How Ras Al Khaimah became the fastest growing destination in the UAE

Rising leisure and tourism demand and a strategic location have made the northern emirate one of the strongest places for Russian and CIS buyers to invest in the Middle East, making it the ideal place to own beachfront holiday property.

Breathtaking white sands, world-class leisure activities and just a 45-minute drive from Dubai.

It’s not hard to see why Ras Al Khaimah (RAK), the United Arab Emirates’ northernmost region, is rapidly establishing itself as one of the most popular new hotspots for Russian and CIS tourists.

Such is the sustained demand for tourism in RAK right now, an additional 15,000 hotel keys are required by 2025 just to keep pace with the rising number of visitors soaking up the year-round sunshine in luxury destinations such as Al Marjan Island.

So how did RAK become not only one of the world’s fastest growing tourist destinations, but also one the strongest places to invest, too?

Highest tourism growth in the UAE

RAK’s RevPAR (revenue per available room) growth rate in 2016 amounted to 11% year-on-year, one of the highest across the whole region. Last year, there was a 12% surge in visitor arrivals, while the RAK Tourism Development Authority outlines that it hopes tourism will account for 10% of Ras Al Khaimah’s overall GDP by 2025.

Unrivalled connectivity

More than 1.2 billion people are within a six-hour flight from RAK, while tourists flying from Moscow are just five hours away. Dubai International Airport offers direct flights to major cities around the world, while RAK’s own airport continues to grow rapidly, now offering seasonal flights to Russia and Latvia.

Inspiring leisure activities

The world’s fastest zip-line. Renowned links golf courses. Thrilling water sports and adventures. RAK offers a variety of unique activities, while it also boasts the longest stretch of coastline and tallest mountain in the UAE.

A secure investment landscape

RAK’s GDP (gross domestic product) hit RUB 663.8 billion in 2016, with its economy rated by the world’s leading credit rating firms as ‘A/A-1’ and ‘A’ by Standard and Poor’s and Fitch respectively. Businesses from around the world are investing heavily into RAK, helped by amazing benefits (including 100% ownership and full repatriation of profits) currently offered by RAK’s Free Trade Zone.

So what impact is this having on RAK’s property market?

For Russian and CIS investors looking to buy a new holiday property in a strong and growing destination, RAK has now become a priority location.

Over the next few years, the region’s key investment hotspots are predicted to deliver significant returns on investment. This, coupled with its stunning natural beauty and easy access, make RAK one of the most exciting places to invest in overseas holiday property.

By 2021, buying in areas such as Al Marjan Island, RAK’s iconic man-made island, could net investors as much as 20% in capital returns, with property achieving up to 10% annual yields.