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Nakheel’s Dubai Islands: 360 Homes, 12,000 Residents Planned

by T&I News
October 26, 2026
in Emirates
Reading Time: 2 mins read
Dubai Islands waterfront community

Nakheel has just launched a new waterfront community called Bay Estate at Dubai Islands, and it’s a big one. The project will hold around 360 homes and is expected to house more than 12,000 residents once it’s finished. If you’ve been watching Dubai’s property market for your next investment or home, this is one to note.

What’s actually being built at Dubai Islands, Dubai?

Bay Estate covers a massive 653,709 square metres of land. That includes 2.4km of beachfront and 6.5km of waterfront, which is a lot of prime coastal real estate for one single community.

The homes themselves are villas and townhouses, spread across three districts named Cala, Verda and Agora. Alongside the houses, there are also beachfront and waterfront plots for those who want to build their own.

It’s not just about homes either. The masterplan includes sports and community facilities, pedestrian-friendly spaces, and a yacht marina. So this is being pitched as a full lifestyle destination, not just a housing estate.

Nakheel is a member of Dubai Holding Real Estate, and Khalid Al Malik, CEO of Dubai Holding Real Estate, said the project is part of the continued development of Dubai Islands and the wider push to expand waterfront residential developments across the emirate.

Why this matters for Dubai’s bigger property picture

Bay Estate is just one piece of a much larger puzzle. Dubai Islands itself is planned to eventually house more than 230,000 residents across roughly 62,000 homes once fully developed. That’s a small city in its own right, built almost entirely on reclaimed waterfront land.

The wider masterplan also includes more than 11,000 hotel rooms and over 4,000 branded residences, spread across five islands covering 18.6 square kilometres. For anyone tracking emirates news on major developments, this is one of the largest coastal expansions happening in the region right now.

Once complete, the project will add about 57km to Dubai’s coastline, including 21km of beaches. There are also plans for two golf courses, eight marinas, water transport networks, coastal parks, plus cycling and walking paths. That’s a serious amount of new infrastructure built around the water.

Getting around won’t be a problem either. The islands connect to the mainland through three bridges linked to the Al Shindagha Corridor. Location-wise, Dubai Islands sits about 10km from Dubai International Airport and just 15km from Downtown Dubai, so residents won’t be far from the city’s main hubs.

For buyers and investors across the UAE and GCC, this kind of scale matters. A community of this size, with direct beach access and strong connectivity to the airport and downtown, is the sort of project that tends to attract both end-users looking for a home and investors eyeing rental returns or long-term capital growth. As reported by Arabian Business, the broader Dubai Islands project is still very much a work in progress, with plenty more phases expected to follow Bay Estate.

What to watch next is how quickly Nakheel moves on the remaining phases of Dubai Islands, and whether more community launches like Bay Estate follow a similar model of villas, townhouses and standalone plots. With golf courses, marinas and hotel rooms all part of the plan, the next few years should bring a steady stream of announcements as the five islands take shape.

Tags: Dubai coastal projectsDubai IslandsDubai real estate investmentDubai villas townhousesDubai waterfront homesEmirates property marketNakheel Bay EstateUAE residential development
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