second-home buyers.

Market Trends and Outlook for 2025

Yields and Appreciation: Fujairah offers 7–9% ROI (apartments 7–8%, villas/townhouses 7–9%) and 10–15% appreciation, driven by AED 15.43B in 2024 transactions and 15–18% rental growth. Ready-to-move properties dominate (70% of sales), with 2,000 units expected by 2029. Prices rose 24% in 2024 (AED 1,000–1,667 psf).
Freehold and Tax Environment: Freehold laws since 2019 allow 100% expat ownership in designated zones (except Ocean Living, UAE/GCC only), boosting demand (60% of units sold in 2024). Zero personal income, capital gains, and property taxes, with a 2% registration fee, ensure tax efficiency. Free zone entities (Fujairah Free Zone) offer 0% corporate tax. No fee changes confirmed for 2025.
Infrastructure Impact: Fujairah International Airport (2M passengers/year by 2029) and Port of Fujairah (world’s second-largest bunkering port) boost values by 10–15%. Tourism (1M visitors in 2024) and 80–85% occupancy drive rentals (AED 500–2,000/night). Fujairah 2040 Plan (AED 1.6B infrastructure) enhances connectivity (8 min to airport, 25 min to Oman).
Investor Drivers: Freehold status (except Ocean Living), flexible payment plans (10–50% down), and Golden Visa eligibility (AED 2M+, except Ocean Living) fuel 60% of demand, particularly from India, GCC, and Europe. Coastal lifestyle, cultural sites (Fujairah Fort, Al Badiyah Mosque), and affordability (AED 1,000–1,667 psf) attract second-home buyers. Sustainability features draw ESG investors.
Risks: Limited freehold zones, AML compliance costs (AED 2K–10K), and construction delays pose a 5–10% correction risk in H2 2025. Mitigated by 80–85% absorption, escrow accounts, and Fujairah Municipality regulations.
Regulatory Framework: Fujairah Municipality ensures transparency via digital portals. Escrow laws protect off-plan investments (e.g., Ocean Living, handover Q4 2025). Freehold zones allow inheritance rights for expats (except Ocean Living).

Investment Strategy

Diversification: Invest in Ocean Living Al-Aqah (AED 5M–7M, 7–9% ROI) for UAE/GCC nationals seeking luxury, The Address Fujairah Residences (AED 1.6M–3M, 7–9% ROI) for hotel-linked retreats, Eagle Fujairah Beach (AED 2M–5M, 7–9% ROI) for family-oriented homes, Emtelak Al Dana Villas (AED 2.5M–4M, 7–9% ROI) for nature-focused escapes, Rawasi Naseem Al Bahr Villas (AED 2M–4.5M, 7–9% ROI) for urban-nature balance, or Fujairah Beach Townhouse (AED 1.6M–3M, 7–9% ROI) for affordability.
Entry Points: Ready-to-move units (e.g., The Address, Eagle Fujairah) suit immediate rentals (AED 50K–300K/year). Off-plan Ocean Living (10–50% down) offers flexibility for UAE/GCC nationals.
Tax Optimization: Hold properties personally to avoid 9% corporate tax or use Fujairah Free Zone entities for 0% corporate tax. Pay 2% registration fee and recover input VAT (AED 2K–20K/year) via UAE FTA registration. Consult advisors like GH Legals for compliance.
Process: Verify freehold status (except Ocean Living) and tax benefits via Fujairah Municipality portals. Pay 2% registration fee and secure NOC. Use platforms like Property Finder, Square Yards, or dxboffplan.com. Required documents: passport copy, proof of funds, no UAE visa needed. Documents must be translated into Arabic and legalized.

Conclusion

In 2025, Fujairah’s six coastal projects—Ocean Living Al-Aqah, The Address Fujairah Residences, Eagle Fujairah Beach, Emtelak Al Dana Villas, Rawasi Naseem Al Bahr Villas, and Fujairah Beach Townhouse offer 7–9% ROI and 10–15% appreciation, backed by AED 15.43B in 2024 transactions.

Freehold laws (since 2019, except Ocean Living for UAE/GCC only) enable global ownership and inheritance, while tax advantages zero personal income, capital gains, and property taxes, and a 2% registration fee (saving AED 32K–440K) maximize returns. Sustainability features (eco-friendly designs, green spaces) align with Fujairah 2040 Plan and SDGs.

Despite a 5–10% correction risk from limited freehold zones, 80–85% absorption, escrow protections, and infrastructure (airport, port) ensure stability. With competitive pricing (AED 1,000–1,667 psf), coastal amenities (beaches, diving), and connectivity (8–25 min to airport/Oman), these projects attract second-home buyers from India, GCC, and Europe. Real Estate