Dubai, UAE – Binghatti Holding Ltd has successfully priced a $500 million long three-year green sukuk, marking a milestone in the developer’s financing strategy. The issuance, part of its $1.5 billion Trust Certificate Issuance Programme, was oversubscribed more than four times.
The sukuk was priced at a profit rate of 7.75 percent, equivalent to a spread of 416 basis points over the three-year US Treasury yield. Investor demand exceeded $2 billion, with about half the orderbook coming from outside the UAE.
“Binghatti’s inaugural green sukuk marks a pivotal milestone in our sustainability journey, reinforcing our position as one of the region’s most dynamic and responsible developers,” said Katralnada Binghatti, CEO of Binghatti Holding. “The strong demand and investor trust shown in the $500 million issuance highlights our unique and highly profitable business model.”
Sustainable Growth and Financing Strategy
The Binghatti $500 million green sukuk aligns with the company’s Green Financing Framework, with proceeds earmarked for eligible green projects. The issuance tightened significantly from its initial 8.125 percent guidance, underscoring investor confidence in the developer’s credit profile and sustainability-driven strategy.
Binghatti is rated Ba3 by Moody’s and BB- by Fitch, both with stable outlooks. The sukuk will be dual-listed on the London Stock Exchange and NASDAQ Dubai.
“Building on the phenomenal momentum of our July 2025 five-year sukuk—oversubscribed by more than five times—we are delighted by the overwhelming support from the global investor community,” said Shehzad Janab, CFO of Binghatti Holding. “The strong demand from both the green and conventional liquidity pools is a testament to the Dubai real estate story and Binghatti’s unique market position.”
Market Performance and Development Pipeline
Binghatti reported a net profit of Dh1.82 billion in H1 2025, more than tripling year-on-year, supported by resilient demand for Dubai real estate. Group sales reached Dh8.8 billion, while revenue rose 189 percent to Dh6.3 billion.
The developer launched seven new projects and delivered five in H1 2025 alone, handing over 15 developments in the last 18 months. Binghatti now has a revenue backlog of Dh12.5 billion and a development portfolio exceeding Dh70 billion, with around 20,000 units under development across 30 projects.
Its pipeline includes branded residences in partnership with Bugatti, Mercedes-Benz, and Jacob & Co, along with projects in Downtown Dubai, Business Bay, Meydan, and Jumeirah Village Circle.
Opportunities for Indian Buyers
For Indian investors, the Binghatti $500 million green sukuk highlights growing confidence in Dubai’s property-backed financing and reinforces the city’s strength as a global real estate hub.
With sukuk proceeds supporting sustainable developments, investors can expect continued growth in Binghatti’s residential portfolio, which is anchored in prime locations and branded partnerships. For those exploring exposure to Dubai real estate indirectly, sukuk instruments provide a way to align with the emirate’s property growth story while benefiting from structured returns.
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