Dubai Real Estate Market Sees Robust Growth in 2025
Dubai, UAE, Mar 5: Badar Rashid AlBlooshi, Chairman of Arabian Gulf Properties, has stated that Dubai’s real estate market continues to demonstrate balanced growth across both residential and office segments. This growth is supported by strong economic fundamentals, business expansion, and sustained investor confidence.
AlBlooshi noted that while residential real estate continues to benefit from population growth and end-user demand, the office market recorded exceptional performance toward the end of 2025, reinforcing Dubai’s position as a leading regional and global business hub.
Referring to data reported recently, citing market research, AlBlooshi highlighted that Dubai’s office real estate sector recorded a 32.4% year-on-year increase in average rents, reaching approximately AED 225 per square foot by the end of 2025. The growth was driven by strong occupier demand and limited availability of high-quality office stock.
According to the same source, commercial real estate transactions during December 2025 alone totalled AED 12.4 billion, underscoring strong investor appetite and sustained activity across Dubai’s key business districts. The data also showed that 63% of office space inquiries were concentrated on smaller and flexible units, reflecting evolving workplace strategies and a growing preference among companies for efficient, adaptable office environments.
Commenting on the figures, AlBlooshi said, “The strong performance of Dubai’s office market, alongside continued momentum in the residential sector, reflects a real-economy driven property landscape. Residential demand supports workforce stability, while office growth mirrors business expansion and corporate confidence.”
He added that the office sector’s growth is closely linked to Dubai’s wider economic trajectory, including continued corporate expansion, diversification initiatives, and the emirate’s appeal as a base for regional headquarters and international operations. The study reports that key business districts such as the Dubai International Financial Centre (DIFC) continued to command premium rental levels, while areas including Business Bay and Jumeirah Lakes Towers recorded notable annual growth. Emerging destinations such as Expo City Dubai also gained traction, supported by integrated infrastructure and sustainability-focused development.
At Arabian Gulf Properties, we view residential and office real estate as complementary components of a single ecosystem, AlBlooshi added. Our development strategy remains focused on delivering well-planned projects that respond to both living and working requirements, offering strategic locations, quality execution, and long-term value.
He concluded that the combined strength of Dubai’s residential and office markets reinforces the emirate’s standing as a resilient and attractive destination for real estate investment, supported by clear regulations, advanced infrastructure, and sustained confidence from occupiers and investors alike.
