Dubai Property Rental Report for the Month of October 2025
Dubai Real Estate Rental Market Report – October 2025
Market Overview
October 2025 continued to demonstrate the underlying strength and diversity of Dubai’s real estate rental market. Despite shifting global economic headwinds, the market displayed notable resilience with rental transaction values reaching near-record levels.
Azizi Sikander Al Furjan: Modern Apartments from AED 586K
Source: Building Arabia.
A key theme of the month was the sustained demand for commercial and labor accommodation spaces, driven by ongoing business expansion and infrastructure projects. However, the data also reveals a significant divergence between the volume and value of new versus renewed contracts, suggesting a market where new tenancies command a premium. The geographic distribution of activity further underscores the maturation of secondary and industrial localities, which are now accounting for a substantial share of total transactional value.
1. Transaction Summary
| Metric | Total (AED) | Total (USD)* |
|---|---|---|
| Total Transactions | 99,201 | - |
| Total Rental Value | AED 85,771,788,375 | ~$23.37 Billion |
Note: USD conversion calculated at an approximate exchange rate of AED 3.67 = USD 1.
2. Breakdown by Contract Status
| Contract Status | Number of Contracts | Total (AED) | Total (USD) |
|---|---|---|---|
| New | 46,929 | 68,308,095,126 | ~$18.61 Billion |
| Renewed | 52,272 | 17,463,693,249 | ~$4.76 Billion |
| Grand Total | 99,201 | 85,771,788,375 | ~$23.37 Billion |
Insight: New contracts, though fewer in number than renewals, accounted for nearly 80% of the total rental value. This indicates robust demand for new tenancies, likely from new residents and businesses, and potentially higher rental rates for newly entered agreements.
3. Breakdown by Freehold Designation
| Designation | Number of Contracts | Total (AED) | Total (USD) |
|---|---|---|---|
| Free Hold | 54,011 | 22,988,011,951 | ~$6.26 Billion |
| Non Free Hold | 45,190 | 62,783,776,424 | ~$17.11 Billion |
| Grand Total | 99,201 | 85,771788,375 | ~$23.37 Billion |
Insight: The non-freehold segment, predominantly comprising leasehold properties, generated almost three times the value of the freehold segment. This highlights the sheer scale and liquidity of the broader rental market beyond the traditional freehold areas.
4. Breakdown by Property Type
The following table presents the complete property type breakdown, with categories sorted in descending order of total value.
| Property Type (Detailed) | Number of Contracts | Total (AED) | Total (USD) |
|---|---|---|---|
| Unit | 90,132 | 82,955,169,639 | ~$22.60 Billion |
| Flat | 62,806 | 16,602,199,346 | ~$4.52 Billion |
| Hotel | 1,094 | 33,684,135,132 | ~$9.18 Billion |
| Labor Camps | 8,522 | 20,910,119,738 | ~$5.70 Billion |
| Shop | 6,174 | 6,408,628,884 | ~$1.75 Billion |
| Office | 8,864 | 3,294,553,959 | ~$898 Million |
| Garage | 15 | 223,180,000 | ~$61 Million |
| Staff Accommodation | 137 | 377,841,000 | ~$103 Million |
| Studio | 819 | 164,153,146 | ~$45 Million |
| Warehouse | 876 | 262,429,027 | ~$71 Million |
| Showroom | 202 | 140,115,651 | ~$38 Million |
| Restaurant | 62 | 327,610,702 | ~$89 Million |
| Hotel Apartments | 117 | 309,213,512 | ~$84 Million |
| All Remaining Unit Types | 1,464 | 1,211,988,542 | ~$330 Million |
| Villa | 6,075 | 1,564,873,429 | ~$426 Million |
| Villa | 5,578 | 1,448,312,766 | ~$395 Million |
| Complex Villas | 425 | 77,941,402 | ~$21 Million |
| All Other Villa Types | 72 | 38,619,261 | ~$11 Million |
| Virtual Unit | 2,605 | 1,050,435,796 | ~$286 Million |
| Office | 2,453 | 582,864,845 | ~$159 Million |
| Shop | 114 | 462,898,021 | ~$126 Million |
| All Other Virtual Unit Types | 38 | 4,672,930 | ~$1.3 Million |
| Building | 30 | 132,400,495 | ~$36 Million |
| Land | 359 | 68,909,016 | ~$19 Million |
| Grand Total | 99,201 | 85,771,788,375 | ~$23.37 Billion |
Insight: The "Unit" category is the undisputed engine of the rental market, accounting for over 96% of total value. High-value hotel and labor camp contracts within this category are significant contributors. The detailed view shows the immense concentration in specific sub-types like Hotels, Flats, and Labor Camps.
5. Breakdown by Primary Usage
| Usage | Number of Contracts | Total (AED) | Total (USD) |
|---|---|---|---|
| Commercial | 20,334 | 45,410,939,384 | ~$12.37 Billion |
| Residential | 77,976 | 39,221,498,135 | ~$10.68 Billion |
| Tourist Origin | 241 | 947,600,000 | ~$258 Million |
| Industrial | 240 | 62,006,943 | ~$17 Million |
| Other | 370 | 71,323,324 | ~$19 Million |
| All Other Usages | 1,040 | 58,420,589 | ~$16 Million |
| Grand Total | 99,201 | 85,771,788,375 | ~$23.37 Billion |
Insight: Commercial rentals generated the highest aggregate value, surpassing residential. This signals strong business activity and demand for commercial space. Residential transactions, while highest in volume, yielded a lower average contract value.
6. Breakdown by Locality (Top 10 by Value)
| Rank | Locality | Total (AED) | Total (USD) |
|---|---|---|---|
| 1 | Port Saeed | 16,412,796,421 | ~$4.47 Billion |
| 2 | Jabal Ali Industrial First | 12,825,759,991 | ~$3.49 Billion |
| 3 | Mankhool | 9,266,505,819 | ~$2.52 Billion |
| 4 | Al Barsha First | 9,112,964,003 | ~$2.48 Billion |
| 5 | Al Warsan Second | 3,008,137,725 | ~$820 Million |
| 6 | Naif | 2,970,004,343 | ~$809 Million |
| 7 | Madinat Hind 3 | 2,846,238,400 | ~$775 Million |
| 8 | Al Goze Industrial Second | 2,274,056,190 | ~$619 Million |
| 9 | Al Barsha South Fourth | 2,232,747,096 | ~$608 Million |
| 10 | Muhaisanah Second | 1,816,583,186 | ~$495 Million |
Other Localities
The remaining 141 localities accounted for a combined rental value of AED 22,006,995,201 (~$6.0 Billion). Notable areas outside the top 10 include Burj Khalifa, Al Murqabat, Dubai Investment Park First, Al Raffa, and Business Bay. Activity is widespread, with significant contributions from both established residential communities and key industrial zones.
Insight: The top localities reflect a mix of prime commercial hubs (Port Saeed, Mankhool), major industrial/logistics corridors (Jabal Ali Industrial First, Al Goze Industrial Second), and established residential districts (Al Barsha areas). The concentration of value in industrial areas like Jabal Ali Industrial First is particularly striking.
Disclaimer:
This report is based on publicly available data and Dubai Land Department (DLD) transaction summaries as of the date mentioned in the title of this post.
Final and detailed figures from the DLD may vary upon official release.
1 US Dollar = 3.672 UAE Dirhams
This report is merely informative, and all investments come with risk. You are responsible for your decisions.
I hope you keep on doing these reports for each month all the way back to January this year then if possible do a quarterly report, you have no idea how important these reports are to brokers..
This would benefit almost every other business dear, not only the real estate brokers, think of a new neighborhood and how many businesses will need to open there and work from there..