Dubai’s commercial property sector recorded its strongest year on record in 2025, driven by high-value transactions, rising institutional interest and sustained demand for prime assets, according to data from CRC Property.
Total commercial sales value reached Dhs 136 billion last year, a 41% increase compared to 2024. Transaction volumes rose 14% to 13,377 deals, marking the highest annual level recorded in the emirate.
Strong year-end activity
Market momentum accelerated in the final quarter of 2025. Sales value in Q4 reached about Dhs 45 billion after a 48% rise quarter on quarter, while transaction volumes grew at a slower pace. The gap between value and volume reflected a shift toward larger, higher-priced deals.
Secondary market leads
Ready properties dominated commercial activity during the year. Secondary market transactions accounted for nearly three-quarters of all deals and an even larger share of total value. In total, secondary sales reached Dhs 126 billion, highlighting investor preference for income-generating assets.
Off-plan activity also increased. Off-plan deals made up 27% of total transactions, with sales value rising at a faster rate. This points to growing confidence in new commercial developments alongside the established resale market.
Focus on land
Commercial land emerged as a key area of interest in 2025. Offices, land and retail assets drove market growth, supported by strong occupier demand and limited availability of Grade A space. Well-located commercial plots are increasingly being viewed as long-term strategic investments.
Global asset managers including BlackRock, Brookfield, KKR, Apollo, Carlyle, Citadel and AXA Investment Managers expanded their presence in the market, underlining rising institutional confidence in Dubai’s commercial real estate sector.
“With Grade A supply constrained and occupier demand rising, competition for prime commercial land is intensifying,” said Behnam Bargh, Managing Director of CRC Property. “Institutional capital is positioning early, recognising that land-led strategies will underpin Dubai’s next phase of commercial development.”
Office sales growth
The office segment posted some of the strongest gains of the year. Transaction volumes increased by more than 50% compared to 2024, while total sales value more than doubled to Dhs 13 billion. Larger deal sizes and higher prices contributed to the rise.
Activity picked up further in the final quarter, supported by large strata sales and corporate acquisitions. Demand was driven by business expansion, new company formations and the growth of sectors such as finance, professional services, technology and trade.
Prices and leasing
Secondary office prices reached a record average of Dhs 1,759 per square foot in 2025, more than double post-pandemic lows. Limited supply and strong competition for prime offices continued to support values.
Buyer enquiries increased throughout the year and remained strong into Q4, pointing to steady demand. In the leasing market, flexible payment terms remained common, with four-cheque structures dominating transactions as tenants focused on cash flow management.
