With the Middle East and Africa (MEA) set to see a $3tn project pipeline across real estate and infrastructure between 2026 and 2030, the region is positioned for sustained high performance into 2026, according to JLL. The UAE remains central to this growth trajectory, with projected project cash flows of $795bn over the same period, including $470bn allocated to real estate development.
Speaking at the annual Navigating Tomorrow: Critical Insights for the UAE’s Evolving Real Estate Landscape event in Dubai, James Allan, CEO, UAE, Egypt and Africa at JLL, said: “Strong market fundamentals boosted the Middle East and Africa real estate market in 2025, setting the momentum for sustained performance across asset classes in 2026. We saw record residential transactions, double-digit growth in industrial and logistics rents, and an exceptionally tight 1 per cent office vacancy rate in 2025, driven by professional talent migration, substantial private investment, and strategic infrastructure development. As a pivotal market, the UAE reinforces this momentum with a committed $470bn in real estate projects by 2030, including over $300 billion in Dubai alone. Looking ahead, the uptick in the ‘flight to quality’ and asset optimisation and repurposing trends will continue, alongside the integration of AI-driven data center investments.”
Across the wider MEA region, low vacancy levels and strong absorption rates are accelerating market transformation, easing supply constraints while supporting rental and sales growth. The delivery of major infrastructure projects is expected to further stimulate real estate development and attract increased private-sector participation.
Capital flows are also evolving, with cross-border investment and alternative financing mechanisms set to play a larger role, particularly in greenfield developments where investment stock remains limited. Improved transparency, driven by regulatory reforms across the region, is expected to further strengthen investor confidence.
UAE office demand
JLL also released insights from its MEA Occupier Survey 2026, highlighting a strong office-centric culture across regional markets, with in-person collaboration continuing to dominate workplace strategies. A majority of occupiers expect to expand their office footprint, particularly in the UAE, Saudi Arabia and Qatar, with investment shifting from size to quality, efficiency and employee experience.
In the UAE, strong alignment between government-led economic initiatives, favourable growth fundamentals and high occupier confidence is driving both space expansion and a continued flight to quality. This is creating attractive opportunities for premium office investment, supported by resilient demand.
In Abu Dhabi, office supply is forecast to increase by just 7.9 per cent by 2028, with vacancy rates remaining extremely tight at 0.1 per cent for Prime and 1.0 per cent for Grade A space. Dubai’s pipeline is similarly constrained, with supply rising by only 3.5 per cent, largely pre-leased, resulting in Prime and Grade A vacancy rates of 0.2 per cent and 3.4 per cent respectively. City-wide vacancy of 7.1 per cent is largely concentrated in Grade B and C stock, underscoring the opportunity for landlords to align with occupier demand for centrally located, sustainable, Grade A buildings with human-centric amenities.
Read: Dubai, Abu Dhabi office rents surge as Grade A supply tightens: Savills
Industrial and logistics attract institutional capital
The industrial and logistics sector continues to draw rising levels of institutional investment, supported by near-full occupancy, strong rental growth and spillover demand extending from Dubai into Abu Dhabi and the Northern Emirates. Infrastructure catalysts such as the expansion of Al Maktoum International Airport are helping create new economic hubs, attracting both regional and international capital.
In Abu Dhabi, Khalifa Economic Zones Abu Dhabi (KEZAD) is leveraging its operational maturity to expand into new development clusters, strengthening integrated industrial ecosystems and supporting stable rental growth across the emirate.
Dubai’s planned Metro Blue Line, with an estimated investment of $5bn, is emerging as a catalyst for long-term urban transformation rather than a standalone transport project. Transit-oriented development (TOD) is increasingly seen as a dual-value proposition, offering strong investment returns while enhancing urban livability, connectivity and social inclusion. Positioning projects ahead of the metro maturation curve is expected to deliver particularly attractive outcomes for developers and investors.
Dubai’s land market has undergone a significant transformation, with total transacted value rising 786 per cent to $121.4bn between 2019 and 2025. Growth has been driven by population inflows, a $10.6bn infrastructure pipeline, and regulatory reforms that have unlocked global capital and enhanced liquidity. Demand for mixed-use, commercial and raw land continues to rise, supported by sustained appreciation across residential and commercial rents and prices.
During a panel discussion at the event, industry experts also noted that asset retrofitting and repurposing will accelerate as higher land prices, construction costs and shifting occupier preferences push owners to future-proof assets, enhance long-term viability and protect returns.