Mubadala and Aldar unveil new regional investment platform

Abu Dhabi’s Mubadala Capital and Aldar have moved to establish a dedicated real estate investment platform that will pursue large-scale opportunities across the UAE and the wider GCC, marking a significant expansion of institutional-grade assets available to global investors. The new entity, Aldar Capital, is being positioned as a vehicle that will attract long-term institutional capital at a time when demand for diversified real asset exposure has grown steadily in major markets.

The platform is preparing to raise about $1 billion for its first fund, expected to launch next year, with outreach set to include sovereign wealth vehicles, pension plans, insurance groups, fund-of-funds managers and family offices from multiple regions. Market analysts say the scale of the initial fundraise indicates confidence in the region’s economic resilience, underpinned by steady population growth, infrastructure spending and the strengthening of local capital markets in the Gulf. Mubadala Capital’s chief executive, Hani Barhoush, has described the landscape as one where institutional access, particularly to high-quality regional assets, has historically been limited despite strong demand for stable, long-term returns.

Aldar’s involvement underscores its ambition to broaden its investor base and accelerate the pace at which it expands its income-generating portfolio. The developer has been consolidating large holdings in commercial, residential and logistics properties over the past few years and has pursued joint ventures with strategic partners in sectors where demand is expanding, including grade-A offices and community retail. By aligning with Mubadala Capital, Aldar is seeking to take advantage of deeper financial expertise and a wider international network capable of drawing in capital that traditionally had little exposure to the Gulf’s real estate sector.

The formation of Aldar Capital is also reflective of a shift among global institutions that have been reallocating towards alternative assets, particularly those linked to urban development, hospitality, industrial parks and logistics hubs. These sectors have shown sustained performance in the Gulf, driven by economic diversification agendas, major transport and tourism projects, and the steady scaling of free zones and industrial corridors. Investors have also been tracking the structural path of the region’s population and workforce expansion, which feeds demand for residential communities and specialised commercial space.

Mubadala Capital, a subsidiary of Mubadala Investment Company, has extended its reach across private equity, venture capital and credit strategies in global markets, and has been steadily building its exposure to thematic investments linked to long-term economic transformations. Its role in Aldar Capital is expected to provide governance frameworks, risk management standards and an international distribution footprint that appeal to large asset owners seeking predictable returns. The platform’s mandate aligns with broader investor interest in stable, inflation-resilient assets as monetary cycles evolve across key jurisdictions.

Aldar, meanwhile, has been strengthening its investment management arm to consolidate recurring income assets and enhance its fund management capabilities. The company has completed several landmark deals in Abu Dhabi and Dubai, acquiring commercial towers, hospitality assets and grade-A offices while pursuing a pipeline of developments that tap into growing urban clusters. Its operational scale and brand recognition place it among the region’s most influential developers, and the creation of Aldar Capital is expected to extend its reach to investors who previously had few direct avenues into the UAE’s property markets.

The Gulf has increasingly attracted global institutions aiming to diversify beyond traditional Western property markets, particularly as leasing activity in Dubai and Abu Dhabi continues to post steady absorption rates in key segments. Demand for logistics facilities, data centres and mixed-use communities has been buoyed by expanding digital infrastructure, e-commerce penetration and manufacturing-linked projects supported by economic free zones. Aldar Capital’s initial strategy is expected to focus on both core and value-add opportunities designed to balance yield generation with capital appreciation.

The timing of the platform has also drawn attention, given the broader recalibration under way within global real estate markets. While several Western economies continue to contend with interest rate pressures and subdued transaction volumes, the Gulf’s environment has remained comparatively robust, supported by liquidity, ongoing public investment and favourable regulatory reforms. Analysts note that the region’s long-term urban plans, alongside transport corridors and large lifestyle developments, provide a multi-year investment pipeline that aligns with institutional time horizons.

Aldar Capital’s structure is being viewed as a bridge between global capital pools and the region’s expanding asset base, offering a more formalised route for investors that require strong governance standards, transparency and disciplined asset selection. By paraphrasing the thrust of its launch, the initiative represents a coordinated effort by Mubadala and Aldar to channel substantial capital into curated real estate holdings across the UAE and GCC, backed by the scale and credibility of two of Abu Dhabi’s most prominent entities.