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Commercial office rental demand steady in DIFC

New research shows DIFC occupier activity strengthened in first quarter 2010.


June 21, 2010 9:51 by

Commercial office rents in the Dubai International Financial Center, DIFC financial district, have remained constant over the past three months, according to the results of the CBRE MarketView study, Emirates Business reported Monday.

Over the past 12 months, DIFC rents fell around 11 percent, the study added, far lower than declines seen in other cities. Moscow rents fell 29 percent, Dublin rents 30 percent, and Marseille rents 16.7 percent, the study said.

Commercial rental demand in Dubai and Abu Dhabi rose in the first quarter 2010, as an increased supply of office space encouraged landlords to offered greater incentives to tenants. Rents fell over the first quarter, particularly in Grade B” buildings.

“Landlords of vacant Grade B buildings are cutting rents more aggressively to secure tenants before this influx of new buildings,“ Emirates Business said.

An estimated 400,000 square meters of new “Grade A” office space is expected to become available in 2011, the report added.


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