What Factors Drive Commercial Property Valuation in Dubai?

When I launched YallaValue to help people instantly get a valuation on their Dubai property, I quickly realized that commercial real estate here marches to its own beat. From my deep dive into thousands of office, warehouse and retail listings, these are the top factors shaping how we value commercial property in Dubai today:

1. Unwavering Office Demand
   In many markets you can register your company at home, but in Dubai every business needs a physical office. Even as hybrid and remote models grow, firms still sign leases in Business Bay, DIFC or JLT, keeping occupancy rates—and rents—strong. As the number of companies setting up in the UAE climbs, so does demand for quality office floorspace.

2. Logistics and Manufacturing Growth
   Beyond the gleaming towers lie bustling industrial zones. Al Quoz, Ras Al Khor and Jebel Ali have become magnets for warehousing and light manufacturing, driven by Expo-led infrastructure and JAFZA’s global connections. I’ve seen land values here jump as supply struggles to keep pace with e-commerce and re-export demand.

3. Location & Connectivity
   A unit overlooking the Metro or close to major highways commands a premium. Proximity to ports, airports and free zones can add signaficantly to price per sqft rates.

4. Regulatory Environment & Ownership Structures
   Dubai’s freehold zones allow expatriates to own outright, while other areas remain leasehold—this distinction impacts long-term capital appreciation. RERA regulations on service charges, and the emergence of strata-title rules, also impact valuations.

5. Macro & Financial Drivers
   Interest rate shifts and inflation in the UAE ripple through borrowing costs. Savvy investors often use a UAE mortgage calculator before making a bid, and those eyeing a golden visa UAE route may pay a premium for trophy assets that meet the AED 2 million threshold.

6. Supply Pipeline & Vacancy Rates
   New commercial towers and warehouse parks constantly enter the market so it's important to track upcoming completions.

7. Tenant Profile & Lease Terms
   Long-term, blue-chip tenants deliver stable yields. Flexible leases—common in co-working spaces—tend to lower per-sqft rates but can boost overall occupancy. Buildings with a mix of tenants plus SMEs can strike a more stable balance between risk and return.

About Jack SellersFounderJack Sellers created YallaValue to help others discover the true value of a property. Having coded the very first few versions of the website, he now has a strong team around him, allowing him to focus on growing the business and increase YallaValue’s online visibility.