Commercial property investment in Dubai

Considered the most modern and cosmopolitan city in the Emirates, Dubai has long been established as the business and tourist centre for the region.  Its geographical location between the Eastern and Western worlds, its concentration of international hotels and access points to an estimated 1.5 billion people in the region, all combine to create a truly “world class” city.

Large scale investment in infrastructure, including the Dubai International Airport and the Dubai International Financial Centre, along with the completion of the Burj Dubai Tower, the world’s tallest building, later in 2009 has led to global property recognition.

Foreigners have been allowed to purchase both residential and commercial property in designated foreign ownership developments since 2002.  This has resulted in a vibrant and profitable property market.  The soon to be completed LRT railway will also help to facilitate transport links between the different business districts.  The substantial expatriate populations and investors are continuing to boost a strengthening rental market.  Investors can expect returns in the range of 6-10%, depending on levels of borrowing. 

Buying commercial property in Dubai has been facilitated by the introduction of property law covering foreign ownership.  The Land Registry in Dubai is registering titles of foreign ownership and new laws have been recently been announced, which establish owners’ rights and obligations in common hold buildings and communities. Office suites are available for purchase in a range of buildings and locations from 1,000 sq ft upwards. 

Although there is no capital gains tax in Dubai, there is a land registration fee payable to the government of Dubai of 2% of the purchase price.

We can advise you on:

• purchases, either in the primary market, direct from the developer, or in the re-sale market
• disposals
• lettings
• property management.

Our professional commercial sales and lettings staff are happy to assist you in all your property requirements.

Steven Morgan
T: + 9714 334 8585
steven.morgan@ae.cluttons.com