Dubai Islands Dubai: Prices, Projects & Investment Guide (2026)

Dubai Islands Overview

Dubai Islands is a five-island development on Dubai's northern coastline, developed by Nakheel within the Dubai Holding Real Estate structure. The project has a long history: it began as a concept under the name "Palm Deira" in the mid-2000s, was then scaled back and renamed "Deira Islands" after the 2008 financial crisis, before being formally relaunched under its current name "Dubai Islands" in August 2022. (Source: What's On, August 2022) Per the latest official data, the project spans a total area of 18.6 square kilometers, with a coastline of approximately 57-59 kilometers (around 21 kilometers of which is beachfront), and a planned residential capacity exceeding 231,000 residents across roughly 49,000 homes (villas, mansions, and apartments). (Source: Nakheel and AGBI data, April 2026)

Developer

Nakheel (within Dubai Holding Real Estate).

Location

Dubai's northern coastline, connected to the mainland via three bridges within the Al Shindagha Corridor. Approximately 10 kilometers from Dubai International Airport, and around 15 kilometers from Downtown Dubai. (Source: Nakheel statement, April 2026)

Project Type

An integrated island cluster combining residential (apartments, villas, and mansions), hospitality, leisure, and retail uses — unlike Palm Jebel Ali, which leans more heavily toward pure residential.

Unit Types and Sub-Projects

Bay Villas: A villa community on Island B, with a construction contract worth AED 2.6 billion and 636 units across five categories (townhouses, semi-detached villas, garden villas, waterfront villas, and beachfront villas), awarded to contractor Fibrex Contracting. Amenities include three pool houses, a beach club, community gardens and open spaces, sports courts, and children's play areas.

Bay Grove Residences: One- to four-bedroom apartments, plus a signature penthouse collection, in its final launch phase, overlooking "Crystal Beach" with an infinity pool and landscaped podium gardens. Approximately 20 minutes from Dubai International Airport, 24 minutes from Downtown Dubai, and 34 minutes from DIFC.

Rixos Hotel & Residences: A hotel-residential project with a private 700-meter beach, comprising one- to three-bedroom apartments, four-bedroom duplexes, beach houses, and ten luxury villas, with a spa, wellness facilities, residential lounges, and landscaped gardens.

Island B (infrastructure): An AED 527 million contract covering roads, potable water, electricity, telecom, drainage and sewage, and district cooling network integration, with technical coordination with Island A.

(Sources: Island B contract statement, Zawya statement on Bay Villas, Nakheel's upcoming projects page)

Prices — What Is Confirmed

We did not find a unified official price list issued directly by Nakheel for all Dubai Islands projects at the time of writing this guide. Any price figure seen on broker platforms represents a third-party listing, not necessarily the developer's current official price. For an accurate price: identify the specific sub-project (e.g., Bay Villas, Bay Grove Residences, or Rixos), the unit type, and the verification date, and contact Nakheel directly or a licensed broker.

Payment Plan

No unified payment plan details for all Dubai Islands projects were published in the official sources reviewed. Payment plans are typically announced per sub-project at launch.

Construction Status & Handover

Per the latest official data (April 2026): Nakheel was awarded an AED 527 million infrastructure contract for Island B, and an AED 2.6 billion construction contract for the Bay Villas community. Bay Grove Residences is in its final launch phase, and both Rixos Hotel & Residences and Bay Villas are under construction. We did not find a unified, precise handover date for any of these sub-projects in the official sources reviewed — each project requires separate verification of its timeline.

Amenities

Amenities vary by sub-project: Bay Villas includes pool houses, a beach club, community gardens, sports courts, and children's play areas; Bay Grove Residences includes Crystal Beach, an infinity pool, and landscaped gardens; Rixos includes a private 700-meter beach, a spa, and wellness facilities. At the island-wide level, the project plans for more than 80 resorts and hotels (luxury, family, and eco-conscious), 20 kilometers of beaches (including a Blue Flag-certified beach), two square kilometers of parks and open spaces, and golf courses. (Source: What's On, August 2022 — some of these figures may refer to future plans rather than fully completed features)

Location & Nearby Landmarks

Souk Al Marfa, a 400-store waterfront marketplace that opened in August 2021, a museum hub that opened in June 2022, and two currently operating hotels (Centara Mirage Beach Resort Dubai and Hotel RIU Dubai). The project connects to the mainland via three bridges within the Al Shindagha Corridor, and is roughly 10 km from Dubai International Airport and 15 km from Downtown Dubai.

Investment Potential

The project's scale (49,000 planned units, a residential capacity exceeding 231,000) makes it one of the largest active waterfront projects in Dubai today, backed by construction contracts actually signed for billions of dirhams during 2026. This scale also means a long timeline for full development, and that much of the infrastructure (as with Island B) is still in early stages — meaning an investor is entering a long-term project, not a near-complete one.

Rental Potential

We did not find official or independent rental yield data specific to Dubai Islands in this research. Any yield figure circulating on broker sites should be treated as an unverified estimate until confirmed by an independent source.

Pros

• Massive project scale (49,000 planned units) offering wide variety across apartments, villas, and hotel-branded units
• Actual construction contracts signed for billions of dirhams during 2026 for specific projects (Island B, Bay Villas)
• Strategic location near Dubai International Airport (10 km) and Downtown Dubai (15 km), with tourism infrastructure partly already in place (Souk Al Marfa, two operating hotels)

Cons

• No unified official prices or payment plans published for all sub-projects
• No unified, precise handover schedule for most sub-projects
• The project's large scale means a long timeline for full development — large portions of infrastructure are still in early stages
• Rental and resale market still forming

Who Should Buy?

Investors seeking exposure to a massive waterfront project in its early-to-mid development stages, with a long-term investment horizon, and an interest in variety across unit types (apartments, villas, hotel-branded units).

Who Should Avoid?

Buyers seeking near-term handover or a mature rental and resale market with historical data — both conditions are not yet fully available at Dubai Islands given the project's scale and the recency of its current stages.

FAQ

Where is Dubai Islands located? On Dubai's northern coastline, connected to the mainland via three bridges within the Al Shindagha Corridor, roughly 10 km from Dubai International Airport and 15 km from Downtown Dubai.

Is Dubai Islands the same as Palm Deira? Historically, yes in terms of the original concept — the project began as Palm Deira, was scaled back and renamed Deira Islands after the 2008 crisis, before being formally relaunched as Dubai Islands in August 2022 with a masterplan different from the original Palm Deira design.

How many residential units are planned for Dubai Islands? Around 49,000 units (villas, mansions, and apartments) with a planned residential capacity exceeding 231,000 residents, per the latest official data.

What are the most prominent current projects at Dubai Islands? Bay Villas, Bay Grove Residences, and Rixos Hotel & Residences are the most prominent currently active projects, alongside Island B infrastructure development.

Are there official prices for Dubai Islands projects? There is no unified official price published directly by Nakheel for all sub-projects at the time of writing this guide; each project should be verified directly with the developer.

Key Takeaways

• Dubai Islands is a massive five-island project (49,000 planned units) developed by Nakheel on Dubai's northern coastline.
• The project has a long history from Palm Deira to Deira Islands to Dubai Islands (August 2022).
• Actual construction contracts worth billions of dirhams during 2026 (Island B, Bay Villas) confirm genuine execution progress.
• There are no unified official prices or handover schedules — each sub-project requires separate verification.

Investment Perspective

Dubai Islands' scale and strategic location give it significant long-term potential, backed by actual construction contracts worth billions of dirhams and tourism infrastructure already partly in place (Souk Al Marfa, two hotels). But the project's large scale means much of the development is still in early stages, and any investment decision should be based on evaluating the specific sub-project (Bay Villas, Bay Grove, or Rixos) on its actual price and timeline, not the project's overall big-picture scale.

CTA

Ask for updated information on currently available units at Dubai Islands and their prices — contact Muhalab Adam.