DUBAI: The Dubai Land Department (DLD) has taken a major leap forward in revolutionising the property market with the launch of the pilot phase of its ‘Real Estate Tokenisation Project.’
The initiative is set to reshape how property transactions are conducted in the emirate by converting real estate assets into digital tokens recorded on blockchain technology.
In collaboration with the Dubai Virtual Assets Regulatory Authority (VARA) and Dubai Future Foundation (DFF), the project establishes DLD as the first real estate registration entity in the Middle East to adopt tokenisation. This innovation is expected to drive exponential growth in the sector, with projections estimating a market value of Dh60 billion by 2033, making up 7 percent of Dubai’s total real estate transactions.
DLD recently hosted a specialised workshop on real estate tokenisation, bringing together leading global firms in property technology to discuss the future of digital real estate investments.
Real Estate Tokenisation
Eng. Marwan Ahmed Bin Ghalita, Director General of Dubai Land Department, emphasised the transformative potential of tokenisation, stating: “Amid rapid technological advancements, real estate tokenisation emerges as a revolutionary tool. By converting assets into digital tokens, it simplifies transactions, enhances transparency, and opens new investment opportunities. This aligns with our vision to position Dubai as a global leader in real estate innovation.”
Bin Ghalita further highlighted that the project is part of DLD’s broader strategy under the ‘REES’ Real Estate Innovation Initiative. Designed to attract global proptech firms, the initiative aims to foster an advanced ecosystem that supports digital real estate products, governance, and transparency. The pilot phase will undergo assessment before full-scale implementation.
Fractional ownership & Blockchain security
The tokenisation model allows multiple investors to co-own a single property by dividing assets into digital shares. This approach enhances accessibility to high-value real estate, enabling investors to enter the market with fractional ownership. Unlike crowdfunding models, tokenisation ensures a structured and blockchain-secured investment framework, bolstering investor confidence.
Furthermore, the project strengthens Dubai’s position as a global hub for virtual assets, promoting investment awareness in digital asset services. By leveraging blockchain technology, the initiative ensures a secure, efficient, and transparent property registration system, further aligning with the Dubai Economic Agenda D33’s focus on digital transformation.
Future roadmap
As Dubai accelerates its digital transformation, the Real Estate Tokenisation Project is poised to attract global investors and technology firms. The emirate continues to prioritise innovation, creating an environment where real estate, blockchain, and virtual assets converge to shape the future of property transactions. With the pilot phase now underway, industry experts anticipate a shift towards a more accessible and tech-driven real estate landscape in the coming years.