Why Invest in Dubai’s Commercial Real Estate: High returns or Assets diversification?

4.From Tax Benefits to Global Access: Dubai’s Investor Edge 

Dubai has set new benchmarks on the global stage. You name it, and Dubai has it. The city is known for being the hotspot for international investors, especially for high-net-worth individuals. The factors that are contributing towards Dubai’s this global appeal are 
Secure and stable environment: Dubai is one of the safest cities in the world. It’s the main key attractions for the foreigners and that’s why Dubai on the top of list when it comes to permanently residing in Dubai 

Stable geopolitical environment: Dubai is secure both geographically and economically. UAE’s currency is pegged to the US Dollar, which contributes to its economic stability. Moreover, Dubai is also secure in terms of its geopolitical scenarios. 
Visa associated investments are also a driving factor behind UAE’s appeal. Investors can not only benefit from the tax-free capital gains but also avail long-term residency via golden visa and investor visa etc. 

Tax-free capital gains: Dubai is heaven for investors looking for tax-free returns, while in some cases a VAT can be there if you cross a certain slab of rental income like 375,000 AED and so on. But mostly the capital gains are tax free, which is indeed a great option for property investors in Dubai to diversify their portfolio by investing in both commercial and residential real estate. 

5- A Beginner’s Guide to Commercial Real Estate in Dubai 

Now let’s discuss what are the main things that should be considered if you are going for commercial real estate for the very first time. Firstly, it is always advisable to go for off-plan projects that are to be constructed. Because they are available at inaugural prices, you don’t have to pay the appreciated price. Secondly, they offer state-of-the-art amenities and a modern infrastructure. And third as an investor you don’t need upfront capital to invest as off plan projects come at a flexible payment plan.  

You can choose from a variety of options like offices, retail spaces, warehouses, factories, and even hotels. Property evaluation is a must, and, in this regard, you can hire a professional agency or take services from a trusted brokerage company like PFOC Properties. As PFOC Properties is in channel partnership with top 18 developers of UAE, we can get you the best options available in Dubai real estate market, from the ultra-luxury properties by Omniyat, like Lumena to the affordable ones like the Sky Hills Astra retails units and Samana Barari view commercial etc. These projects not only have great potential for Maximum ROI due to their strategic location but also come with flexible post-handover payment plans. 

6- The Rising Star: Commercial Property Outshines All 

Investing in commercial real estate can bring you the following advantages  
Higher Income Potential Commercial properties such as offices and retail spaces can yield stronger rental returns. On calculations, the rental yields are approx. 11% higher as compared to the residential depending upon the location and project deliverables. 

Long-Term Leases: In Dubai, long-term leases, typically lasting 10 years or more, provide tenants with a personal right to occupy a property for a set period. These leases must be registered with the Dubai Land Department (DLD). For residential leases under 10 years, registration takes place on the Ejari platform. Long-term leasehold ownership, often lasting up to 99 years, is a popular investment option, offering a more affordable way to occupy property compared to freehold ownership. Recent legal changes in 2025 have introduced additional protections for tenants, including a mandatory 90-day notice period for eviction. These developments contribute to a more secure and stable rental environment for both investors and tenants.  

Professional Tenants: client management is easy, as corporate tenants are more straightforward and result driven. Relationships are based on more professional terms, meeting business needs, and creating a more professional arrangement. 

Attractive Tax Regime: Dubai’s corporate tax rate is only 9% on profits above AED 375,000. This low rate draws companies to the city, boosting demand for commercial property. 

Prime Growth Locations: Commercial properties are mostly in prime locations like Business Bay and Jumeirah Lake Towers etc. Which is the heart of commercial activities. Properties in these hotspots not only attract tenants but also have strong potential for long-term value appreciation.