Dubai’s office market is seeing an unprecedented level of activity, with record-breaking demand driving occupancy and rental rates across top business districts. Key insights below:

• Surging Demand in Prime Areas: Occupancy rates in DIFC, Downtown, and Business Bay have hit 95-97%, with rental growth up to 44%.
• Business Growth on the Rise: Over 24,000 new businesses registered in H1 2024-a 5% increase fueled by Dubai’s strategic economic initiatives.
• Rising Rental Values: Grade A rents rose 25% year-on-year, with standout increases in Business Bay (44%) and Downtown (36%).
• Upcoming supply still some time away: Major developments like DIFC Square and Immersive Tower will bring over 10 million sq ft of new office space by 2028, with 85% of this concentrated in free zones.
• BFSI is a strong demand generator: We have observed a substantial uptick in space uptake during Q3 2024, particularly from sectors such as banking and financial services including hedge funds, wealth management and insurance.
• Affordable Alternatives Gaining Ground: Areas like Dubai Science Park and Expo City offer strong rental growth and cost-effective options outside central districts.

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