Complete Guide to Commercial Leasing
Commercial Leasing in Dubai for Offices, Retail and Warehouses
Find business premises that fit your trade licence, budget and operations, or lease out your commercial property to a qualified tenant. We handle the search, rent benchmarking, negotiation, Ejari and handover.
- Premises checked for licence and permitted use before you commit
- Full occupancy cost shown, including VAT and service charges
- Representation for both tenants and landlords
What commercial leasing in Dubai involves
Renting business premises is tied to your licence, your activity and the building's permitted use, not just the rent.
Commercial leasing in Dubai is the renting of business premises, such as offices, shops, showrooms, warehouses and industrial units, by companies from property owners. Occupiers range from startups taking a first office to retailers, restaurants, clinics, logistics operators and regional headquarters.
It works differently from renting a home. For mainland businesses, the lease is registered on Ejari, the Dubai Land Department's tenancy registration system, and the registration supports trade licence issuance and renewal. The unit must be zoned for commercial use, and its permitted use has to match your business activity: a residential apartment cannot serve as a mainland company's registered premises. Commercial rent also carries 5% VAT, which residential rent does not.
That is why location and licensing decisions belong together. The right premises depend on the authority that licenses your business, what you will actually do in the space, and who needs to reach it, whether that is staff, clients, customers or delivery vehicles. If you are still comparing locations, our Dubai area guides are a useful starting point.
Are you looking for space or leasing it out?
We represent business tenants and commercial landlords. Choose your path.
Looking for commercial space?
Secure premises that suit your licence, team and customers, on terms that leave room for your business to change.
- Shortlists matched to licence, size, budget and location
- First-year occupancy cost for every option
- Negotiation on rent, cheques, fit-out period and renewal
- Ejari registration and handover coordination
Leasing out commercial property?
Position your office, shop or warehouse at a rent the market will support, and let it to a tenant whose business genuinely fits the space.
- Rental valuation based on comparable leases
- Permitted listings and targeted marketing
- Tenant screening by licence activity and standing
- Lease terms, Ejari and renewal support
Types of commercial property for rent in Dubai
Each property type suits different businesses and comes with its own checks.
Offices
Fitted units, shell and core space and full floors in business districts such as Business Bay and in free zones.
- Typical users
- Professional services, corporate teams, startups and regional offices
- Check
- Licence authority, parking allocation, metro access and fit-out condition
Retail units and shops
Street-facing shops, community retail and units within malls.
- Typical users
- Retailers, service businesses, salons and pharmacies
- Check
- Footfall, visibility, signage rights and mall-specific charges
Showrooms
Large-frontage units with display space, often on main roads.
- Typical users
- Automotive, furniture, fit-out and interiors brands
- Check
- Frontage, ceiling height, access for deliveries and customer parking
Warehouses
Storage and distribution space in logistics and industrial areas.
- Typical users
- Trading, e-commerce, distribution and logistics businesses
- Check
- Road access, loading bays, clear height, power and permitted storage
Industrial units
Workshops and light industrial space in designated industrial zones.
- Typical users
- Light manufacturing, workshops and fabrication
- Check
- Zoning for your activity, power load, ventilation and safety approvals
Business centres and serviced offices
Furnished, managed workspace on shorter or more flexible terms.
- Typical users
- New companies, small teams and businesses testing a location
- Check
- Whether the space supports your licence, what the fee includes, and room to grow
How to choose the right commercial property
We assess every option against four groups of criteria. A space that fails the first group is not an option, however good the rent.
Browse current commercial and residential listings, or compare districts in our area guides before you book viewings.
Compliance
- Licence compatibility with the issuing authority
- Permitted use matching your activity
- Building rules on operations and hours
- Utilities suited to your load and needs
Location
- Metro and road access for staff
- Parking for staff and visitors
- Client or customer access
- Footfall and visibility for retail
Space
- Size and layout for your team
- Fit-out condition and what it will cost
- Loading and logistics access where needed
- Building quality and management
Commercial
- Total budget, not just the rent
- Lease flexibility and break options
- Room to expand in the same building
- Renewal terms you can live with
Fitted vs shell and core office space
Neither is better in every case. The right choice depends on your timeline, budget and how specific your layout needs are.
| Factor | Fitted space | Shell and core |
|---|---|---|
| Handover condition | Ceilings, flooring, lighting and often partitions and furniture in place | Bare space with base building services |
| Move-in time | Soon after lease signing and Ejari | After design, approvals and fit-out works |
| Upfront spend | Lower: mainly rent, deposit and moving costs | Higher: design, contractor and approval costs |
| Design flexibility | Limited to the existing layout | Full control over layout and finishes |
| Customisation | Minor changes, usually with landlord consent | Built around your brand and workflow |
| Exit | Return the space in agreed condition | Lease may require reinstatement to shell and core |
| Best suited to | Businesses that need to move quickly or keep capital free | Longer commitments and specific operational needs |
The commercial leasing process for tenants
Licensing comes early in the sequence. Many new mainland businesses obtain initial licence approval, secure premises and register Ejari, then complete licence issuance. Confirm the exact order with your licensing authority.
- 01
Define business requirements
Size, headcount, budget, move-in date, and who needs to access the space.
- 02
Confirm licensing and use
Identify your licensing authority and the property use your activity requires.
- 03
Shortlist locations
Compare districts and buildings on access, cost and suitability for your business.
- 04
Property viewings
Inspect condition, services, parking, loading and building management.
- 05
Compare commercial terms
Weigh first-year occupancy cost, lease length, fit-out needs and flexibility.
- 06
Negotiate the lease
Rent, cheques, deposit, fit-out period, renewal and reinstatement terms.
- 07
Contract and Ejari
Sign the tenancy contract, provide cheques and deposit, and register the lease.
- 08
Fit-out and handover
Condition report, keys, utility connections and fit-out approvals where needed.
Leasing out your commercial property
Commercial vacancies are expensive, but so is the wrong tenant. We price and position your property realistically, and screen tenants on whether their business fits the unit's permitted use and the building.
Model your expected return with our investment calculator, and read how to choose the right property investment in Dubai. If you are weighing a sale instead of a new lease, see our Dubai secondary market service.
- 01
Property assessment
Permitted use, condition, fit-out status, services and the ideal tenant profile.
- 02
Rental market analysis
A realistic asking rent based on comparable leases and competing supply.
- 03
Listing preparation
Advertising permit, photography, floor plans and accurate specifications.
- 04
Commercial marketing
Portal listings and direct outreach to businesses that match the space.
- 05
Tenant qualification
Trade licence activity, business standing and fit with building rules.
- 06
Viewings
Accompanied viewings for qualified occupiers only.
- 07
Negotiation
Rent, term, payment structure, fit-out period and reinstatement.
- 08
Lease and handover
Tenancy contract, Ejari, condition report, keys and renewal diary.
Commercial lease costs to budget for
The headline rent is rarely the annual cost of occupying a space. Most figures below vary by building, landlord and lease, so we set out the real number for each shortlisted option.
Tenant costs
- Annual rentUsually paid by post-dated cheques, number agreed in the lease
- VAT5% on commercial rent from a VAT-registered landlord
- Security depositAgreed in the lease; refundable subject to condition
- Agency feeCommonly a percentage of annual rent, agreed upfront
- Ejari registrationA registration fee per lease
- Municipality feeBased on annual rent, typically collected through DEWA bills
- Utilities and coolingDEWA connection and district cooling where applicable
- Service chargesWhere not included in the rent
- Fit-out and approvalsDesign, contractor, signage and authority approvals
Landlord considerations
- VAT registrationCommercial rent is a taxable supply, and registration is mandatory above AED 375,000 of taxable supplies a year. See the Ministry of Finance VAT guidance and check your position with a tax adviser
- Service chargesOwner obligations to the building, unless passed on under the lease
- MaintenanceResponsibilities split as set out in the tenancy contract
- Vacancy periodsEvery empty month reduces annual return
- IncentivesRent-free fit-out periods, if offered to secure a tenant
- Leasing commissionAs agreed with your broker
- Renewal noticesChanges to rent or terms need at least 90 days' notice before expiry
Information on this page is general guidance, not legal or tax advice. Confirm fees and obligations for your specific lease before signing.
Commercial lease terms, in plain English
Most disputes start with a term nobody read closely. These are the ones we walk through with every client.
Mainland commercial leases fall under Dubai's tenancy law (Law No. 26 of 2007, as amended by Law No. 33 of 2008), and disputes are heard by the Rental Disputes Centre. Leases of ten years or more are registered with the Dubai Land Department rather than on Ejari. Free zone leases may follow their own rules. For tenant rights in more detail, read our tenant's guide.
- Annual rent
- The yearly rent before VAT, service charges and other costs.
- Payment schedule
- How many cheques the rent is split into, and when each is due.
- Security deposit
- A refundable sum held against damage or unpaid obligations.
- Lease term
- The length of the contract, commonly one year for smaller units.
- Renewal
- Changes to rent or terms need at least 90 days' notice before expiry.
- Rent increases
- At renewal, capped under Decree No. 43 of 2013 based on the Smart Rental Index.
- Fit-out period
- Time to complete works before full rent starts, if negotiated.
- Maintenance
- Which repairs the landlord handles and which fall to the tenant.
- Service charges
- Building running costs, and whether the rent includes them.
- Break clause
- An option to end the lease early on agreed conditions, if included.
- Permitted use
- The activities the unit may be used for, which must match your licence.
- Subletting
- Whether you may share or sublet the space, usually only with consent.
- Handover condition
- The state the unit is delivered in, and must be returned in.
- Reinstatement
- Whether you must remove your fit-out when you leave.
Dubai's office market: what the latest data shows
Office space in Dubai is in short supply, and that shapes how tenants and landlords should approach a lease.
CBRE's review for the second quarter of 2026 reported Dubai office occupancy of about 94%, with continued shortages of Grade A space. Demand was particularly strong in business districts and free zones such as DIFC, TECOM and DMCC.
For tenants, a tight market usually means starting the search early, deciding quickly on suitable space and budgeting for renewal increases within the legal caps. For landlords, it supports pricing, but only when the rent is benchmarked against real comparable leases. Market conditions change, so treat these figures as context, not a forecast.
Dubai office market, Q2 2026
Occupancy and year-on-year rental change
- Average office rents, year on year+13%
- Prime office rents, year on year+16%
Mainland or free zone premises?
Where you can lease depends largely on who licenses your business. Choose your licensing route before you choose a building.
Mainland businesses
Licensed by the Department of Economy and Tourism (DET).
- Premises generally need to be commercially zoned
- The lease is registered on Ejari to support the trade licence
- Wide choice of locations across the city
Free zone businesses
Licensed by a free zone authority, such as DMCC or DIFC.
- Premises are usually leased within the free zone
- Some free zones run their own leasing and registration rules
- Licence packages may include flexi-desk or office options
Licensing rules vary by activity and authority, and some arrangements allow businesses to operate across both. Confirm your requirements with the relevant licensing authority before signing a lease; we coordinate the property side once your route is clear.
Due diligence before you sign a commercial lease
Checks that are easy before signing can be expensive to fix afterwards.
- Permitted commercial useThe unit is approved for your specific activity.
- Landlord ownershipTitle deed or authority to lease is confirmed.
- Licence compatibilityThe premises support your trade licence.
- Ejari eligibilityThe lease can be registered for licence use.
- Lease termsRenewal, break, subletting and reinstatement clauses.
- Service chargesIncluded or separate, and how much.
- Utilities and coolingCapacity, connection and district cooling charges.
- Parking and accessAllocated bays, visitor parking and loading access.
- Fit-out statusWhat is included and what you must build.
- Fit-out approvalsBuilding management and authority approvals needed.
- MaintenanceWho repairs what, and how quickly.
- Signage rightsWhether and where you may display your brand.
- Building rulesOperating hours, deliveries and visitor access.
- Fire and life safetyCompliance for your layout and activity.
- Handover conditionRecorded in a dated condition report.
How Solera Realty supports commercial clients
Solera Realty is a RERA-registered brokerage (ORN 58529) based in Bur Dubai. We represent both business tenants and commercial landlords, and we connect every property decision to the licence, costs and lease terms behind it. Learn more about Solera Realty or meet our team.
- Property sourcingOptions matched to licence and use
- Area comparisonAccess, cost and suitability
- Rent benchmarkingComparable leases, not asking rents
- ViewingsTechnical and practical checks
- Lease negotiationRent, term, fit-out and renewal
- Landlord representationPricing, marketing and screening
- DocumentationTenancy contract and Ejari
- Handover and renewalCondition reports and notice dates
Commercial leasing in Dubai: frequently asked questions
Have a question about a specific space? Ask our commercial team, or browse our general property FAQs.
Commercial leasing in Dubai is the renting of business premises, such as offices, shops, showrooms and warehouses, from a property owner. Unlike residential leasing, the premises must suit your business activity and licence, the lease is typically registered on Ejari to support your trade licence, and commercial rent carries 5% VAT.
Yes. Mainland commercial leases are registered on Ejari, and the Ejari certificate is generally required to issue and renew a trade licence with the Department of Economy and Tourism. Leases of ten years or more are registered with the Dubai Land Department instead, and free zone companies follow their free zone's own requirements.
Landlords usually ask for the company's trade licence, or initial approval for a new company, and the passport and Emirates ID of the authorised signatory. Some also ask for company registration documents or a power of attorney. Requirements vary by landlord and authority, so we confirm the list before viewings.
Yes. Commercial rent is subject to 5% VAT when the landlord is VAT-registered, while residential rent is generally exempt. VAT-registered businesses can often recover this VAT as input tax, depending on their activities, so check your position with a tax adviser.
A fitted office already has ceilings, flooring, lighting and often partitions and furniture, so you can move in soon after signing. Shell and core is a bare space that you fit out yourself. It gives full control over the layout, but needs budget, time and approvals, and the lease may require you to reinstate it when you leave.
Premises generally need to match the authority that issued your licence: mainland companies usually lease commercially zoned mainland space registered on Ejari, and free zone companies lease within their free zone. Some authorities offer arrangements for businesses operating across both, so confirm your options with your licensing authority before signing.
There is no single fixed amount. The security deposit is agreed between landlord and tenant and set out in the lease, and it varies by landlord, property type and lease size. It is refundable at the end of the lease, subject to the premises being returned in the agreed condition.
Often, yes, although room to negotiate depends on demand for the specific space. Besides the rent, you can negotiate the number of cheques, lease length, a fit-out period, break options and renewal terms. With Dubai office occupancy high, terms other than rent are sometimes easier to move.
Once you have chosen a fitted space and your documents are ready, signing, payments and Ejari registration can move quickly. Shell and core space takes longer because design, approvals and fit-out works must be completed before you can operate. Your licensing timeline also affects the overall schedule.
Changes to the rent or terms must be notified at least 90 days before the lease expires. Rent increases at renewal are capped under Decree No. 43 of 2013, based on how the current rent compares with the average in the Smart Rental Index. Free zone leases may follow their own rules.
Start with a realistic rent based on comparable leases, then market the property with a valid advertising permit to businesses whose activity fits the unit's permitted use. Screening tenants on their licence and business standing, and agreeing clear terms on fit-out and reinstatement, reduces problems later.
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