Nisus Finance Bets Big on Dubai Residential Market with ₹536 Crore Motor City Acquisition

Nisus Finance Services Company Limited (NiFCO) has made its largest property investment in the United Arab Emirates to date, committing more than ₹536 crore ($59.8 million) toward the acquisition and renovation of a ready residential property in Dubai’s Motor City.

The transaction was executed through the Nisus High Yield Growth Fund, a Dubai International Financial Centre (DIFC)-based real estate fund with a feeder structure located in India’s GIFT City. The deal marks a significant expansion of Nisus Finance’s international real estate portfolio and underscores the growing interest of Indian financial firms in Middle Eastern property markets. The acquisition also doubles the combined value of the company’s existing UAE real estate assets.

Details of the Acquired Asset

The acquired property, Lootah Avenue, is a freehold residential development completed in 2021 and located within the established Motor City residential micro-market. The project comprises 273 residential units, including studios and one- and two-bedroom apartments. In addition to residential offerings, the development includes a medical centre and eight retail outlets.

The building consists of two basement levels, a ground floor, 23 residential floors, and a rooftop, with a total net saleable area exceeding 24,000 square metres. Its scale and completed status position the asset as a stable, income-generating property within a mature residential neighbourhood. Such completed assets are increasingly favoured by institutional investors seeking predictable cash flows and reduced construction risk.

Focus on Income-Generating Assets

“This transaction represents our most significant exposure in the UAE and reflects growing institutional confidence in Dubai’s residential market,” said Amit Goenka, Chairman and Managing Director of Nisus Finance Group. He added that the company remains focused on completed properties located in established communities with sustained rental demand.

Nisus Finance has consistently prioritised ready residential projects, citing demand for completed units in Dubai that continues to outpace supply. The firm maintains that this imbalance supports both stable rental yields and long-term capital appreciation, particularly in areas with strong infrastructure and connectivity.

Funding Structure and Investor Participation

The acquisition is supported by senior financing from Emirates NBD, one of the UAE’s largest banks, signalling institutional confidence in both the asset and the sponsor. The transaction has also attracted participation from global institutional and private funds, aligning with Nisus Finance’s strategy of pooling international capital to pursue real estate opportunities.

The DIFC–GIFT City feeder structure is a key element of the transaction, enabling Indian investors to access offshore real estate investments within a regulated framework. This structure has gained prominence as Indian high-net-worth individuals and institutions increasingly seek geographic diversification beyond domestic markets.

Dubai Property Market Remains Strong

The investment comes amid continued strength in Dubai’s real estate sector. Property transactions in the emirate during the first 11 months of 2025 reached an estimated ₹15 lakh crore ($170 billion), driven primarily by residential sales. This growth has persisted despite higher global interest rates and challenging macroeconomic conditions.

Motor City has emerged as a particularly strong performer. Average residential prices in the area have risen by 65% year-on-year, outperforming the broader Dubai market. The increase has been attributed to limited supply, family-oriented housing stock, proximity to key business districts, and relative affordability compared with other prime locations.

Conclusion

Nisus Finance’s ₹536 crore acquisition in Dubai’s Motor City reflects rising confidence in the emirate’s residential property sector. By focusing on completed, cash-flow-positive assets, the firm is positioning itself to benefit from both stable income and long-term value appreciation. The growing flow of institutional capital into Dubai’s residential market underscores its role as a key destination for cross-border real estate investment in the region.