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Dubai and Abu Dhabi rank 68th and 69th respectively among the least expensive cities globally for construction in 2026, according to a report by Arcadis, enhancing the appeal of real estate investment in the UAE. The report compares construction costs across 100 cities worldwide, based on a standardized study that includes labor and material costs, placing the Emirati city within the lower third of global costs. Despite geopolitical pressures and rising energy prices, the report forecasts that construction costs in Abu Dhabi will continue to inflate between 3.5% and 4.5% during this year.
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