Oman

Oman — The Emerging Luxury Real Estate Frontier

Oman is increasingly being recognized as a stable, lifestyle-rich alternative in the Gulf for luxury property investors. Under its Vision 2040 framework, the country is pushing reforms (foreign ownership, infrastructure, tourism, real property regulation) that are unlocking potential in the high-end residential sector. Muscat, as the capital and most developed city, features the strongest luxury inventory, combining coastal living, gated communities, branded residences, and mountainous vistas, with relatively lower supply vs regional hubs but growing demand, especially from Gulf buyers and diaspora.

Key Strengths & Highlights (Muscat region)

Tourism is a growing economic pillar: in 2024 Oman welcomed ~3.8 million visitors, ~68% overnight stays, up from previous years, pushing hotel revenues and demand for high-end hospitality.

The sector’s contribution to GDP reached RO 2.7 billion in 2024, rising from RO 2.3 billion in 2018; non-oil sectors including tourism, infrastructure, and luxury hospitality are leading diversification efforts.

Forecasted economic growth: ~2.2% real GDP growth expected in 2025, boosted by recovery in oil activities and robust non-oil expansion.

Investor interest is rising in premium hospitality developments, luxury resorts, and high-quality infrastructure in coastal and mountainous retreats as demand strengthens. (While specific prime residential growth rates are less publicly published, Muscat is seeing increasing quality in luxury segments.)

Vision 2040 reforms: Improving property ownership rules, master planning, infrastructure investment, tourism expansion.