UAE-based developer Arada has announced a $7 billion mixed-use development in western Damascus, The National reported on September 1. Developed in partnership with the Syrian Sovereign Fund, the project will draw inspiration from large-scale integrated communities in the UAE.
Spanning 4 million square metres, the development will include 11,000 homes, ranging from apartments and villas to townhouses and branded residences. It will also feature 500 hotel rooms, 1,000 serviced apartments, offices, shops, retail areas and buildings housing government services. Two schools with capacity for 5,000 students and a 300-bed hospital are also planned.
Public spaces will play a major role in the development, including a 700,000-square-metre public park, alongside sports and leisure facilities. “It’s a fully integrated community, similar to what you see in the UAE,” said Ahmed Alkhoshaibi, Group CEO of Arada.
The race to rebuild Syria
The project will be developed in phases over 10 years, with construction of the first homes and infrastructure expected to begin in 2027. Arada is banking not only on strong domestic demand for quality housing, but also on demand from the Syrian diaspora, including those looking to buy primary or secondary residences or invest in property.
The announcement comes as Syria gradually reopens its economy to foreign capital. The European Union lifted its economic sanctions in May, while the United States repealed the Caesar Act in December and, more recently, removed Syria from its list of state sponsors of terrorism. These developments have removed some of the key obstacles that had long deterred major international companies from investing in the country.
The scale of Syria’s reconstruction challenge remains enormous. After nearly 14 years of war, the World Bank estimates the country’s reconstruction costs at around $216 billion, while gross national income per capita had fallen to just $830 in 2024.
Arada’s ambitions also extend beyond Damascus. The developer and the Syrian Sovereign Fund are already working to identify other potential sites across the country. A joint venture between KBW Investments and Sharjah-based Basma Group, Arada now has a global development portfolio worth $42 billion, comprising more than 66,000 homes across the UAE, the UK, Australia and Syria.
Arada’s entry into Syria also highlights the growing interest of Emirati capital in the country’s reconstruction market. Mohamed Alabbar, founder of Emaar, is considering investments of up to $18 billion in Syria, including projects worth between $5 billion and $7 billion along the Syrian coast and up to $11 billion in and around Damascus.
Taken together, these announcements suggest that real estate could become one of the first major entry points for Gulf investors into Syria’s reconstruction, a vast market where housing, infrastructure and essential services still require extensive rebuilding.
Source: The National