Dubai’s commercial real estate sector posted an extraordinary performance in July 2025, with sales and leasing transaction values leaping 271% month-on-month and volumes soaring 75% compared to June, according to Allsopp & Allsopp data. On a year-on-year (YoY) basis, the momentum was even more striking with transaction values up 283% and volumes rising 40% compared to July 2024.

The average sales price for commercial properties more than tripled in one year, rising from AED 4.27 million to AED 14.41 million, a clear indicator of strong demand for prime, strategically located assets. Meanwhile, average annual rental rates dropped sharply to AED 530,200, down from AED 1.69 million a year ago. This decline presents attractive leasing opportunities for tenants before market rates rebound.

In July, investors from India, the Netherlands, Saudi Arabia, and the UK were among the top nationalities active in Dubai’s commercial property scene, underlining the emirate’s global appeal.

Analysts suggest the explosive growth signals a supply shortfall in commercial real estate, particularly for high-quality office, retail, and industrial spaces. With businesses relocating or launching in Dubai and demand for Grade A stock escalating—the need for new development is more evident than ever.