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Oman Is Creating the Cities of the Future Today

Oman is building future-ready cities in line with its Vision 2040 goals to modernize infrastructure and enhance quality of life.

BY Realty+
Published - Friday, 30 May, 2025
Oman Is Creating the Cities of the Future Today

Oman’s most ambitious smart city project, Sultan Haitham City, is already reshaping the urban landscape. Located in Seeb, this 14.8 million-square-meter development is designed to house more than 100,000 people across 19 neighborhoods. Sustainability is built into the city’s design, with 2.9 million square meters of green space, a net-zero emissions goal, and infrastructure that prioritizes walkability, digital connectivity, and electric mobility. The city, masterplanned by global firm SOM, serves as a national model for climate-conscious and livable urban design.

Supporting this effort is Muscat’s Al Khuwair Downtown Redevelopment Project, a $1.3 billion investment transforming a key part of the capital into a mixed-use urban hub. The 3.6 million-square-meter project, developed with design input from Zaha Hadid Architects, blends residential, commercial, hospitality, and recreational zones to revitalize the city center. It is intended to encourage tourism, stimulate investment, and support job creation in emerging sectors.

Also underway is A’Thuraya City, another key development in Muscat designed to accommodate around 9,200 residents. The city will include nearly 2,600 housing units and over 2,500 hospitality accommodations, combining high-quality living with green infrastructure. All three projects reflect the government’s shift toward long-term urban planning that meets both environmental and demographic needs.

The scale of Oman’s smart cities demands significant upgrades to national infrastructure, especially energy. According to the Oman Electricity Transmission Company (OETC), electricity demand for new smart cities like Sultan Haitham City is expected to reach 105 megawatts by 2040. In response, OETC is revising its master energy plan to integrate renewable sources and ensure sustainable supply.

These developments are not just about urban aesthetics or environmental goals—they’re also tied to Oman’s economic diversification strategy. Vision 2040 emphasizes reducing dependence on oil by investing in logistics, tourism, clean energy, and technology. Foreign direct investment (FDI) into Oman reached $69.3 billion by Q3 of 2024, up 17.6% over five years, partly driven by reforms like the Foreign Capital Investment Law, which allows 100% foreign ownership in many sectors.

The cities of the future are not a distant dream for Oman—they’re being built now, brick by brick, policy by policy. With targeted investments, progressive urban planning, and a growing commitment to sustainability, Oman is crafting a model of development that balances ambition with realism.

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