Firms Announce strategic partnership to shape Abu Dhabi’s next phase of urban growth

Aldar and the Department of Municipalities and Transport (DMT) have announced a landmark public-private partnership to deliver new integrated communities spanning more than 20 million square metres across five strategic locations in Abu Dhabi.

The new communities will bring together residential, retail, educational, and lifestyle offerings within thoughtfully planned, walkable neighbourhoods featuring green public spaces and seamless connectivity to Abu Dhabi’s wider transport networks. The master developments will draw on Aldar’s extensive expertise delivering some of Abu Dhabi’s most iconic destinations such as Saadiyat Island, Yas Island, and Al Raha Beach.

The collaboration directly supports the emirate’s broader urban development and housing priorities, including the expansion of the Value Housing Programme, a DMT-led initiative that increases access to high-quality, affordable rental housing in Abu Dhabi.

The agreement also represents a new model for urban development in the emirate, one that aligns housing accessibility, community building, and long-term economic growth within a single, coordinated framework, with DMT contributing land and Aldar serving as master developer.

The partnership was inaugurated during the Abu Dhabi Infrastructure Summit (ADIS) 2026 in the presence of Suhail bin Mohammed Al Mazrouei, Minister of Energy and Infrastructure; Mohammed Ali Al Shorafa, Chairman of the Department of Municipalities and Transport – Abu Dhabi; and Mohamed Khalifa Al Mubarak, Chairman of Aldar.

At the heart of the partnership is a commitment to expanding housing choice for both sale and rent, while raising the standard of community living across Abu Dhabi. At Muwaylih, Mussafah, Al Zahiya and Al Faya, the partners will create a mix of lifestyle-focused developments and Value Housing Programme homes, with design inspiration taken from the unique character and qualities of each area, serving residents across a range of market segments.

These communities are designed to offer a quality of life defined by walkable neighbourhoods, green public spaces, schools, retail, and places to gather, connected to the wider city and built around the lifestyle needs of the people who will call them home. Strategically located along major road networks, each destination will offer seamless connectivity across Abu Dhabi while fostering a strong sense of place and belonging.

The partnership marks a significant expansion of the Value Housing Programme, building on a recently announced commitment to develop two integrated communities in Mohamed Bin Zayed City and Baniyas that will deliver 9,000 residential units to Abu Dhabi’s rental market.

The partners will also activate Al Mihsinah Island for the first time, creating a landmark waterfront community. Designed to combine natural coastal surroundings with thoughtfully planned residential neighbourhoods and lifestyle amenities, the development will offer a living experience that blends wellness, tranquillity, and connectivity within a waterfront setting.

The partnership is a direct expression of Abu Dhabi’s urban development strategy, one that places integrated community planning, housing accessibility, and long-term liveability at its core. By combining public-sector land stewardship with private-sector development expertise, Aldar and DMT are establishing a model for purposeful and inclusive development that can be replicated across the emirate.

About Mohammad S 5939 Articles
News Specialist at SaudiGulf Projects. Mohammad S. Ahmed , an industry analyst with 20 years of experience in Gulf construction.