Dubai Commercial Property Market Hits $8.27 Billion

Dubai’s commercial property sector recorded a strong performance in 2025, with total sales reaching approximately AED 30.38 billion ($8.27 billion). This marks a year-on-year increase of over 30 %, highlighting sustained investor confidence and a thriving business environment across the emirate.

Office Demand Fuels Growth

The growth was primarily driven by a sharp rise in demand for office space. High occupancy rates, the influx of international companies, and local firms expanding operations all contributed to the surge in transactions. Many businesses are seeking modern, flexible workspaces that align with post-pandemic hybrid work models, further boosting demand in premium areas.

Stabilizing Rental Market

While property sales have accelerated, rental rates are showing signs of stabilization. Increased office supply and competitive leasing options are giving tenants more negotiating power. This trend is especially visible in emerging business zones offering modern facilities at lower prices compared to central locations.

Key Investment Areas

Business Bay, Downtown Dubai, and Jumeirah Lake Towers continue to dominate investment and leasing activity due to their strategic locations and developed infrastructure. At the same time, districts such as Dubai Silicon Oasis and Al Qusais are attracting growing interest from SMEs and startups, offering more affordable yet well-connected office options.

Market Outlook

Experts forecast steady growth for Dubai’s commercial real estate market into 2026. The ongoing diversification of the economy, strong investor sentiment, and sustained demand for quality office space are expected to maintain upward momentum. For investors, this signals long-term opportunities, while tenants can expect greater flexibility and choice across different market segments.

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