Dubai’s real estate market ended 2025 on a strong note, with steady growth across both residential and office property sectors, according to insights shared by Badar Rashid AlBlooshi, Chairman of Arabian Gulf Properties. The continued expansion is supported by robust economic fundamentals, growing business activity, and strong investor confidence.
AlBlooshi highlighted that the residential sector continues to benefit from population growth and rising end-user demand, while the office property market experienced significant momentum in the final months of 2025. The performance of the office segment further strengthens Dubai’s reputation as a major regional and global business hub.
Recent market research revealed that average office rents in Dubai increased by 32.4% year-on-year, reaching around AED 225 per square foot by the end of 2025. This growth was mainly driven by high occupier demand combined with limited availability of premium office spaces.
The study also indicated that commercial real estate transactions in December 2025 alone reached AED 12.4 billion, highlighting strong investor interest and continued activity in Dubai’s major business districts.
Data further showed that 63% of office space inquiries were focused on smaller and flexible units, reflecting changing workplace strategies and the growing demand for efficient, adaptable office environments among companies.
According to AlBlooshi, the strong performance of both residential and office markets demonstrates a real-economy driven property landscape. Residential growth supports workforce stability, while office demand reflects business expansion and corporate confidence.
He also noted that Dubai’s office market growth is closely connected to the emirate’s broader economic development, including corporate expansion, diversification initiatives, and Dubai’s increasing appeal as a location for regional headquarters and global operations.
Key business districts such as the Dubai International Financial Centre (DIFC) continued to command premium rental rates, while areas like Business Bay and Jumeirah Lakes Towers recorded notable annual growth. Emerging developments such as Expo City Dubai also gained momentum due to modern infrastructure and sustainability-focused planning.
AlBlooshi added that Arabian Gulf Properties views residential and office real estate as interconnected elements within a broader urban ecosystem. The company continues to focus on delivering strategically located developments that meet both living and working needs while ensuring long-term value and quality.
He concluded that the combined strength of Dubai’s residential and office property markets reinforces the emirate’s reputation as a stable and attractive destination for real estate investment, supported by strong regulations, advanced infrastructure, and sustained demand from investors and businesses.