Expats shift to property ownership in Bahrain

TDT | Manama

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Expats are moving away from the rental market and investing in property in Bahrain, driven by the Golden Residency scheme and a growing sense that real estate here offers a more secure investment.

A report by Savills presents a market benefiting from demographic shifts, greater affordability, and a government focused on sustaining growth, despite broader economic pressures across the region.

Luxury flats have risen in price — up 1.4 per cent over the year — while affluent buyers are opting for high-end homes equipped with premium features.

Rents have climbed by 23 per cent across the country, with nearly half of all leases concentrated in the Capital Governorate.

Attraction

Diyar Al Muharraq, Manama Waterfront, and Juffair continue to attract investors, while developers are rolling out new neighbourhoods that integrate residential, retail, and commercial spaces.

To meet demand, the Urban Planning and Development Authority has allocated an additional 208,000 square metres for housing. The office market, however, has struggled. Demand remains sluggish.

However, new projects such as Saya Corp Tower and Future Generation Tower, which are set for completion in 2025, are expected to bring changes to the market.

In the industrial sector, Bahrain’s efforts to strengthen manufacturing have driven demand for warehouses. Larger storage spaces have seen rental costs increase by 2.1 per cent, while smaller units have remained stable.

The report highlights Bahrain’s real estate market as a key driver of economic growth, and with new infrastructure developments underway.