Abu Dhabi, UAE — Abu Dhabi developer Modon has awarded a AED5 billion (USD 1.36 billion) main construction contract for 735 villas at its Nawayef East and Nawayef West residential projects on Hudayriyat Island, described as the largest residential construction award in the emirate in 2025, the company said.
The development, positioned as a low-density waterfront community, comes as Abu Dhabi’s villa segment continues to outperform the wider market amid rising interest from international buyers.
The contract covers the full construction of 735 luxury villas after infrastructure works for both developments were previously awarded, Modon said. Homes will be set on what the developer describes as the world’s largest man‑made hills, reaching 45 metres at Nawayef East and 55 metres at Nawayef West, a first for residential projects in the area.
Project Details And Community Amenities
Villas at Nawayef East and Nawayef West will range from about 350 sq m to 2,700 sq m, with 3- to 8-bedroom layouts aimed at buyers seeking privacy and larger plots, according to the developer. A range of amenities in and around the community, including sports facilities, retail outlets, cafés and premium dining, is planned to support all-year living on Hudayriyat Island.
Also read: Modon Bashayer Hudayriyat Island Investment Sells Out in 24 Hours – AED 3B Frenzy!
Hudayriyat Island already features a 220-kilometre cycling network and established leisure assets such as waterfront promenades and adventure sports facilities, enhancing its positioning as a lifestyle-led district within Abu Dhabi.
Modon has positioned the Nawayef scheme as a low-density, high-specification address with landscaped streets, access to beaches and elevated plots designed to maximise sea and skyline views.
Abu Dhabi Residential Market Context
The award comes as Abu Dhabi’s residential prices rose about 17.3% year-on-year in the second quarter of 2025, with average rates around AED 1,230 per sq ft and villas outperforming the wider market since 2020, according to Knight Frank.
While just 890 new units were delivered in 2025, more than 33,000 homes are under construction and scheduled for delivery by 2029, highlighting a growing pipeline of prime and lifestyle-focused stock.
Abu Dhabi also recorded Dh1.81 billion in foreign direct investment into real estate in the first quarter of 2024 from 487 investors, led by buyers from India, Russia, Canada, the UK, Jordan and China, the Abu Dhabi Real Estate Centre said. Analysts note that average residential prices in Abu Dhabi remain roughly 30% below Dubai levels, positioning the capital as a relatively more affordable option within the UAE for long-term investors and end-users.
What Hudayriyat Island Means For Indian Investors
Indian investors are among the largest foreign buyer groups in UAE property, with recent rule changes expected to channel up to USD 20 billion annually into UAE assets, including real estate.
Also read: Modon Strategic Investment in Wellington Backs Major US Luxury Project
For high-net-worth Indian families already active in Dubai, Hudayriyat Island luxury villas in Abu Dhabi offer portfolio diversification into a waterfront, villa-led community at price points that can be lower on a per-square-foot basis than comparable luxury stock in Dubai’s prime districts.
For long-term residents and Gulf-based Indian professionals, the combination of large villa formats, extensive sports infrastructure and proximity to Abu Dhabi’s central business and education hubs may support a buy-to-live strategy rather than purely speculative off-plan flipping.
With more Indian investors relocating to the UAE for lifestyle and tax reasons, Hudayriyat Island luxury villas could be seen as a way to balance capital preservation with potential upside as Abu Dhabi continues to narrow the pricing gap with Dubai.
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