Chestertons Reports 50% Surge in Commercial Leasing as Legal Reforms and Investor Confidence Accelerate UAE Real Estate Momentum
Dubai, UAE – Chestertons MENA, one of the world's most established real estate advisories, has released new data confirming a sharp rise in commercial real estate activity across the UAE. The firm's Q1 2025 Market Report shows a 50.4% year-on-year increase in commercial leasing, alongside double-digit growth in villa and townhouse transactions — underscoring the powerful convergence of market demand, investor confidence, and regulatory readiness.
Office leasing led the commercial sector, recording over 101,000 transactions — a 62.7% increase compared to Q1 2024 — while retail leasing saw 36,000 transactions, amounting to AED 3.4 billion. Land leasing also posted steady gains. The data points to robust corporate expansion, growing business formation, and sustained appetite for commercial space across key UAE zones.
'Commercial real estate is no longer a peripheral category — it's at the centre of the UAE's next economic chapter,' said Mohamed Mussa, Executive Director of Chestertons. 'What we're seeing is not a temporary rebound but a redefinition of the region's investment profile. From the performance of off-plan markets in Ras Al Khaimah to the legal reforms enabling long-term ownership, this is an ecosystem ready for scale.'
These trends were unpacked during Chestertons' Commercial Conference held in May 2025, which brought together senior leaders across valuation, advisory, and legal practice. The panel included: Andrew Elliott, Director of Commercial Agency
Benjamin Cullum, Head of Valuations and Advisory
Conor Henry, Director of Valuations and Advisory
Jake Wright, Director of Investment and Advisory
Michael Kortbawi, Corporate & Finance Law Expert (BSA Ahmad Bin Hezeem & Associates LLP)
The conference highlighted key structural enablers: 100% foreign ownership across most mainland sectors
A newly introduced 9% federal corporate tax, with 0% options for qualifying free zone income structures
Expansion of investor-friendly zones such as RAKEZ, which is set to overtake JAFZA in activity
Long-term renewable lease models, digital incorporation platforms, and streamlined dispute resolution through RERA, DIFC, and specialized courts
Increasing demand for REITs, sale-and-leaseback structures, and institutional-grade commercial assets amid Grade A supply constraints
'Recent legal reforms have shifted the UAE from being merely attractive to being strategically compelling,' said Lawyer: Michael Kortbawi, Corporate & Finance Law Expert and panelist at the Chestertons Commercial Conference. 'Investors now have clarity on ownership, tax, and dispute resolution, along with access to digital tools and long-term visas. This is a legal framework built for global capital and long-term business planning.'
Residential demand also remained strong. Townhouse and villa transactions rose 51.93% in volume year-on-year, reaching a total value of AED 76.5 billion, while apartment sales climbed 16.25% in value to AED 75.1 billion. Buyer appetite was concentrated in communities such as JVC, Business Bay, and Dubai Marina, driven by location, lifestyle, and long-term rental yield potential.
Rental activity reflected similar growth. Apartment leasing was up 21.4% year-on-year, totaling AED 11.3 billion across 151,000 rental transactions, while villa and townhouse leasing rose 21% in value to AED 3.4 billion. The report attributes these trends to population growth, long-term residency programs, and a shift toward larger living spaces post-COVID.
'Across every segment — commercial, residential, leasing, and investment — the UAE is showing clear signs of structured, sustainable growth,' added Mania Merrikhi, Chief Operating Officer and Managing Director at Chestertons MENA. 'The legal infrastructure, investor protections, and macroeconomic vision are all working in tandem to create one of the world's most investible property markets.'
Chestertons — established in London in 1805 and active in the UAE since 2008 — has built a deep regional presence from its headquarters in Dubai Marina. The firm's team of over 165 professionals offers services across brokerage, valuation, building consultancy, asset management, and market research, property management and investment advisory. In Q1 2025 alone, Chestertons reported a 155% year-on-year increase in MENA transactions, and is now targeting 220% regional growth by 2026.
About Chestertons:
With a legacy spanning over 220 years, Chestertons is one of the world's most established and respected real estate advisory firms. Founded in London in 1805 by Charles Chesterton, the company has built a reputation for trust, integrity, and expertise, offering tailored advice to clients across the globe. As a founding member of the Royal Institution of Chartered Surveyors (RICS), Chestertons combines its rich heritage with a forward-thinking approach, providing a full suite of services including residential and commercial brokerage, valuation and advisory, building consultancy, property management, and market research.
In the UAE, Chestertons has been active since 2008, with its regional headquarters now based in Marina Plaza, Dubai Marina. The firm is home to a dynamic team of over 90 experts who bring together international experience and local insight to support developers, investors, landlords, and occupiers. With a history of success built over generations, Chestertons delivers intelligent, personalised solutions that generate long-term value.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Mid East Info
a day ago
- Mid East Info
A Vision Like No Other: Lumena by OMNIYAT Illuminates Ultra-Luxury Commercial Workspaces on Sheikh Zayed Road
OMNIYAT leads the way in ultra-luxury commercial workspaces, as Lumena by OMNIYAT follows the unprecedented success of Enara by OMNIYAT With a Gross Development Value of AED 3.6 billion, Lumena stands as a benchmark in ultra-luxury commercial development With its slender form and elevated architectural profile, a series of cantilevered structures throughout the tower introduces unique vantage points and exceptional shared amenities A signature feature of Lumena is the breathtaking Sky Theatre, a never-before-seen amenity for a commercial tower in Dubai State-of-the-art technologies, industry-leading sustainability and world-class amenities will propel Lumena to achieve targeted Platinum status for LEED, WELL Building TM , WiredScore and SmartScore Certifications Lumena by OMNIYAT was launched at Museum of the Future with a captivating reveal that included never-seen-before performances Dubai, United Arab Emirates,June 2025 – OMNIYAT, the leading developer in Dubai's luxury real estate landscape, has launched Lumena, an ultra-luxury commercial development located on Sheikh Zayed Road in the Burj Khalifa district, at the intersection of Business Bay and Downtown Dubai. A work of architectural mastery where every line draws upward, and every space is designed to inspire clarity, confidence, and command, the 48-storey tower will set a new benchmark for workplace environments in the region upon its completion in Q4 2029. With a Gross Development Value of AED 3.6 billion, Lumena launched at the Museum of the Future with a stunning sound and light show on June 18. Its architectural model will be on display at Studio 12 at The Opus by OMNIYAT from 19-22 June, providing a glimpse into the future of Dubai's commercial spaces. Mahdi Amjad, Founder and Executive Chairman at OMNIYAT, said: 'Lumena is the future of commercial real estate in Dubai. With its location, design, and integrated amenities, we are creating a new paradigm for commercial real estate that aligns with how the next generation of leaders want to work and live. Leveraging technology, innovation and future-proof design, LUMENA's sculpted form reflects both architectural brilliance and the effortless flow of ideas, ambition, and enterprise. This exceptional project reflects OMNIYAT's ongoing commitment to shaping the commercial landmarks of tomorrow.' Inspiration and design philosophy: Drawing from the Latin word ' lumen' for illumination and ' ena' , a Japanese word suggesting blessing, Lumena symbolises clarity, purpose, and forward momentum. The tower's design integrates panoramic views with natural materials and biophilic elements, bringing light, greenery, and airflow into the workspace to promote wellbeing, productivity, and performance. Every element, from its sculpted façade to double height glazing and natural textures, is engineered for both form and function. With its slender form and elevated architectural profile, Lumena is strategically designed to maximise views of Burj Khalifa, Downtown Dubai, and Jumeirah Beach. A series of cantilevered structures throughout the tower introduces unique vantage points and shared amenities that enhance the experience for all occupants. Uniquely located near Business Bay metro station, it is well connected to Dubai's prime business, retail and lifestyle hubs. Close to Downtown and Burj Khalifa, it is minutes away from major attractions, yet with its soaring form, also boasts Jumeirah, Burj Al Arab & ocean views. Lumena brings together functional precision and spatial sophistication. The tower comprises 91 shell-and-core office units across three categories: 59 offices (three per floor plate), 30 half floor offices (two per floor plate), and 2 full-floor offices. With an internal office area of 582,184 sq. ft., Lumena is engineered for optimal efficiency, featuring flexible floorplates with minimal columns, a rear-core layout, and clear ceiling heights of 3m within office spaces. Units are offered with full fit-out flexibility, so buyers and tenants can customise layouts, while a palatial use of space, including high ceilings and full height windows, ushers openness and light. Lumena is strategically located just 10 minutes from Burj Khalifa and 13 minutes from Dubai International Airport, with dual vehicular access points. It offers over 1,000 parking spaces, including designated areas for office use, retail operations, and visitors. Unparallelled amenities, five-star service: As part of OMNIYAT's portfolio of unparalleled residential, commercial and hospitality properties, superior service is built into the core experience. A full suite of concierge offerings includes reception, meeting room management, spa and wellness coordination, lifestyle bookings, personal services, and bespoke experiences, such as event planning, luxury travel arrangements, and private shopping. These services are managed by OMNIYAT and draw from the brand's experience in delivering high-touch hospitality across its award-winning commercial towers, residences and hotels, including Enara by OMNIYAT, and The Opus by OMNIYAT. Lumena is designed to meet the latest British Council for Offices (BCO) standards, supporting occupancy density of one person per 10 sqm while maintaining spacious, high-end environments. It is targeting multiple world-class certifications, reflecting its commitment to sustainability, occupant wellbeing, and technological integration, including the LEED Platinum certification, the highest ratings for sustainable commercial developments in the world. Lumena is projected to achieve a Platinum WELL Certification from the WELL Building Standard, plus Platinum WiredScore and SmartScore Certifications, the global standards for digitally connected and technologically advanced smart buildings. Occupants will also have exclusive access to the Executive Club, a purpose-built environment that integrates luxury, discretion, and convenience. Accessible from the upper office floors, this dedicated space offers private lounges, meeting zones, and concierge support, all tailored to the needs of senior decision-makers. At its summit, Lumena houses the Sky Theatre – intended for high-level forums, product launches, and executive gatherings and offering panoramic views across Dubai. It is equipped with advanced acoustics, LED walls, and modular seating to support a variety of functions. Wellness is central to Lumena's philosophy. The Executive Wellness Suite, complete with high-performance training and recovery zones, is designed to support peak physical and mental performance. The Sky Pool, suspended above the city and surrounded by biophilic landscaping, offers a rare sense of stillness and perspective. Wellness floors on Levels 21 and 22, a private Business Club on Level 34, and an exclusive Sky Theatre and event venue at the tower's apex offer a future-forward take on work-life synergy. Lumena's amenities are integrated across the tower and podium to support productivity, wellness, and world-class executive-level experiences. An interconnected podium will house six curated, retail concepts, fine dining, wellness and lifestyle facilities designed to serve building occupants and guests from the Business Bay and Downtown communities. Lumena is designed by internationally renowned architects and consultants. In Dubai and across the globe, OMNIYAT has created refined works of art that effortlessly blend creativity, quality and rarity. Building on the success of The Opus by OMNIYAT and Enara by OMNIYAT, Lumena by OMNIYAT is the next evolution in the group's portfolio, designed for business leaders, creatives, and innovators seeking workspaces that reflect growth and ambition.
Mid East Info
2 days ago
- Mid East Info
Dubai International Chamber establishes new international representative office in Toronto to boost trade and investments with Canada
H.E. Eng. Sultan Bin Saeed Al Mansoori: 'We are committed to helping Canadian businesses leverage Dubai's strategic location and competitive advantages as a gateway to global growth.' Non-oil trade between Dubai and Canada exceeded AED 10.2 billion in 2024. 4,112 active Canadian companies registered as members with Dubai Chamber of Commerce by the end of 2024, registering an annual growth of 29% Dubai, UAE – Dubai International Chamber, one of the three chambers operating under the umbrella of Dubai Chambers, has officially launched a new representative office in Toronto, Canada. The strategic move reflects the chamber's commitment to bolstering economic ties and exploring avenues to increase bilateral trade and investments between Dubai and Canada. The office was inaugurated during a ribbon-cutting ceremony in Toronto in the presence of the Honourable Maninder Sidhu, Minister of International Trade for Canada, together with H.E. Eng. Sultan Bin Saeed Al Mansoori, Chairman of Dubai Chambers, H.E. Abdulrahman Al Neyadi, Ambassador of the United Arab Emirates to Canada, and members of the Canadian business community. The opening further strengthens the chamber's expanding global network and is considered the first representative office in North America. The new office comes as part of the 'Dubai Global' initiative, which seeks to establish 50 representative offices around the world by 2030. H.E. Eng. Sultan Bin Saeed Al Mansoori, Chairman of Dubai Chambers, commented: 'The launch of our new office in Toronto marks a significant milestone in strengthening the economic ties between Dubai and Canada. The office will serve as a strategic platform to connect businesses, facilitate investment flows, and open new channels for bilateral trade. We are committed to helping Canadian businesses leverage Dubai's strategic location and competitive advantages as a gateway to global growth.' The launch of the Toronto office comes at a time of strong and growing business relations between Canada and Dubai, with the value of non-oil bilateral trade exceeding AED 10.2 billion last year. By the end of 2024, a total of 4,112 Canadian companies were registered as active members of Dubai Chamber of Commerce, representing annual growth of 29%. This momentum has continued into 2025, with 289 new Canadian companies joining during the first quarter. The Toronto representative office will serve as a vital resource for businesses in both Dubai and Canada. The chamber's team will actively engage with the Canadian business community, cultivate strategic partnerships with key public and private sector stakeholders, and promote Dubai's unique advantages as a global business destination. The office will provide Canadian companies with valuable market intelligence and practical support to establish and grow their presence in Dubai. In addition, it will assist Dubai-based businesses looking to expand into the Canadian market by offering targeted insights, identifying high-potential trade and investment opportunities, and connecting them with reliable local partners to ensure a smooth and successful market entry. About Dubai International Chamber: Dubai International Chamber, one of the three chambers operating under the umbrella of Dubai Chambers, was established to promote Dubai as a global business hub, attract multinational companies and expand the emirate's trade ties with promising markets. The chamber is dedicated to achieving the objectives of the Dubai Economic Agenda (D33), which aims to double the size of the emirate's economy and establish Dubai among the top three global cities by 2033.
Mid East Info
2 days ago
- Mid East Info
Naji Hasan Ahmad Al Harithi contributes AED 5 million to Life Endowment campaign - Middle East Business News and Information
UAE, Abu Dhabi –June 2025: Naji Hasan Ahmad Al Harithi, an Emirati businessman, contributed AED 5 million to the Life Endowment campaign in support of chronic disease patients, launched by the Endowments and Minors Funds Authority (Awqaf Abu Dhabi) under the slogan 'With You For Life'. Contributions by individuals and institutions are part of a community wide show of support to the campaign, reflecting the culture of giving and generosity, deeply rooted in UAE society, and the commitment shown by its members to support initiatives in the UAE, including those aimed at enhancing the sustainability of healthcare services afforded to those most in need. The Life Endowment campaign aims to enhance the sustainability of healthcare services and provide long term funding to treat vulnerable patients with chronic diseases, while supporting the healthcare system as a whole. The campaign further aims to maximise the returns of the endowment and direct them toward healthcare programs that improve quality of life and help build a healthy, sustainable society. The initiative also seeks to promote the concept of endowment as a development tool that supports social solidarity. It highlights the UAE's pioneering role in supporting charitable and humanitarian initiatives and promoting social investment to serve those most in need. Contribution Channels: The Life Endowment campaign in support of chronic disease patients has dedicated several channels to receive the contributions from individuals and institutions: Digital donation platform by Awqaf Abu Dhabi: Bank transfers to the Campaign's account IBAN Number: AE930353417000004600004 at First Abu Dhabi Bank SMS to dedicated e& UAE numbers, as follows: SMS 'Life' to 3557 to donate AED 10, to 3556 to donate AED 50, to 3225 to donate AED 100 and to 3223 to donate AED 500 SMS to dedicated du numbers, as follows: SMS 'Life' to 3583 to donate AED 10, to 3585 to donate AED 50, to 3586 to donate AED 100 and to 3587 to donate AED 500
