The present work describes the first attempt at cultivating corals in the northern Arabian Gulf where seawater temperature ranges from 13 to 33°C and salinity exceeds 40 psu, exceeding normal lethal limits for coral survival. Despite the environmental extremes, natural recruitment of corals occurred in Sabah Al-Ahmad Sea City water ways during 2009, this encouraged an attempt to create an in situ coral nursery and establish a coral garden. A mid-water suspended coral PVC nursery (3 m2) was installed at 3.5 m depth for rearing staghorn coral, Acropora downingi for transplantation into artificial lagoons in Sabah Al-Ahmad Sea City. Fragments of Acropora downingi colonies damaged by boat anchoring were collected (n = 240) from patch reefs at Min Al Zour and Qit At Binaya, Kuwait. Coral nubbins obtained from fragments were glued individually to discs made of powdered Electric Arc Furnace Slag (EAF Slag) and marine grade cement. Nubbins showed up to 56% survival and a mean skeletal extension of 10.6–13.4 mm (SD ± 0.8) in 10 months. The nursery served as an artificial reef ecosystem. Transplantation of 116 Acropora downingi colonies was carried out (in June 2014 and June 2015) and monitored colonies (n = 6) attained an average geometric mean diameter (GMD) of 73.6 mm (SD ± 2.91) in one year. The first batch of A. downingi transplants (June 2014) showed a survival rate of 43% but the second batch (June 2015) showed 89.5% survival. Temperature induced mortality, detachment rate reduced after using marine grade cement and additive mixture instead of epoxy.