Dubai industrial real estate market ‘remains challenging’
Dubai’s industrial and logistics real estate market remained stable in the six months leading up to 2019 and it now continues to be challenging, with increased flight-to-quality and supply still outstripping take up, said an industry expert.
Demand for property in the industrial sector is being driven by SMEs across Dubai, many of which are seeking opportunities to relocate and benefit from the softer market conditions in an attempt to reduce their occupational costs.
The logistics/distribution and general trading industries accounted for over 60 per cent of demand, with manufacturing also showing positive enquiry levels, testament to the competitiveness of Dubai for business.
Accounting for approximately 10 per cent of the UAE’s economy, the logistics and transport industry’s market share far outperforms the wider region. Continued significant investments into this sector should provide the platform for future growth and ensure the industry plays an important role in the economy in the future.