Ras Al Khaimah: The Lowdown on the Emerging Emirate

Dubai, long the darling of the United Arab Emirates for its resorts, superlative shopping, and glamorous restaurants, may need to keep a sharp eye on the upstart that’s snapping at its heels. While the UAE’s northernmost emirate of Ras Al Khaimah may not yet be as famous as its neighbor to the south, great opportunities exist here.

RAK, as it’s commonly known, has had a reputation for being a sleepy place, a weekend destination for UAE residents looking for a slower pace of life and less elevated accommodation. But Ras Al Khaimah is waking from its slumber, and it has ambitious plans.

International visitors are starting to get wise to the emirate’s charms, too. The first half of 2023 saw an impressive 14.8 percent jump in arrivals, with new daily flights direct from Doha on Qatar Airways. Additional routes are slated to launch in 2024.

Big brand luxury hoteliers are rushing to make their mark on RAK’s coastline. The emirate is already home to luxury resorts by Ritz-Carlton, Waldorf Astoria, and InterContinental, and a new Anantara is bringing Maldives-style overwater villas to the neighborhood. According to Raki Phillips, CEO of the Ras Al Khaimah Tourism Development Authority (RAKTDA), more than 20 new hotel projects are in the pipeline, bringing an additional 7,183 keys to the emirate by 2027—an 80 percent growth.

But goals in Ras Al Khaimah go much further than opening hotels, and Phillips is keen to ensure that development doesn’t come at the cost of the natural environment. It’s about expanding responsibly, he says. “As the licensing authority for all new hotel developments, RAKTDA is also able to set guidelines and protocols to regulate sustainability standards and work closely with hotels to ensure sustainable practices.”

Related: View Penthouses with Waterfront Views, Including One in Dubai

The emirate is also keen to go beyond tourism. While the trickle-down effect of increased leisure options, restaurants, and retail resulting from the new hotels will likely have a positive impact on residents’ quality of life, the additional development of infrastructure, along with improved health and transport facilities, make the emirate a serious contender for those looking for a long-term home.

RAK is also positioning itself as an attractive option for entrepreneurs. The emirate’s strategic location for local and global trade, within a four-hour flight of 31 percent of the world’s population, plus its facility to allow 100 percent foreign ownership of companies, low corporate tax, and low operating costs, make it an excellent place for those looking to set up businesses.

A Great Investment

“One of the many reasons international companies choose Ras Al Khaimah is because it has a strong, resilient, and diversified economy, and a long-term growth environment offering attractive returns,” says Phillips.

For global investors looking for a beachfront property in the UAE, RAK is a great alternative to the pricier markets of Dubai and Abu Dhabi.

Jackie Johns, Managing Partner of Christie’s International Real Estate Dubai, sees RAK as a solid future investment opportunity. “International hotel brands setting up shop in Ras Al Khaimah have seen a sharp increase in tourism, and this is being matched by luxury residences that are already reaping rewards for their owners,” she says. Average prices per square foot rose by as much as 7.49 percent in 2023, with maximum rental ROIs reaching 11.61 percent. The current real estate demand in Dubai is not being matched by supply, which is likely to lead to additional spillover into RAK.

Superior Lifestyle

While Ras Al Khaimah is primarily an investment market at present, it’s also becoming a great place to live. Compared with Dubai and Abu Dhabi, RAK still has space and supply. While beachfront properties are likely to remain popular, the rocky Hajar Mountains provide a rugged backdrop for relaxed living, and new villa developments are coming to island locations. Prices are considerably more attractive in Ras Al Khaimah, too.

“As an example, our exclusive inventory in RAK includes MASA Residence, 396 ultra-luxury residences with branded interiors and uninterrupted sea views on Al Marjan Island,” says Johns. Prices per square foot start at around AED 1,900 ($517). “Trying to obtain the same level of branded interiors, sea views, and island luxury is impossible in the pricier Dubai market.”

Trying to obtain the same level of branded interiors, sea views, and island luxury is impossible in the pricier Dubai market—Jackie Johns

Outdoorsy types can head to Jebel Jais, the UAE’s highest mountain, to hike the trails; sip coffee on the deck at 1484 by Puro, the country’s highest restaurant; or scream their way down the Jais Flight, the world’s longest zipline. Over in the desert, the Al Wadi Nature Reserve offers camel trekking, horseback riding, and falconry, along with Arabian-inspired spa treatments at the Ritz-Carlton Ras Al Khaimah, Al Wadi Desert resort; dinners among the dunes at Sonara Camp; and hot-air balloon experiences with ActionFlight.

Ras Al Khaimah is also a place that holds its history and heritage close. Pearls played a major role in the fortunes of RAK for centuries, and the emirate is home to the region’s first pearl farm, established by Abdulla Al Suwaidi, the grandson of one of the Gulf’s last generation of pearl divers.

It was built on Al Suwaidi’s desire to ensure this part of RAK’s heritage wasn’t lost, but it also plays a contemporary role. Of the 32,000 pearls grown here each year, only 60 percent are of a quality suitable for jewelry. However, says Al Suwaidi, “the lower-grade pearls hold immense value in the fields of medicine, cosmetics, and pharmaceuticals. This aligns with our vision that every pearl harvested serves a purpose.”

It’s a suitably forward-thinking approach born out of an emirate that may, at times, be perceived as secondary to Dubai and Abu Dhabi, but that is carving out its own niche. While Ras Al Khaimah may be an off-the-radar destination for now, it’s unlikely to remain so for much longer.

Inspired by Ras Al Khaimah? Find the ideal home in the emirate, and read more from the Spring/Summer 2024 issue of Christie’s International Real Estate magazine here.

Banner image: Aldo Pavan / Getty Images