Fujairah Real Estate: 6 Seaside Townhouses Offering Beachfront Living Benefits in 2025

REAL ESTATE1 month ago

Fujairah’s AED 7.3B real estate market in 2024 (3,200 transactions, 24% YoY growth) offers apartments (AED 300K–5M), villas (AED 1M–20M), and townhouses (AED 800K–4M) with 6–9% ROI and 8–15% appreciation by 2028. With 180K residents and 1.8M tourists in 2024, demand is driven by affordability (20–30% below Dubai), natural beauty (Hajar Mountains, Gulf of Oman coastline), and infrastructure (e.g., Fujairah Port, E99 connectivity).

Freehold laws (since 2014 for UAE/GCC nationals in designated areas; limited expat ownership) and tax advantages—zero personal income, capital gains, and inheritance taxes, VAT exemptions on residential properties, and 0% corporate tax for free zone income boost appeal.

Six seaside townhouse projects Fujairah Beach, Ocean Living, The Address Residences Fujairah Resort + Spa, Al Aqah Beachfront, Coral Reef Residences, and Seaside Hills offer beachfront living, eco-friendly designs, and tourism-driven amenities, aligning with Fujairah’s 2040 Vision for sustainable growth.

These projects attracted AED 1B in transactions in 2024, primarily from UAE/GCC nationals. Below is an analysis of each project, its ownership benefits, tax incentives, sustainability features, and investment potential, supported by 2024–2025 data and web sources.

Fujairah’s AED 7.3B real estate market in 2024 (3,200 transactions, 24% year-on-year growth) offers apartments (AED 300K–5M), villas (AED 1M–20M), and townhouses (AED 800K–4M) with 6–9% ROI and 8–15% appreciation by 2028.

With 180K residents and 1.8M tourists in 2024, demand is driven by affordability (20–30% below Dubai), natural beauty (Hajar Mountains, Gulf of Oman coastline), and infrastructure (e.g., Fujairah Port, E99 connectivity).

Freehold laws (since 2014 for UAE/GCC nationals in designated areas; limited expat ownership) and tax advantages zero personal income, capital gains, and inheritance taxes, VAT exemptions on residential properties, and 0% corporate tax for qualifying free zone income boost appeal. Six seaside townhouse projects Fujairah Beach, Ocean Living, The Address Residences Fujairah Resort + Spa, Al Aqah Beachfront, Coral Reef Residences, and Seaside Hills offer beachfront living, eco-friendly designs, and tourism-driven amenities, aligning with Fujairah’s 2040 Vision for sustainable growth.

These projects attracted AED 1B in transactions in 2024, primarily from UAE/GCC nationals. This guide details each project, its ownership benefits, tax incentives, sustainability features, and investment potential, supported by 2024–2025 data.

1. Fujairah Beach (Al Aqah)

Project Details: A gated beachfront community by Eagle Hills, offering 2–3-bedroom townhouses (AED 1.5M–2.5M, 1,520–2,140 sqft) with direct Gulf of Oman access. Features a 5-star Palace Fujairah Beach Hotel (162 rooms), community pool, gym, jogging/bike tracks, and kids’ play area. Handover Q3 2025 with 40/60 payment plans. Average price: AED 987–1,168 psf.
Ownership Benefits: Freehold ownership for UAE/GCC nationals in designated areas, registered via Fujairah Land Department. Enables resale and wealth transfer within GCC markets.
Tax Incentives: Zero-rated first supply avoids 5% VAT (saving AED 75K–125K). Zero personal income tax on rentals (AED 50K–150K/year), zero capital gains tax on profits (e.g., AED 120K–375K by 2028), and zero inheritance tax. Gift transfers reduce 2% RETT to 0.125% (saving AED 5K–29K). Free zone ownership via Fujairah Free Zone ensures 0% corporate tax.
Sustainability Features: Eco-friendly design with privacy-focused layouts, water-efficient systems, and 20% green spaces. Promotes low-density living and coastal preservation, aligning with SDGs 11 and 15.
Investment Potential: 7–9% ROI, with 85% occupancy driven by tourism (1.8M visitors in 2024) and proximity to luxury hotels. AED 300M in 2024 sales, with 8–12% appreciation by 2028 (e.g., AED 1.5M townhouse to AED 1.62M–1.68M). Residency visa eligible (AED 750K+).
Impact: Tranquil beachfront lifestyle with fine dining and recreational amenities. Tax savings (AED 80K–154K) and connectivity to Dubai (90 min via E99) attract UAE/GCC families and investors.

2. Ocean Living (Al Aqah Beach)

Project Details: A luxury villa and townhouse development by Future Cities and Emtelak Properties, offering 5-bedroom townhouses (AED 3M–4M, 7,000 sqft) with private pools, indoor elevators, and sea-view gardens. Features panoramic Gulf of Oman and Al Aqah Mountain views. Handover Q4 2026 with escrow-backed 40/60 payment plans and a 5% limited-time discount. Average price: AED 429–571 psf.
Ownership Benefits: Freehold ownership for UAE/GCC nationals, registered via Fujairah Land Department. Supports resale and legacy planning within GCC.
Tax Incentives: Zero-rated first supply avoids VAT (saving AED 150K–200K). Zero personal income tax on rentals (AED 100K–250K/year), zero capital gains tax on profits (e.g., AED 240K–600K by 2028), and zero inheritance tax. Gift transfers reduce 2% RETT to 0.125% (saving AED 5K–49K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Green landscaping, water conservation, and energy-efficient systems. Supports eco-tourism with proximity to diving and fishing centers, aligning with SDGs 11 and 13.
Investment Potential: 6–8% ROI, with 85% occupancy driven by high-end tourism and family appeal (AED 200M in 2024 sales). 10–15% appreciation by 2028 (e.g., AED 3M townhouse to AED 3.3M–3.45M). Golden Visa eligible (AED 2M+).
Impact: Spacious coastal living with premium amenities. Tax savings (AED 155K–249K) and proximity to luxury hotels attract UAE/GCC nationals seeking vacation homes.

3. The Address Residences Fujairah Resort + Spa (Sharm)

Project Details: A mixed-use development by Eagle Hills and The Address Hotels + Resorts, offering 2–3-bedroom townhouses (AED 1.8M–3M, 1,800–2,500 sqft) with a 500m promenade and beach access. Includes a 5-star hotel, serviced residences, and plaza. Handover Q2 2025 with 50/50 payment plans. Average price: AED 1,000–1,200 psf.
Ownership Benefits: Freehold ownership for UAE/GCC nationals, registered via Fujairah Land Department. Enables GCC resale and wealth transfer.
Tax Incentives: Zero-rated first supply avoids VAT (saving AED 90K–150K). Zero personal income tax on rentals (AED 60K–180K/year), zero capital gains tax on profits (e.g., AED 144K–450K by 2028), and zero inheritance tax. Gift transfers reduce 2% RETT to 0.125% (saving AED 5K–29K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Low-impact design with green spaces and water-efficient systems. Promotes eco-tourism with coastal preservation, aligning with SDG 11.
Investment Potential: 7–9% ROI, with 85% occupancy driven by hotel-driven tourism (AED 250M in 2024 sales). 8–12% appreciation by 2028 (e.g., AED 1.8M townhouse to AED 1.94M–2.02M). Golden Visa eligible (AED 2M+).
Impact: Resort-style living with 5-star amenities and Hajar Mountain views. Tax savings (AED 95K–179K) and connectivity to Dibba Al Fujairah (21km) attract UAE/GCC investors.

4. Al Aqah Beachfront (Al Aqah)

Project Details: A coastal development by Fujairah Investment, offering 2–3-bedroom townhouses (AED 1.2M–2M, 1,500–2,000 sqft) with direct beach access. Features eco-friendly design, community pool, and proximity to diving centers. Handover Q3 2025 with 40/60 payment plans. Average price: AED 800–1,000 psf.
Ownership Benefits: Freehold ownership for UAE/GCC nationals, registered via Fujairah Land Department. Supports GCC resale and legacy planning.
Tax Incentives: Zero-rated first supply avoids VAT (saving AED 60K–100K). Zero personal income tax on rentals (AED 40K–120K/year), zero capital gains tax on profits (e.g., AED 96K–300K by 2028), and zero inheritance tax. Gift transfers reduce 2% RETT to 0.125% (saving AED 5K–29K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Energy-efficient systems, 20% green spaces, and eco-tourism focus with proximity to marine activities. Aligns with SDGs 11 and 15.
Investment Potential: 7–9% ROI, with 85% occupancy driven by eco-tourism and affordability (AED 150M in 2024 sales). 8–12% appreciation by 2028 (e.g., AED 1.2M townhouse to AED 1.3M–1.34M). Residency visa eligible (AED 750K+).
Impact: Affordable beachfront living with water sports access. Tax savings (AED 65K–129K) and connectivity to Dubai (90 min via E99) attract UAE/GCC families.

5. Coral Reef Residences (Al Aqah)

Project Details: A beachfront community by Al Hamra Real Estate, offering 2–3-bedroom townhouses (AED 1.3M–2.2M, 1,600–2,200 sqft) with lagoon and beach access. Features eco-conscious design, community pool, and wellness amenities. Handover Q1 2026 with 40/60 payment plans. Average price: AED 813–1,000 psf.
Ownership Benefits: Freehold ownership for UAE/GCC nationals, registered via Fujairah Land Department. Enables GCC resale and wealth transfer.
Tax Incentives: Zero-rated first supply avoids VAT (saving AED 65K–110K). Zero personal income tax on rentals (AED 50K–150K/year), zero capital gains tax on profits (e.g., AED 104K–330K by 2028), and zero inheritance tax. Gift transfers reduce 2% RETT to 0.125% (saving AED 5K–29K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Green building standards, water conservation, and 25% green spaces. Supports marine conservation and eco-tourism, aligning with SDGs 11 and 14.
Investment Potential: 7–9% ROI, with 85% occupancy projected due to wellness and eco-tourism appeal (AED 100M in 2024 pre-sales). 8–12% appreciation by 2028 (e.g., AED 1.3M townhouse to AED 1.4M–1.46M). Residency visa eligible (AED 750K+).
Impact: Wellness-focused coastal living with lagoon views. Tax savings (AED 70K–139K) and proximity to Fujairah Port attract UAE/GCC investors.

6. Seaside Hills (Sharm)

Project Details: A coastal development by Fujairah Properties, offering 3–4-bedroom townhouses (AED 1.8M–3M, 2,000–3,000 sqft) with beach access and mountain views. Features green spaces, community pool, and recreational facilities. Handover Q4 2025 with 50/50 payment plans. Average price: AED 900–1,000 psf.
Ownership Benefits: Freehold ownership for UAE/GCC nationals, registered via Fujairah Land Department. Supports GCC resale and legacy planning.
Tax Incentives: Zero-rated first supply avoids VAT (saving AED 90K–150K). Zero personal income tax on rentals (AED 60K–180K/year), zero capital gains tax on profits (e.g., AED 144K–450K by 2028), and zero inheritance tax. Gift transfers reduce 2% RETT to 0.125% (saving AED 5K–29K). Free zone ownership ensures 0% corporate tax.
Sustainability Features: Eco-friendly design with energy-efficient systems and 20% green spaces. Promotes low-density coastal living, aligning with SDG 11.
Investment Potential: 6–8% ROI, with 85% occupancy driven by tourism and natural beauty (AED 100M in 2024 sales). 8–12% appreciation by 2028 (e.g., AED 1.8M townhouse to AED 1.94M–2.02M). Golden Visa eligible (AED 2M+).
Impact: Family-oriented beachfront living with recreational amenities. Tax savings (AED 95K–179K) and connectivity to Dubai (90 min via E99) attract UAE/GCC nationals.

Market Trends and Outlook for 2025

Yields and Appreciation: Fujairah offers 6–9% ROI (townhouses 7–9%, villas 6–8%) and 8–15% appreciation, driven by AED 7.3B in 2024 sales (24% YoY growth) and 7–10% rental growth. Off-plan sales (50% of transactions) dominate, with 2,000 units expected by 2028. Prices rose 10–15% in 2024 (AED 429–3,000 psf).
Ownership and Tax Environment: Freehold laws since 2014 allow UAE/GCC nationals 100% ownership in designated areas, with inheritance rights, boosting demand (AED 1B in transactions in 2024). Limited expat ownership restricts foreign investment. Zero personal income, capital gains, and inheritance taxes, plus VAT exemptions, ensure tax efficiency. The 2% RETT (buyer-paid) drops to 0.125% via gift transfers, saving AED 5K–179K. Free zone entities (e.g., Fujairah Free Zone) offer 0% corporate tax. No RETT changes confirmed for 2025.
Infrastructure Impact: Fujairah Port expansion, E99 upgrades, and Fujairah 2040 Vision boost values by 5–8%. Tourism (1.8M visitors in 2024) and 85% occupancy drive rental demand (AED 500–1,500/night short-term). Cultural preservation (e.g., Fujairah Fort) and eco-tourism enhance appeal.
Investor Drivers: Freehold status for UAE/GCC nationals, flexible payment plans (5–10% down), and affordability (20–30% below Dubai) fuel 70% of demand. Golden Visa eligibility (AED 2M+) and beachfront lifestyles attract UAE/GCC buyers. Eco-friendly designs and water sports (diving, fishing) drive end-user demand.
Risks: Limited expat ownership, oversupply (2,000 units by 2028), AML compliance costs (AED 2K–7K), and off-plan delays pose an 8–10% correction risk in H2 2025. Mitigated by 85% absorption, escrow accounts, and RERA regulations.
Regulatory Framework: Fujairah Land Department ensures transparency with digital portals. Escrow laws protect off-plan investments (e.g., Ocean Living, handover Q4 2026). Freehold zones allow inheritance rights for UAE/GCC nationals.

Investment Strategy

Diversification: Invest in Fujairah Beach (AED 1.5M–2.5M, 7–9% ROI) for gated luxury, Ocean Living (AED 3M–4M, 6–8% ROI) for spacious villas, The Address Residences (AED 1.8M–3M, 7–9% ROI) for resort-style living, Al Aqah Beachfront (AED 1.2M–2M, 7–9% ROI) for affordability, Coral Reef Residences (AED 1.3M–2.2M, 7–9% ROI) for wellness, or Seaside Hills (AED 1.8M–3M, 6–8% ROI) for family appeal.
Entry Points: Off-plan units (5–10% down, e.g., Al Aqah Beachfront) offer flexibility. Ready-to-move units in Fujairah Beach suit immediate rentals (AED 40K–250K/year).
Tax Optimization: Hold properties personally to avoid 9% corporate tax or use Fujairah Free Zone entities for 0% corporate tax. Use gift transfers (0.125% RETT) or payment plans to reduce costs. Recover input VAT (AED 2K–50K/year) via FTA registration. Consult advisors like Shuraa Tax for compliance.
Process: Verify ownership status (UAE/GCC nationals only in most areas) and tax benefits via Fujairah Land Department portals. Pay 2% RETT and secure NOC. Use platforms like Property Finder, Bayut, or everhomes.ae. Required documents: passport copy, proof of funds, UAE/GCC nationality proof. Documents must be translated into Arabic and legalized.

Conclusion

In 2025, Fujairah’s six seaside townhouse projects Fujairah Beach, Ocean Living, The Address Residences Fujairah Resort + Spa, Al Aqah Beachfront, Coral Reef Residences, and Seaside Hills offer 6–9% ROI and 8–15% appreciation, backed by AED 7.3B in 2024 sales. Freehold laws (since 2014 for UAE/GCC nationals) enable ownership and inheritance, while tax advantages zero personal income, capital gains, and inheritance taxes, VAT exemptions, and gift transfers (saving AED 5K–249K) maximize returns.

Sustainable features like green spaces and eco-tourism align with Fujairah’s 2040 Vision. Despite an 8–10% correction risk from oversupply and limited expat ownership, 85% absorption, escrow protections, and infrastructure (e.g., Fujairah Port, E99) ensure stability. With affordability (20–30% below Dubai), beachfront lifestyles, and connectivity (90 min to Dubai), these projects attract UAE/GCC nationals. Fujairah Seaside