Dubai is the land of opportunities, attracting people worldwide to the UAE to take advantage of the benefits and facilities available to investors and residents. However, with the increase in population and businesses, the demand for commercial property and prices are rising.
One smart move is to rent commercial property instead of investing a lot in buying. In this article, we will discuss different aspects of commercial property in Dubai, including how to rent it and its benefits.
What is Commercial Property?
Commercial property is land or space used for business activities. It can be a building, restaurant, warehouse, plot, or even an office. Without commercial property, it is impossible to run operations.
For example, offices require space for employees to work, shops need space to sell goods to customers and warehouses require space to store goods in large quantities.
Different Types of Commercial Properties
- Full Building
Renting a full building in Dubai does not just provide you with space; it also increases your chances of growth, success, and establishing a strong presence in the business market. The reason is that it can be used for any purpose and gives you complete control.
Renting a full building is a strategic move if you have a large company. Otherwise, you can rent the extra space to other businesses and generate additional income.
- Office Space
In Dubai, there are many different types of office spaces, as each business has different needs. Whether you own a small startup or a large corporation, you can easily find suitable office space for yourself.
- Shared Office
This is considered the best option for freelancers and any other team of a few members.
- Corporate Office
Corporate offices are available for large companies in Downtown Dubai or Business Bay.
- Serviced Offices
If you have a small business and don’t have much investments in services, don’t worry! Serviced offices in Dubai provide furniture, internet, electricity, and many other services. By renting a serviced office, you can start working right away.
The good thing is, you can rent it for long term or short term depending on your Business Plan.
- Residential Building
Besides business areas, Dubai also offers many options for renting residential buildings, including cozy family apartments and high-end lifestyle penthouses for professionals and families. In family-friendly apartments, you can access parks, neighborhoods, schools, and shopping malls.
Many modern living spaces offer amenities like gyms and swimming pools for investors’ comfort. You can choose any residential building based on your requirements, needs, and lifestyle.
- Showrooms
Dubai provides a great space for buildings and office spaces and for selling and showing products to customers. A variety of showrooms are available
- Small showrooms in growing areas can be found easily
- Luxury Showrooms are available in popular locations
Showrooms in Dubai are perfect to attract and impress customers regardless of your business.
Key Steps of Renting Commercial Property
Before renting Commercial Properties, some key points and factors should be considered.
Market Analysis
Market analysis and research are essential because they help you identify the right location based on your business activities and objectives. It is recommended to
- Choose an area with high foot traffic. This can make a big difference in the number of customers, as more people walking by your business can increase their chances of visiting your office or shop.
- Pick a location near big business centers. Since people often visit these centers, Setting up a Business nearby can make your business more visible and attract the right audience.
- Keep an eye on real estate trends because they affect property prices and give you a better idea of rental costs.
Choose The Right Type of Commercial Property
Knowing your business goals, size, and target audience is important as it can help you choose the right type of commercial property in Dubai for rent. This can be in the form of offices, retail shops, industry, or a warehouse. Factors like location, layout, and services contribute to success.
Follow the market trends or align your property according to business objectives and future goals. You can also seek the help of real estate experts when making decisions.
Legal Framework and Regulations
Understanding the legal framework and regulations of the Dubai Land Department (DLD) is crucial to ensure a smooth process. Real estate professionals and experienced estate agents can guide you in lease agreements, tenant rights, and other legal work related to commercial property. It protects both the tenant and the landlord.
Work with Professionals
Finding the right commercial property can be challenging and laborious because most people don’t have enough information about the properties. On the other hand, working with Real Estate professionals can be easy, as they have access to many properties and know about market trends.
Discuss your business activities, goals, and objectives so he/she can make the right choice for you. Professionals not only help you find the property but also help you get a good deal with the landlord.
Set Your Budget
Planning is important in business, and setting a budget is important for renting. It keeps financial stress away and ensures you do not exceed your budget. However, the budget should not include rent only; you have to add security fees, agent fees, and utility bills as well.
Visit the Property
- Do not fix the deal without visiting the property. Visit the property to assess its overall condition. If everything is up to par, then fix the deal.
- There are many ways of scamming commercial property, so it is recommended to verify the building owner and ensure that he/she has the right to lease it.
- If the selected property is on a lease, make sure it does not affect your rental agreement when the current lease ends.
Negotiate the Lease
If you find the property suitable, you and the landlord should decide on the rent, lease duration, rules, and additional costs. Before signing the agreement, make sure you understand every term and condition.
Getting professional help or a lawyer can ensure that everything is clear and fair. Knowing your responsibilities and rights is important for working.
Sign the Lease
If you are okay with the terms and conditions, the next step is to sign the agreement which is in the form of a paper containing all important information including rent, duration, rules, and other conditions.
If a security fee is required, pay it along with the initial deposit and make sure you get receipts of all the payments related to renting commercial property.
Popular Areas for Best Commercial Place in Dubai
There are several commercial areas that are suitable for companies that want to start, expand, and succeed.
- Downtown Dubai
It is the most well-known place in Dubai and is known as the heart of the city, as famous landmarks like Burj Khalifa are located here. It offers high-end stores and luxury offices for rent.
- Business Bay
Business Bay falls in the category of main business areas in Dubai. Many companies are located here as it provides advanced infrastructure and up-to-date facilities.
- Dubai Marina
This area is popular not just for stylish offices but also for its beautiful waterfront view. Many restaurants and entertainment options are nearby, which attracts employees and clients.
- Jumeirah
Although it is located in a prime location, it is most affordable and considered the best option for startups.
Benefits of Commercial Property in Dubai
Whether you choose small commercial space for rent in Dubai or large companies, it is a smart move. Dubai is a great place for business and living and offers several advantages.
- Always Active
Dubai is a city that never sleeps, and business activities happen all the time, regardless of day and night. It helps make connections with clients, partners, and other companies.
- Amazing Lifestyle
Dubai is suitable for business and equally great for living, as it offers an amazing lifestyle. Several entertainment options, restaurants, and shopping centers allow one to maintain a balance between work and personal life.
- Modern Facilities
In Dubai, commercial property provides modern facilities and the latest technology, such as high-speed internet, security, and a comfortable setup. All these facilities are crucial for smooth business operations, and you can get them in Dubai.
- Flexible Rental Options
Dubai has a wide range of commercial properties. The cherry on top is that you can choose between a temporary lease and a long-term one according to your requirements and budget.
Rental Cost of Commercial Property
Several factors decide the rental cost of commercial property. These include
- Size
- Location
- Property Type
- Amenities
The rent will be high if you choose a prime location and modern space. However, the general rent amount for commercial property is AED 150 to 200 per square foot per year.
Conclusion
At the end of this article, we hope you gained valuable insights into the benefits of renting commercial property in Dubai and key considerations to remember. By keeping these points in mind, you can make an informed decision, as the right space contributes to the success and growth of the business.
If you are unsure about your decision and need clarification about getting commercial property on rent, don’t get confused. Reach out to Al Riyady. Our team is always here to assist you in business activities.
