The commercial office landscape in Dubai and Abu Dhabi remained firmly in favor of landlords during the second quarter of 2026, as high demand and limited availability kept competition intense. According to a recent JLL report, companies are still moving quickly to secure office space, preventing any significant rise in vacancies and allowing property owners to hold their ground on pricing with few concessions. While some businesses have briefly hesitated due to broader economic uncertainties, the consistent appetite from both new market entrants and established tenants has effectively absorbed available inventory, keeping market leverage heavily skewed toward those holding the keys.

This robust demand has translated into a noticeable rise in rental contract registrations, with Dubai seeing a significant 24.6% annual jump, signaling strong corporate confidence. Meanwhile, Abu Dhabi has maintained a more measured pace, characterized by high renewal rates that underscore the capital’s market stability. As vacancy rates hit record lows—dropping to just 6.1% in Dubai and a remarkably tight 1.4% in Abu Dhabi—rents have continued to climb, particularly for Grade B properties that are increasingly filling the gap left by a lack of prime office supply. While regulatory interventions like Abu Dhabi’s new "Rent Freeze" policy are expected to temper quarterly escalations, the overall trend suggests that developers and landlords will continue to enjoy strong market conditions through the remainder of the year.