Dubai Land Department launches pilot phase of ‘Real Estate Tokenisation Project’

Photo : Dubai Government Media Office

As part of its plan to make Dubai a global leader in property technology, the Dubai Land Department (DLD) has introduced the pilot phase of the ‘Real Estate Tokenisation Project’. This project is part of the Dubai Real Estate Sector Strategy 2033 and aims to bring new technology to the real estate market. With this initiative, DLD becomes the first real estate registration body in the Middle East to use tokenisation for property title deeds.

The project is being carried out in collaboration with the Dubai Virtual Assets Regulatory Authority (VARA), the Dubai Future Foundation (DFF), and SandBox Real Estate.

What Is Real Estate Tokenisation?
Real estate tokenisation is a process where physical properties are divided into digital tokens using blockchain technology. Each token represents a share of the property, allowing people to co-own real estate without buying the whole property. This makes property investment more accessible, as investors can buy small portions based on their budget.

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Unlike crowdfunding, where people pool their money to invest in property through platforms, tokenisation offers a more structured and regulated model. It also makes it easier to buy, sell, and trade property shares digitally, making real estate investment faster and more flexible.

Big Potential for Growth
The DLD believes this project will boost Dubai’s real estate market, with the tokenisation sector expected to be worth AED 60 billion by 2033. This would represent around 7% of all property transactions in Dubai.

To support this project, the DLD recently held a special workshop on real estate tokenisation. It brought together leading property technology (proptech) companies, including major global firms specializing in real estate asset tokenisation.

A New Era for Real Estate
His Excellency Eng. Marwan Ahmed Bin Ghalita, Director General of DLD, described the project as a game-changer for the industry. He said:

“As technology continues to advance, real estate tokenisation is becoming a powerful tool that is transforming the sector. By turning real estate assets into digital tokens recorded on blockchain, we can simplify the process of buying, selling, and investing in property. This move is in line with DLD’s vision to use technology to develop innovative real estate products and make Dubai a global leader in property investment.”

He added:

“This project is part of our ‘REES’ Real Estate Innovation Initiative, which is designed to attract more tech companies to Dubai. Our goal is to create new opportunities for innovative real estate products, promote transparency and governance, and allow more people to invest in large-scale property projects. By working with both public and private sector partners, we aim to enhance the efficiency of real estate operations. Following this pilot phase, we will study the results carefully and use the insights to improve the project before launching it fully.”

Goals of the Project
The Real Estate Tokenisation Project has several goals, including:

• Attracting technology companies: The project aims to bring more global tech firms to Dubai, boosting its status as a leader in real estate innovation.
• Opening new investment opportunities: Tokenisation allows more people to invest in Dubai’s real estate market by enabling fractional ownership.
• Strengthening Dubai’s position in virtual assets: The project supports Dubai’s ambition to become a regional and global hub for virtual assets, making the city more competitive on the international stage.
• Raising awareness of virtual assets: The initiative will help people learn more about virtual asset services and how they can invest in tokenised real estate.
• Promoting innovation in the property sector: The project encourages the development of new solutions and technologies for the real estate market.
• Attracting more investors: By making it easier to invest in property, the project aims to bring more investors and virtual asset companies to Dubai.
• Supporting Dubai’s Digital Economy

The Real Estate Tokenisation Project is part of Dubai’s broader plan to adopt digital solutions as part of the Dubai Economic Agenda D33. This agenda focuses on building a smart and advanced economy driven by innovation and technology.

By introducing real estate tokenisation, Dubai is setting an example for other cities and strengthening its position as a global hub for real estate technology and digital innovation.