(MENAFN- Ishraq Communications LLC ) year and commercial sales value climbing 31% in the third quarter of 2025, according to Engel & Völkers Middle East, a leader in premium residential and commercial real estate services. The results reaffirm the city’s position as a global real estate powerhouse driven by investor confidence, end-user demand, and a population now surpassing four million.

“Dubai’s property market has reached a new level of maturity,” said Daniel Hadi, CEO of Engel & Völkers Middle East. “We’re seeing not just investor activity, but long-term commitment from people who view Dubai as home, a place to build their lives, careers, and legacies.”

In the residential market, off-plan properties continued to dominate, accounting for nearly 70% of all sales, while resale activity remained brisk in established neighbourhoods where supply is tight and lifestyle appeal strong. Apartments made up 87% of total transactions, with 47,705 units sold for AED 91.4 billion — up 26.4% from a year earlier. The luxury segment also remained robust, with 1,388 transactions above AED 10 million, marking the second-strongest quarter on record. Standout deals included a AED 350 million off-plan villa at Jumeirah Asora Bay and a AED 173.6 million apartment at Aman Residences in Jumeirah.

New off-plan communities such as Dubai Science Park, Damac Riverside, and DLRC gained traction among investors for their long-term potential, while established districts like Dubai Marina and Downtown Dubai led secondary market activity. Rising rents and a growing sense of permanence among residents are also fueling a shift from renting to homeownership, particularly among families and professionals seeking long-term stability.

The commercial market mirrored this momentum, recording 3,418 transactions worth AED 30.4 billion, up 31% year-on-year. Every category posted double-digit growth — offices (+45%), retail (+37%), land (+36.8%), and buildings (+50%) — reflecting strong institutional appetite for income-generating assets. Business Bay led activity with AED 3.4 billion in transactions, followed by Ras Al Khor with AED 2.9 billion in large-scale land deals.

The office segment was particularly strong, with 1,151 offices sold for AED 3.1 billion — nearly double last year’s total — as demand for premium, well-located workspaces continued to rise. A defining trend is the sharp increase in off-plan office sales, which jumped from just 69 in Q3 2024 to 389 this year, underscoring a growing preference for future-ready, sustainable work environments. “The surge in off-plan office demand shows how investors are adapting to Dubai’s next phase of business growth,” Hadi added.

Dubai’s economic fundamentals remain solid, with the IMF forecasting UAE GDP growth of 4.8% in 2025 and 5% in 2026, supported by diversification, fiscal stability, and foreign investment inflows. Inflation remains low, and anticipated rate cuts are expected to further strengthen real estate demand.

Looking ahead to Q4 and beyond, Engel & Völkers expects both residential and commercial segments to maintain their upward trajectory. “Dubai has demonstrated that sustainable growth is now embedded in its DNA,” Hadi concluded. “It is no longer just a city for investment; it is a city of belonging, ambition, and enduring value.”

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