Dubai commercial real estate market demonstrated notable resilience in the first half of 2026, with the combined value of commercial real estate transactions reaching AED 65.23 billion, an 8.5% year-on-year increase.
Transaction volumes also rose nearly 13% to 6,487 deals during H1 2026.
An analysis of transaction data by ANAROCK Middle East found that the commercial segment, comprising office, retail, land, hotel apartments, hotel rooms, whole buildings and industrial assets, recorded a combined transaction value of AED 65.23 billion in H1 2026.
Anuj Kejriwal, CEO – Retail & CEO – Europe, Middle East and Africa, ANAROCK Group, said, “The combined transaction value was AED 60.14 billion in H1 2025, so this is an increase of nearly 8.5%.
Transaction volumes climbed to 6,487 deals from 5,754 deals in this period, a rise of nearly 13%. Dubai’s commercial real estate market has once again displayed its remarkable external shock-absorbing abilities.”
While regional tensions weighed briefly on sentiment early in the year, activity across the Dubai commercial real estate market remained firmly in growth territory during the first half. The performance reflected sustained demand for office and retail assets.
Office Segment Leads Dubai Commercial Real Estate Market
The office segment emerged as the standout performer of the Dubai commercial real estate market in H1 2026.
Office transaction volumes increased 38% year-on-year to 2,571 deals, while transaction value surged nearly 200% to AED 15.81 billion from AED 5.28 billion in H1 2025.
“The office segment was the standout performer of H1 2026,” said Kejriwal.
“Office transaction volumes rose 38% Y-o-Y via 2,571 deals, and transaction value surged nearly 200% to AED 15.81 billion from AED 5.28 billion in H1 2025. Average office prices climbed 85% Y-o-Y to AED 3,202 per square foot. This points to intensifying demand for Grade A office space amid constrained supply in key business districts and free zones.”
Average office prices increased 85% year-on-year to AED 3,202 per square foot, highlighting the strong demand for Grade A office space across key business districts and free zones.
The strong office performance was a major component of the broader growth recorded by the Dubai commercial real estate market during the first six months of 2026.
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Retail Transactions Surge in H1 2026
Retail assets also recorded significant growth during the period. Retail transaction volumes increased 56% year-on-year to 853 deals, while transaction value more than doubled, rising 174% to AED 3.71 billion.
Average retail prices increased 54% year-on-year to AED 3,486 per square foot. The rise came amid a strengthening consumer economy and increasing investor interest in well-located retail formats.
The performance of both office and retail assets strengthened the overall transaction activity in the Dubai commercial real estate market during H1 2026.
Q1 2026 Sets Record for Dubai Commercial Real Estate Market
Quarterly trends also highlighted the strength of the Dubai commercial real estate market. Q1 2026, covering January to March, was the strongest quarter on record for Dubai’s commercial market.
Transaction value reached an estimated AED 40.75 billion during the quarter, representing an increase of more than 40% year-on-year despite increasing regional tensions.
During this period, Dubai strengthened its position as a safe haven for regional and global capital amid geopolitical uncertainty, as reflected in the emirate’s earlier cycles of regional instability.
The strong Q1 performance provided significant momentum for the Dubai commercial real estate market in the first half of the year.
Q2 Sees Sequential Moderation
The second quarter of 2026 saw a natural moderation following the exceptional transaction activity recorded in Q1. Transaction volumes declined about 22% sequentially, while transaction value fell close to 40% on a quarter-on-quarter basis.
However, the year-on-year performance remained comparatively stable.
“On a year-on-year basis, Q2 2026 volumes were broadly stable, down just about 1% compared to Q2 2025 and transaction value was around 21% lower,” said Anuj Kejriwal.
“This was largely on account of a high base set by large land deals in Q2 2025. Notably, despite moderation in transaction value, the average price per square foot in Q2 2026 rose 34% Y-o-Y to AED 3,186. Dubai’s commercial real estate buyers remain prepared to pay a premium for prime, income-generating assets.”
Despite the sequential moderation, commercial asset pricing remained firm. The average price per square foot in Q2 2026 increased 34% year-on-year to AED 3,186.
The trend indicates continued demand for prime, income-generating commercial assets within the Dubai commercial real estate market.
Land Transactions Moderate as Investors Shift Towards Income-Generating Assets
The land segment was the primary drag on overall transaction volumes in H1 2026. Land transactions declined 29% year-on-year to 941 deals, while transaction value fell 9% to AED 33.19 billion.
The data indicates a shift in investor interest away from land banking towards income-generating office and retail assets. This trend coincided with strong gains recorded in the office and retail segments.
Despite the moderation in land transactions, the Dubai commercial real estate market maintained overall growth during the first half of 2026, supported by stronger activity across other commercial asset classes.
Dubai Commercial Real Estate Market Outlook for H2 2026
The Dubai commercial real estate market is positioned to sustain its growth trajectory through the remainder of 2026.
The emirate’s tax advantages, freehold ownership regime for foreign investors and continued expansion of the Golden Visa scheme are expected to continue supporting the market’s momentum.
“Near-term volumes may continue to reflect swings in regional sentiment,” summed up Kejriwal. “However, the Dubai Market’s underlying fundamentals, tight Grade A office supply, rising rents and steady occupier demand will ensure that it stays firmly on a growth path.”
The H1 2026 data shows that the Dubai commercial real estate market recorded growth in transaction value and volumes, while office and retail assets emerged as key drivers of activity.
At the same time, land transactions moderated as investor interest shifted towards income-generating commercial assets.
Property Type Performance (H1 2026 vs H1 2025)Property Type H1 2025 Volume H1 2026 Volume Vol % Chg H1 2025 Value (AED) H1 2026 Value (AED) Value % Chg Office 1,860 2,571 38.20% 5.28 Bn 15.81 Bn 199.30% Retail 546 853 56.20% 1.35 Bn 3.71 Bn 174.30% Land 1,331 941 -29.30% 36.60 Bn 33.19 Bn -9.30% Other 1950 2053 5.28% 13.8 Bn 11.33 Bn -17.90%
Note: Other includes Hotel Apartment & Rooms, Building and Industrial
Source: ANAROCK Research & Advisory
