Dubai Office Sales Q1 2024: Record Off-Plan Surge
- Dubai's office market is booming, with first-quarter sales in 2025 reaching a record $762 million (AED2.8 billion) across 933 transactions.
- While ready office spaces still dominate, off-plan sales have exploded, increasing by 741% to $218 million (AED800 million) from $27 million (AED100 million) in Q1 2024.
- Vidhi Shah, director and head of Commercial Valuation at Cavendish Maxwell, noted the surge reflects growing investor confidence.
Witness an unprecedented surge in Dubai’s office market as Q1 2025 sales hit a record $762 million, marking an 83% jump in value. Off-plan transactions experienced a staggering 741% increase, signaling robust investor confidence and driving demand for office space. This surge solidifies Dubai’s position as a premier global business hub. News Directory 3 reports on the key findings, showcasing the robust health of the office market.Examine the rising sales prices, and explore the areas with the highest transaction volumes like Business Bay. Discover what’s next in this dynamic market.
Dubai Office Market Notches Record $762M in Q1 Sales
Updated June 17, 2025
Dubai’s office market is booming, with first-quarter sales in 2025 reaching a record $762 million (AED2.8 billion) across 933 transactions. According to Cavendish Maxwell, this performance represents an 83% surge in sales value compared to the same period last year, alongside a 24% increase in transaction volume. This cements Dubai’s status as a leading global business hub.
While ready office spaces still dominate, off-plan sales have exploded, increasing by 741% to $218 million (AED800 million) from $27 million (AED100 million) in Q1 2024. Off-plan transactions now account for 18% of total sales, up from 8%.
Vidhi Shah, director and head of Commercial Valuation at Cavendish Maxwell, noted the surge reflects growing investor confidence. “These record-breaking figures speak for themselves. Dubai continues to enhance its position as a global business hub and a magnet for businesses large and small,” Shah said.
Shah added that nearly 40% more foreign companies registered in Q1 2025 compared to last year, driving unprecedented demand for office space. The rise in off-plan deals stems from buyer confidence, competitive prices, flexible payment options, and expectations of long-term appreciation, Shah said.
Office sales prices have increased by 24.5% year-on-year, reaching an average of $449 (AED1,650) per square foot in March 2025. Rental rates have followed suit, rising 24% annually to $43.5 (AED160) per square foot.
Downtown Dubai leads in annual price growth at almost 40%, followed by the Dubai International Financial Centre (DIFC) at 39% and Barsha Heights at 38%. The limited availability of Grade A space has pushed prices higher across lower-tier office properties.
business bay saw the highest transaction volume in Q1 2025 with 316 deals, followed by jumeirah Lakes Towers (222), Motor City (130), Barsha Heights (88), and Dubai Silicon Oasis (41).
Offices between 1,000 and 2,000 square feet were most in demand, accounting for 48% of sales. Smaller units under 1,000 square feet made up 40%, while spaces larger than 5,000 square feet accounted for only 2% of transactions.
Dubai’s total office inventory reached 9.3 million square meters of gross leasable area (GLA) as of Q1 2025. An additional 215,000 square meters are expected to enter the market this year, with another 181,000 square meters scheduled for 2026. Much of this new stock is in core business districts and classified as Grade A.
What’s next
With a strong advancement pipeline, Cavendish Maxwell anticipates the supply-demand imbalance will narrow over the next three years, possibly easing pressure on prices and providing relief to tenants.