Oman launches $249 million real estate fund to boost property development

Oman has launched the Oman Real Estate Development Fund, a new investment vehicle targeting at least $249.4 million for property development projects across the Sultanate.

The fund is a partnership between Oman National Investments Development Co. (TANMIA) and FIM Partners Muscat, the Oman-based subsidiary of investment management firm FIM Partners, which focuses on emerging and frontier markets.

The launch forms part of Oman’s broader efforts to diversify its economy under Oman Vision 2040, as increased infrastructure investment, tourism growth and regulatory reforms continue to drive demand for residential, commercial, hospitality and mixed-use developments.

According to the Oman News Agency (ONA), the fund will invest in commercially viable real estate projects across the country using financing instruments such as preferred equity and other structured investment solutions.

ONA said the initiative is intended to attract long-term institutional capital while providing developers with alternative financing options supported by governance standards, investment discipline and project oversight to help accelerate project delivery and generate sustainable value.

Khalid Awadh Al-Balushi, CEO of TANMIA, said the fund represents another step in the company’s strategy to develop institutional investment platforms for the local market.

He said the initiative aims to provide developers with innovative financing solutions while offering investors access to opportunities in Oman’s growing real estate sector.

Fares Bou-Atme, Head of Real Estate Investments at FIM Partners Muscat, said the Omani market presents strong investment opportunities that can benefit from structured financing, enabling developers to deliver projects that meet market demand while creating long-term value.

Oman’s property market has been supported by higher infrastructure spending, expanding tourism and logistics activity, and reforms aimed at attracting foreign investment.

Property transactions in the Sultanate increased 18.4% year-on-year to $1.76 billion during the first quarter of 2026, reflecting continued growth in investor activity.

The launch also expands FIM Partners Muscat’s presence in the local property market. The firm manages Oman REIT, the country’s first diversified real estate investment trust, which was listed on the Muscat Stock Exchange in 2021.