Published: 2026-08-18
Dubai’s commercial real estate market recorded AED 65.23 billion in transactions in the first half of 2026, up 8.5% from AED 60.14 billion a year earlier, across 6,487 deals (up 12.7% from 5,754). The standout is the office segment: transaction value nearly tripled year on year, from AED 5.28 billion to AED 15.81 billion, while the average office price jumped 85% to AED 3,202 per sq ft. The figures come from an Anarock Middle East analysis published on 2026-08-18. For companies planning an entry into the UAE, the message is direct: businesses are buying offices and shops in Dubai at record pace, and the cost of securing prime commercial space is rising fast.
The H1 2026 numbers at a glance
Anarock Middle East’s half-year data covers the emirate’s commercial segments: offices, retail units and commercial land. The headline figures for January to June 2026, with year-on-year comparisons:
| Segment | H1 2026 value | Change vs H1 2025 | Deals | Deals change |
|---|---|---|---|---|
| Offices | AED 15.81 billion | +199.3% (from AED 5.28 billion) | 2,571 | +38.2% |
| Retail units | AED 3.71 billion | +174.3% | 853 | +56.2% |
| Commercial land | AED 33.19 billion | -9.3% | 941 | -29.3% |
| All commercial | AED 65.23 billion | +8.5% (from AED 60.14 billion) | 6,487 | +12.7% |
The structure of the growth matters as much as the totals. Land transactions, historically the heavyweight of the commercial market, actually declined in both value and volume. The entire expansion came from built, income-generating assets: offices and shops. That is the profile of a market driven by companies that need space to operate, not only by developers banking plots.
Offices: value tripled, prices up 85%
The office segment posted the most dramatic numbers. Transaction value rose 199.3% year on year to AED 15.81 billion, deal count climbed from 1,860 to 2,571, and the average price reached AED 3,202 per sq ft, an 85% annual increase. Growth in value far outpacing growth in volume means one thing: buyers are paying substantially more per square foot, and they keep buying anyway.
Anuj Kejriwal, CEO Retail EMEA at Anarock Group, attributes this to intensifying demand for Grade A office space amid constrained supply: buyers remain prepared to pay a premium for prime, income-generating assets. Dubai’s stock of top-grade offices in established business districts and free zones is limited, new supply takes years to deliver, and the inflow of companies has not slowed. The result mirrors what free zone operators report on the leasing side, where Dubai’s free zones reached 96% occupancy in H1 2026, leaving little slack anywhere in the system.
Retail: the quiet outperformer
Retail units grew even faster in relative terms. Transaction value jumped 174.3% to AED 3.71 billion across 853 deals, up 56.2% year on year, with the average price up 54% to AED 3,486 per sq ft, higher per square foot than offices. The drivers are Dubai’s population growth, record tourism and the expansion of food, beverage and service brands across new residential communities. Investors read shop units as direct exposure to consumer spending in a city whose resident base keeps setting records.
Land: the one segment cooling
Commercial land was the exception: 941 transactions worth AED 33.19 billion, down 29.3% in volume and 9.3% in value. Land remains the largest single segment by value, but the pullback suggests developers and investors have become more selective about plots after two years of aggressive land banking. Capital is rotating from speculative positions into finished assets that produce rent from day one, which is consistent with the premium buyers are paying for completed offices and shops.
What this means for businesses entering the UAE
For a company planning to set up or expand in Dubai, the H1 2026 data carries several practical implications:
- Office costs are rising fast. An 85% annual increase in average purchase prices feeds through to rents and fit-out budgets. If your licence requires a physical office, budget realistically and secure space early rather than at the last step.
- Buying can compete with renting. With prices climbing, companies with a long horizon increasingly weigh purchasing their own office as an inflation hedge and a balance sheet asset rather than paying escalating rents.
- Free zone versus mainland choices now include a real estate dimension. Availability of compliant office space differs sharply between jurisdictions, and in some free zones desks and offices are effectively waitlisted.
- Retail units are an investment class in their own right. A 174.3% jump in transaction value signals that shop units in growing communities are being repriced as core income assets.
- Timing matters. Every quarter of delay in a rising market translates into higher entry costs for space, whether leased or purchased.
How Atlant Capital can help
Atlant Capital sets up companies in the UAE and builds the operational base around them, including the real estate component of licensing. We advise on the jurisdiction where your business gets the space it needs on workable terms, handle company registration in the UAE from activity selection to licence issue, arrange corporate bank account opening, and align the licence type with your office requirements, from flexi-desk packages to full commercial premises, so that rising market prices do not derail your setup budget or timeline.
Conclusion
Dubai’s commercial property market closed H1 2026 at AED 65.23 billion across 6,487 transactions, 8.5% above last year, with offices nearly tripling to AED 15.81 billion and retail value up 174.3%. The growth is concentrated in finished, income-producing space, and prices per square foot are rising at double-digit to triple-digit annual rates. For businesses, the data confirms that demand for a physical footprint in Dubai is strong and getting more expensive, which makes early, well-planned decisions on offices and premises part of any serious UAE market entry strategy.
FAQ
How big was Dubai’s commercial real estate market in H1 2026?
According to Anarock Middle East, Dubai recorded AED 65.23 billion in commercial real estate transactions in the first half of 2026, up 8.5% from AED 60.14 billion in H1 2025. The number of deals rose 12.7% year on year, from 5,754 to 6,487 transactions.
Why did Dubai office transactions nearly triple in H1 2026?
Office transaction value rose 199.3%, from AED 5.28 billion to AED 15.81 billion, driven by intensifying demand for Grade A space amid constrained supply. Companies keep relocating to Dubai while top-grade offices in established districts and free zones remain scarce, so buyers pay a premium for prime, income-generating assets.
How much do offices in Dubai cost in 2026?
The average transaction price for Dubai offices reached AED 3,202 per sq ft in H1 2026, an 85% increase year on year. Retail units averaged even higher at AED 3,486 per sq ft, up 54%. Prices vary widely by district, building grade and jurisdiction.
Which commercial segment declined in Dubai in H1 2026?
Commercial land was the only major segment to cool: 941 transactions worth AED 33.19 billion, down 29.3% in deal count and 9.3% in value year on year. Capital rotated from land plots into completed, income-producing offices and retail units.
