by admin
Rental Prices Are Not Projected To Fall In The Coming Months. Due to Continued High Market Demand and a Scarcity of Accessible Office Space.
Can a foreign firm purchase commercial property on Dubai’s Mainland? We intend to create a branch of our company and are searching for office space for 50 employees. It is a long-term software development and sales effort. What kind of rent can we expect to pay (if we cannot buy) and how long is the lease? We understand that rents in the city are at an all-time high and are willing to wait a few months if they do not fall.
Foreign corporations are permitted to purchase or rent commercial buildings on Dubai‘s mainland. We recommend providing roughly 80 square feet per person for office space, not considering amenities. Such as reception, conference rooms, waiting areas, management cabins, or kitchens. A company with 50 employees, for example, would require at least 4,000 square feet. However, the exact number required depends on the nature of the organization.
However, Costs vary by area. In Business Bay, the average sale price is presently around Dh1035 per square foot, a 19% rise from 2021. For the entire year, office-leasing fees are roughly Dh93560. Most shell and core space rental leases are for 3-5 years. While fitted offices normally lease for 1-3 years and thus are renewable at the end of the lease.
The Dubai real estate market is strengthening. Moreover, we do not expect commercial office leasing prices to fall in the coming months. This is owing to persistently high market demand and a scarcity of available office space, particularly Grade a space. In terms of 2022, office transactions specifically increased by 30%, while total transaction value jumped by 74%.
