Dubai Office Sales Up 11.7% in Q3 2026, Driven by Smaller Investors

Dubai's office property market experienced an 11.7% quarter-on-quarter rise in sales transactions during the third quarter of 2026, reaching a total of 1,123 units. This growth was largely attributed to the return of smaller investors and a shift away from larger institutional deals, as detailed in the latest commercial real estate report by CRC Property.

Despite the increase in transaction volume, the total sales value for office properties declined by 42% to AED 4.35 billion in Q3. This pushed the average office transaction value down to approximately AED 3.87 million, further indicating a market trend towards smaller-scale investments. However, the Q3 office sales value remained 40.4% higher than the same period last year.

Shifting Market Dynamics and Key Locations

The overall commercial property market in Dubai recorded 2,789 sales transactions, a slight 1.8% decrease from the previous quarter, which was an improvement compared to the 21.5% decline seen in Q2. The total value of commercial sales fell by 25.6% to AED 18.04 billion, again reflecting a preference for smaller transactions.

Downtown Jebel Ali became Dubai's most active office location, capturing nearly 30% of all office transactions and surpassing Business Bay. Jumeirah Lakes Towers (JLT) secured the third spot with 162 transactions, marking a 47.3% increase.

Pricing and Industrial Land Demand

Average secondary office selling prices saw a modest decline of 1.2% to AED 1,930 per square foot, a smaller decrease compared to the 3.4% fall in Q2. Commercial land transactions contributed significantly to the market, reaching AED 6.81 billion in Q3, accounting for about 38% of the total commercial property sales value. This demand for industrial land is driven by investors seeking long-term locations as new land releases become scarce.

CRC Property also noted a 15% quarter-on-quarter increase in buyer enquiries, with retail enquiries showing the strongest growth at 34%. There's also a growing preference for instalment-based payment plans in commercial leases, rising to 83% in Q3 from 73% in Q2, as businesses prioritise cash flow flexibility.