OMAN: ENDLESS HORIZONS

Welcome to the Ministry of Housing & Urban Planning page! Dive into a world where tradition meets innovation, and discover the vast array of projects Oman has to offer. From groundbreaking real estate developments to sustainable ventures, we're showcasing Oman's commitment to growth and prosperity. Explore our projects and learn how Oman is shaping the future of investment and development. Join us on this journey to unlock opportunities in one of the most dynamic markets in the Middle East.

https://oman.housing.gov.om/ 

National Vision Oman 2040: 

Urban Planning and Development

The Sultanate of Oman is embarking on a transformative journey through its National Vision 2040, where urban planning is a cornerstone for achieving sustainable growth and development. The Ministry of Housing and Urban Planning is leading this ambitious agenda, focusing on the creation of integrated, smart, and sustainable cities that leverage advanced technologies to promote economic growth, social welfare, and environmental preservation.

Strategic Goals for Sustainable Cities in Oman

1. Balanced Development: Strengthen urban centers by enhancing their competitiveness and ensuring equitable development across all governorates.
2. Empowered Communities: Facilitate communities in shaping their socio-economic priorities within a framework that encourages decentralization.
3. Resilient Systems: Incorporate climate-resilient designs, preserving Oman's natural and cultural heritage, while providing essential services efficiently.
4. Smart Cities: Develop urban areas that offer a high quality of life through efficient use of resources and cutting-edge technologies.

Urban Strategy

The strategy underpins investment and development, balancing economic growth with resource conservation. This strategic framework promotes integrative planning that aligns with Oman Vision 2040, ensuring that investments are directed towards sustainable and harmonious development.

The Gateway to Global Connections 

Oman is strategically located within a three-hour flight of 30% of the world’s population, making it a prime gateway to global markets and opportunities and offers access to a thriving market of 65 million consumers, positioning it as a hub for regional growth and opportunity 

26 September 2025

Standard & Poor’s

Affirms Oman’s Credit Ratings at “BBB-” with a Stable Outlook

as a result of:

01 Ongoing fiscal consolidations.

02 Continued government’s efforts to achieve economic diversification

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S&P’s Expectations:

Increase in the average oil price

• US$ 60 per barrel – Second Half of 2025

• US$ 65 per barrel – 2026–2028

GDP growth at constant prices

• 1.7% – 2024

• More than 2% – 2025–2028

Decline in public debt from

• 36% – 2024

• 33% – 2028

⸻

• Non-oil sector growth will remain steady at about 2.9% per year, supported by investment efforts in manufacturing and tourism.

• Net government assets are projected to remain stable at approximately 8% of GDP throughout the period 2025–2028.

• Inflation is expected to remain low and stable, averaging 1.5% annually over the period 2025–2028.

• The fiscal and economic reform momentum to continue over 2025–2028

• Oman’s current GDP is in the range of tens of billions USD, and medium-term growth projections suggest modest annual growth (2-4 %) in coming years.

⸻

Standard & Poor’s pointed out that a future upgrade in Oman’s credit ratings remains possible, contingent on the government’s sustained efforts to enhance economic sustainability, strengthen public finances, and deepen local capital markets.

Why Invest in Oman?

https://investoman.om/ 

• Legislative Stability: A reliable legal framework protects investments, supporting both local and foreign stakeholders.
• Infrastructure Development: Oman offers advanced infrastructure, including transportation networks critical for facilitating business and tourism.
• Real Estate Growth: A remarkable increase in real estate transactions embodies the sector's solid growth and its strategic role in the economy.

Exclusive Incentives for Real Estate Developers & Investors: 

• Full Foreign Ownership: Enjoy up to 100% foreign ownership rights. 
• Tax Incentives: Benefit from tax exemptions for up to 30 years. 
• Cost-Effective Land & Services: Access competitive pricing for land and essential services. 
• Corporate Tax Relief: Receive corporate tax exemptions ranging from 10 to 30 years. 
• Investor Residency: Secure residency for up to 10 years. 
• Long-Term Stability: Take advantage of extended land lease contracts. 

Ownership for Non-Omani in Futuristic Cities: 

As part of Oman’s vision for sustainable urban development, the Ministry of Housing and Urban Planning is offering non-Omanis the opportunity to obtain renewable 2-year residency permits through investment in the futuristic city developments.

 Residency is available to buyers who invest in property and pay at least 30% of its value, with the following benefits:

• Property value OMR 50,000 or less → Residency for the buyer.
• Property value above OMR 50,000 → Residency for the buyer and first-degree family members (spouse and children).

This initiative reflects Oman’s commitment to attract investors, create vibrant communities, and provide opportunities for international buyers to call Oman home.

Future Cities 

Sultan Haitham City

• Introduction:
  Sultan Haitham City is envisioned as a modern urban development that emphasizes sustainable living, community connectivity, and innovative urban design. This project represents a new paradigm for urban growth in Oman, focusing on walkability and the integration of green spaces.

-Sultan Haitham City – Key Facts

• Awarded Contracts: Over 200 million OMR worth of contracts have been awarded.
• Total Investment Value: Development investments surpass 2 billion OMR.

-City Specifications:

• Population Capacity: Planned to accommodate around 100,000 residents.
• Housing: More than 20,000 residential units across diverse typologies.
• Green Spaces: Over 1.6 million m² of green areas, including Central Park and multiple urban parks.
• Construction Progress:
  • Enabling work started at 112024.
  • Initial preparation and levelling are 100% complete.
  • Five bridges are under construction, enhancing connectivity.
  • Preparation works for residential neighbourhoods and the extension of the Eastern Boulevard
  • Design and construction of the Experience Center and Central Control
  • Construction of main roads, culverts, and stormwater drainage channels
  • Construction of infrastructure utility networks
  • Construction of 3 primary substations (33/11 kV)
  • Construction of the main sewage line for Phase 1
  • Four residential neighbourhoods are currently under construction, with some housing units already fully completed and ready.
• Videos:  

https://youtu.be/-sE3PVPijHg?si=a5fqLvtuE9ccQzIz 

A’Thuraya City

A’Thuraya City – A New Urban Landmark in Muscat

• Vision and Development

A’Thuraya City is launched with a global urban vision and ambitious investment outlook, embodying sustainability, modern living, and integrated urbanism in Wilayat Bousher. The city will be developed in three phases.

• Phase One spans over 3 million sqm, with a built-up area exceeding 831,000 sqm, designed to host more than 8,000 residents across 2,600 residential units within 8 fully integrated neighborhoods.
• The urban fabric prioritizes quality of life, diverse housing typologies, and mixed-use functionality.
• Integrated Facilities
• Phase One incorporates a comprehensive range of facilities:
• 87 retail and F&B outlets (shops, restaurants, and cafés).
• An international hotel with approximately 400 rooms.
• One school, multiple mosques, and two healthcare clinics.
• An entertainment center spanning 11,100 sqm.
• Four community centers covering 1,800 sqm.
• Sports facilities across 14,400 sqm.
• 12 landscaped parks with a total area of 66,500 sqm.
• Together, these elements form the foundation of a sustainable, high-quality urban lifestyle, positioning A’Thuraya City as a modern, forward-looking destination for residents and visitors alike.
• Future Phases
• Phase Two will extend over 3.6 million sqm with a built-up area of 940,000 sqm, featuring 3 integrated neighborhoods with 3,600 residential units.
• Phase Three will be launched through an international design competition, with development areas studied in line with the city’s urban vision.
• Strategic Location

A’Thuraya City enjoys a prime elevated location in the heart of Muscat, with panoramic open views. It lies adjacent to Muscat Expressway and less than 10 minutes from Muscat International Airport, ensuring seamless access to the city’s main economic and cultural hubs. This strategic positioning reinforces A’Thuraya’s role as a new center for settlement and investment.

• Investment Confidence

On the sidelines of the Oman Real Estate Conference & Exhibition, a major partnership agreement was signed, valued at over 240 million OMR, to develop Neighborhood 6 within Phase One. The project, led by Tathmeer Real Estate, covers 285,000 sqm and will deliver 1,000 residential units, underscoring investor confidence in the city’s long-term potential.

• Video:  

https://youtu.be/XzlQLuwKEHU?si=UqK3glcpqSyKVuFV 

Al Khuwair Downtown (AKDT)

• Introduction:

Al Khuwair Downtown (AKDT) is a landmark high-rise development in Muscat. It features the city’s first high-rise buildings and a waterfront marina, integrating luxury residential towers, commercial spaces, hospitality zones, and government office buildings. This project responds to the growing demand for premium, vertical living and business spaces in Oman.

• Location:

• Situated in Al Khuwair, Muscat, Oman.

• Directly connected to Sultan Qaboos Street, the city’s primary business corridor.

• Includes a canal and waterfront marina.

• Nearby Landmarks:

• Ministries District (less than 1km from government buildings and embassies).

• Oman Convention & Exhibition Centre (20-minute drive).

• Transport Accessibility:

• Road Access: Connected to Sultan Qaboos Street with proposed tram and metro stations.

• Distances:

• Muscat International Airport – 15-minute drive.

• Key Information:

• Total Area: 3.1 million sqm.

• Residential Space: 1.08 million sqm.

• Office Space: 323,100 sqm.

• Retail: 195,700 sqm.

• Hospitality: 214,000 sqm.

• Healthcare: 157,000 sqm.

• Community Spaces: 83,500 sqm.

• Investment Opportunities:

• Luxury Residential Units

• Retail & Commercial Spaces

• Hospitality Sector

• Education & Healthcare

• Sustainable Infrastructure

• Phases Timeline:

• Phase 1: 48 months

• Phase 2: 60 months

• Phase 3: 48 months

Al Jabal Alaali

• Introduction:
• Perched at the top, striking a balance between the rugged landscape of the majestic Hajar Mountains and modern living, Al Jabal Al Aali Development offers a World-class Destination to Omani and Global communities all around the year aiming for the development of a class leading tourism, entertainment and leisure destination that sensitively balances the requirement for growth and development with the need to protect, preserve and enhance the natural environment. 
• AL Jabal Al Aali (AJAA) is a mixed-use development in Jabal Akhdar. It blends luxury living, high-end hospitality, adventure tourism, and sustainable infrastructure at an altitude of 2,400 meters. This project is aligned with Oman Vision 2040, offering a unique eco-tourism and residential destination.
• Location:

Located in Jabal Akhdar, 171km west of Muscat.

• Average altitude of 2,400 meters above sea level. – This is information is written already in the introduction

• Site area of 11.8 sqkm with  cliff edge length of 5.3 km
•  Features:

• Climate Advantage: Cooler temperatures compared to other GCC regions. – as it has an average yearly temperature of 22 degrees celsius

• Tourism Potential: Ideal for luxury retreats, adventure sports, and eco-tourism.

• Statistics:

• Residential Population: 10,000+

• Residential Units: 2,517+

• Daily Visitors: 2,000

• Event Visitors: 12,000 – 30,000

• Investment Opportunities:

• High-altitude training centers.

• Hospitality and wellness retreats.

• Adventure tourism facilities.

• Video:  

https://youtu.be/IhGDPnVXb0w?si=XhGeGdSHO45pJWiA 

Salalah New City

• Introduction:

Salalah New City is a transformative mixed-use waterfront development designed to enhance Salalah’s tourism and residential appeal. Strategically located near key transport links, the project includes over 13,300 residential units, a marina, and experiential retail spaces.

• Location:

• Situated 1,000 km south of Muscat.

• Positioned near Khor Al Dhareez and south to Razat Royal Farm 

• Information:

• Residential Units: 13,300+

• Hotel Keys: 1,200

• Open Space: 4 million sqm

• Retail Space: 200,000 sqm

• Residential Population: 65,000+

• Investment Opportunities:

• Waterfront residential and commercial properties.

• Hospitality real estate components.

• Videos & Photos:  

https://drive.google.com/file/d/1Ab3aqMRkcH4FVMqAbzuuoo6W57VqXX-f/view?usp=drive_link 

https://drive.google.com/drive/folders/1lAEkI-XIuS2eMlXvJqDQh3TvoRr5hu7h?usp=sharing 

Investment Climate and Projections

• Real Estate Transactions (Q3 2024): Total value of real estate transactions reached 3.1 billion OMR, a 29% increase from the previous year.
• Commercial Growth: The total value of sales contracts rose from 972 million OMR to 1 billion OMR, reflecting robust market activity.
• Mortgage Market: Notable increase in mortgage contracts, with total mortgage value surging to 2.116 billion OMR, a 45% increase from the previous year.

Expected Economic Impact

The completion of these urban development projects is projected to significantly boost Oman’s economy, with job creation estimated to reach tens of thousands over the next decade. The combined projects will enhance the real estate market, improve living standards, and attract global investors eager to participate in Oman’s growth story. Moreover, smart city initiatives will drive investment in ICT, AI, IoT, and green technologies, while also fostering knowledge transfer and innovation within the local economy.

In summary, Oman’s commitment to implementing these comprehensive urban development projects under National Vision 2040 will not only reshape its urban landscape but also drive sustainable economic growth. Through the multiplier effect, spending on construction and infrastructure will stimulate additional demand in related sectors. Simultaneously, these initiatives will enhance quality of life for residents and position the Sultanate as a leading destination for business and tourism in the region.

Oman Real Estate Market Performance 2024 and Future

Oman’s economy showed steady growth in 2024, with GDP rising by 1.0%, from OMR 40.7 billion in 2023 to OMR 41.1 billion. Non-oil sectors grew by 4.1%, reflecting significant progress in the country’s diversification efforts. Looking ahead, GDP is projected to reach OMR 42.6 billion in 2025, with a long-term target of OMR 80.2 billion by 2040, representing a compound annual growth rate (CAGR) of 4.3%. The Sultanate also aims for non-oil sectors to account for 90% of the economy by 2040, marking a shift toward a more sustainable and diversified economic model. 

During the same period, Oman’s population grew by 2.0%, reaching 5.3 million, with steady growth expected in the coming years. This demographic increase, alongside Government efforts to attract international talent, will support a growing workforce projected to reach 3.5 million by 2040. As the economy evolves toward a service-oriented structure, sectors such as retail and hospitality are expected to drive future employment growth. In terms of sector composition, expatriates continue to dominate the private sector workforce, while Omanis predominantly fill public sector roles.

 In the residential market, supply grew by 3.6% in 2024, with 38,400 new units added. While this influx may exert downward pressure on rents for older properties, demand remains strong in prime areas. Occupancy rates across the Sultanate stayed stable at 85.2%, with villas and Arabic houses seeing higher occupancy. Given the projected housing demand gap by 2035, proactive planning will be essential to avoid any potential supply shortfall. 

Following the expansion in the residential market, the tourism sector also saw growth in 2024. Oman’s 3- to 5-star hotels saw a 3.6% increase in guest arrivals, resulting in a 6.1% rise in revenue. Hotel occupancy rates climbed to 53.5%, reflecting a 2.4% improvement from the previous year, driven largely by stronger performance in the Upper Midscale and Midscale segments. However, average daily rates remained stable at OMR 53.4, signalling a steady recovery in demand without significant upward pressure on pricing. 

As Oman progresses with its Vision 2040, Government initiatives will remain a key driver in attracting investment to vital sectors like real estate and tourism, fostering economic diversification and development. Both sectors are expected to experience stable growth in 2025, supported by strong fundamentals such as population growth, Government support, and investor confidence, ensuring a positive and stable outlook.