Dubai office sales double to Dh13.1 billion in strongest year since 2014

Dubai Office Sales Jump 102% in 2025 as Off-Plan Deals Surge

Dubai’s office market recorded its strongest performance in more than a decade in 2025, with total sales values more than doubling to Dh13.1 billion amid sustained investor appetite and limited availability of premium office space.

According to the latest report by Cavendish Maxwell, transaction volumes rose 53% year-on-year to approximately 4,600 deals, highlighting continued demand from expanding businesses and global investors positioning themselves within Dubai’s growing commercial landscape.

The exceptional performance reflects strong economic fundamentals, corporate expansion, and constrained supply of Grade A office stock across the emirate. Industry analysts noted that rising capital values and rental growth were underpinned by persistent shortages of high-quality office space.

A major highlight of 2025 was the dramatic rise in off-plan office transactions. Sales in the segment increased nearly sevenfold compared to the previous year, accounting for around 35% of total transactions, up from just 10% in 2024. Total off-plan sales value climbed to Dh4.6 billion, compared to Dh700 million the year before, as investors sought future supply amid limited ready inventory. Competitive pricing and flexible payment structures further supported this shift.

Despite rising demand, new supply remained modest. Only about 87,000 square metres of new office space was delivered during the year — less than half of the originally projected pipeline. As a result, Dubai’s total office stock reached approximately 9.4 million square metres, with supply expected to remain tight even as additional projects are planned for 2026.

Key commercial hubs continued to drive activity. Business Bay and Jumeirah Lakes Towers accounted for more than 70% of ready office transactions, while Motor City led off-plan activity. Prime districts including DIFC and Downtown Dubai recorded the steepest rental increases due to strong corporate demand and limited availability.

Source: Gulf News