Downtown Dubai is leading a sharp rise in office prices as more businesses compete for the city’s best workspaces. According to a recent report by Knight Frank, average sales prices in the area reached Dh5,130 per square foot in 2025. This is a big jump from Dh3,986 just one year ago, showing a 29% increase in value.
Large deals worth over Dh10 million more than doubled in 2025. There were 167 of these high-value transactions, which is 114% higher than in 2024. Experts say this growth shows that buyers have deep trust in the city’s long-term economy. They are specifically looking for buildings that are already making money through steady rent.
Several factors are driving these costs up. Most top-tier buildings are almost full, leaving very few options for new tenants. There is more demand than available space, so, both rents and sales prices have gone up every quarter since 2020. Companies are also willing to pay extra for offices near the metro or those with good shops and cafes nearby.
Different industries are playing a big role in this trend. The banking and finance sector made up nearly a third of the demand for office space in late 2025. At the same time, tech companies accounted for about 23%. These businesses want modern, high-quality offices to help them find the best workers and impress their clients.
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While new buildings are being planned, they will not be ready right away. Around 24.2 million square feet of new space is expected between 2026 and 2030 in areas like Business Bay and DIFC. However, market experts do not expect prices to drop anytime soon. Until the new supply is finished, the market will likely stay tight. For now, the gap between top-quality offices and older buildings is expected to grow even wider.