Dubai: office space could grow by 7% in 2016
Real estate research report from Core, the UAE subsidiary of global real estate consultancy firm Savills, predicts an increase in office space by 7% over 2016.
Business Bay called the most growing area in Dubai. Dubai office real estate market reached 8.4 million m² in 2015. In Q1 201651% came in areas such as Business Bay, Deira, Bur Dubai, Dubai Healthcare City, Tecom C, Jumeirah Lake Towers. Another 28% is premium areas of Dubai International Financial center, Downtown Dubai, Sheikh Zayed Road, Dubai Internet City and Dubai Media City.
The growth of office space was 7%, 3% and 5% in 2012, 2013 and 2014 respectively. The premium office properties showed the growth 5% per year. A large part of it is concentrated in the Business Bay. The report predicts that this trend will continue in 2016 and over the next few years.
It is noted that the level of rental rates in Downtown Dubai remained stable while in the Sheikh Zayed Road fell the past year. Sale price declined in Business Bay, Tecom, Jumeirah Lake Towers, Downtown Dubai and DIFC.
