Abu Dhabi’s New Rental Index: Bringing Balance and Transparency to Real Estate

The recent introduction of Abu Dhabi’s first official rental index is set to bring more stability and transparency to the emirate’s real estate market, according to Evgeny Ratskevich, CEO of Metropolitan Capital Real Estate.

Speaking about the new index launched by the Abu Dhabi Real Estate Centre (ADREC), Ratskevich emphasized its role in reducing discrepancies between actual rents and fair market values. “This could mean some rents may decrease if they are currently too high or increase slightly if they are too low, but these changes are expected to be gradual and balanced,” he explained.

Evgeny downplayed concerns about dramatic shifts in rental rates, suggesting instead that the index will serve as a valuable tool for both tenants and landlords to negotiate fair prices and make informed decisions.

The Metropolitan Capital Real Estate CEO also pointed out the broader implications for market stability. “The rental index contributes to a more stable real estate market by curbing sudden and extreme fluctuations in rental rates. This stability creates a more predictable environment for tenants and landlords, reducing uncertainty and fostering a healthier market dynamic,” Evgeny Ratskevich said.