Dubai echoes the global real estate crisis with the construction of three new office towers within the most important financial district of the market. In this way, Dubai positions itself as one of the cities addressing this global situation and aims to confront the growing influx of businesses that increasingly settle in the city.
DIFC Square is the construction company that announced this project in mid-2024, which is set to open in September 2026 at the Dubai International Financial Centre. This project encompasses an area that could reach one million square meters, of which 60 percent will be allocated to offices.
The financial towers, a symbol of recovery in Dubai.
The towers of DIFC Square will involve an investment of 270 million, creating not only a site for business development but also a leisure and commercial space with restaurants and cafes, in addition to residential units. This project has special significance in the city after a 91.3% increase in commercial offices.
This is due to the growth of industries and companies that decide to set up in this city or existing ones that begin to expand, driven by the commercial stagnation of places like New York and London and supported by the favorable policies of Dubai and the United Arab Emirates towards foreign workers and entrepreneurs.
Dubai and the creation of offices that reveal commercial growth.
The construction of these offices has become key points in the financial sector, where leading regional and global companies choose to establish themselves to expand into the Middle East, Africa, and South Asia. As confirmed by the creator of this project, “DIFC Square will become a valuable addition to the growing real estate portfolio of the center by offering first-class, forward-thinking office spaces dedicated to meeting the demand for high-quality commercial properties.”
The location is one of its main features and provides access to key points in the city of Dubai, such as downtown Dubai, Dubai International Airport, and Sheikh Zayed Road. This development will consist of three interconnected buildings that will share a basement and three podiums distributed over eight, ten, and thirteen floors.
A gloomy outlook for Dubai that changed during 2024.
Despite being a real estate paradise, Dubai has experienced a period of decline or stagnation in real estate investments and rentals. The war in Israel with Hamas, the rising cost of living, and the waning interest of Russians in the Emirates indicated that the real estate market could face a slowdown. However, reports indicate otherwise, and the construction of new office towers shows a pulse different from what was expected.
According to the consulting firm Knight Frank LLP, in 2023, Dubai reached a record of 274 billion dirhams in real estate transactions, with 89.2 billion already recorded in the first quarter. Since the end of 2020, property prices have risen by 60% and rents by 83%. These records have been influenced by the millions in investments from Indian and Russian entrepreneurs (although the latter’s influence has diminished) and others who see this enclave as the perfect place to invest.
