Dubai’s commercial real estate market is experiencing significant growth with office rents increasing as high as 44% in some areas, according to Savills Q3 2024 report. Driven by strong demand from new businesses, over 24,000 registered in the first half of 2024 and expanding firms, particularly in finance and tech, Dubai is solidifying its status as a global business hub.

Prime areas like DIFC, Downtown and Business Bay now have occupancy rates between 95% and 97%, reflecting high demand for Grade A office spaces. Overall, Grade A rents have risen by 25% with Business Bay and Downtown seeing increases of 44% and 36% respectively.

The DIFC continues to lead with rental growth of up to 25%. New developments including DIFC Square and Immersive Tower are set to add over 10 million sq. ft. of office space by 2028. The report also highlights a surge in demand for flexible workspaces with businesses seeking open-plan offices and co-working solutions to accommodate hybrid work models. Areas like Expo City are becoming more attractive due to competitive pricing and excellent transport links.

As more companies move to Dubai to benefit from its strategic location, tax advantages and robust infrastructure, the commercial office market is expected to remain strong throughout 2024.