Dubai Office Market 2026: Sales Surge to AED 15.8 Billion in H1
Dubai’s office property market delivered a strong first half of 2026, with sales rising sharply across ready and off-plan commercial units. Total office sales reached approximately AED 15.8 billion between January and June, showing continued investor confidence in the city’s commercial real estate sector.
Around 2,600 office transactions were completed during the six-month period, an increase of more than 38% year on year. Off-plan offices were the main driver of activity, accounting for roughly 65% of all transactions.
For investors and businesses looking for office space, these figures point to a highly active market. However, the pace of growth began to cool in the second quarter, making the outlook for the rest of 2026 more balanced.
Why Are Off-Plan Offices in Dubai Seeing Strong Demand?
One of the clearest trends in Dubai’s office market is the growing appetite for off-plan commercial property.
Around two-thirds of office transactions in H1 2026 involved properties still under development. Buyers were also willing to commit more capital to new office projects.
The average value paid for an off-plan office reached about AED 8.3 million, compared with around AED 3.5 million a year earlier. High-value deals also increased sharply. More than 220 office purchases exceeded AED 20 million during the first half of the year, and most of these premium transactions were off-plan.
This suggests demand is coming not only from smaller investors but also from buyers looking for larger commercial opportunities.
Ready Office Prices and Rents Continue to Rise
Ready offices also recorded growth, although the increase was more moderate than in the off-plan segment.
Average ready-office values reached around AED 3 million during the first six months of 2026, compared with approximately AED 2.6 million a year earlier.
Across the wider market, average office sale prices climbed to about AED 2,012 per square foot, representing annual growth of around 15%. Average office rents increased to approximately AED 189 per square foot per year, up roughly 14%.
The rise in selling prices and rents reflects continued demand for well-located, high-quality commercial space.
Which Dubai Areas Recorded the Most Office Sales?
Business Bay became Dubai’s most active office sales location during H1 2026, recording more than 800 combined ready and off-plan transactions.
Al Sufouh followed with close to 500 transactions, while Jumeirah Lakes Towers recorded more than 300. Dubai Maritime City and Barsha Heights also ranked among the busiest office markets.
Together, these five locations represented more than 70% of total office transactions, showing that investors continue to favour areas with strong connectivity and established commercial environments.
Is Dubai Facing a Shortage of Office Space?
New office supply is increasing, but available inventory is still expected to remain relatively tight in the near term.
Around 92,300 square metres of new office space entered Dubai during the first half of 2026, taking total office stock to approximately 9.46 million square metres.
Future Office Supply
Further supply is planned over the coming years:
- Around 150,000 sq m by the end of 2026
- Approximately 379,000 sq m during 2027
- Around 718,000 sq m during 2028
If delivered as planned, total office inventory could reach approximately 10.7 million square metres by 2028.
However, construction delays may push some projects further into the future, which can keep pressure on quality office space in popular locations.
Why Did Office Market Activity Slow in Q2 2026?
Despite the impressive first-half numbers, the second quarter showed signs of slower momentum.
Office transactions fell by almost 36% compared with the first quarter, while prices and rents recorded slight quarter-on-quarter moderation. The slowdown was more noticeable in the ready-office segment.
Seasonal conditions and wider regional uncertainty may have encouraged some buyers to delay decisions. This does not necessarily mean the office market is entering a downturn. Annual figures remained positive, but the quarterly change suggests buyers may become more selective.
What Does This Mean for Dubai Office Investors?
Dubai’s office sector entered 2026 with strong demand, rising values and growing interest in off-plan commercial property. However, investors should now look beyond headline growth figures.
Location, building quality, future supply, tenant demand and entry price are becoming increasingly important. Smaller offices remain popular in the off-plan segment, while medium-sized ready offices continue to attract buyers seeking established commercial assets.
The second half of 2026 will provide a clearer indication of whether Q2’s slower activity was temporary or the beginning of a more balanced market phase.
Final Thoughts
Dubai’s office real estate market recorded a powerful first half of 2026. Sales reached AED 15.8 billion, transaction numbers increased and off-plan offices accounted for most market activity.
Although growth moderated during the second quarter, demand, limited near-term supply and investor interest continue to support the sector.
For buyers considering commercial property in Dubai, opportunities remain attractive, but careful analysis of location, pricing, rental potential and upcoming supply will be essential. Selecting the right office is becoming more important than simply following the overall market trend.
Source : Khaleej Times
