Cushman & Wakefield Core: Why Serviced Offices Are Shaping the Future of Work in the UAE

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The UAE's office market has been on a remarkable journey. Over the past few years, the skyline has expanded, demand has surged, and Grade A occupancy levels have edged close to capacity. With Dubai's prime office stock expected to cross 95% occupancy by the end of the year, businesses are now assessing their next move.

According to Cushman & Wakefield Core, the answer is increasingly clear. Flexible and serviced offices, once seen as a stopgap for start-ups and SMEs, are now becoming a mainstream, strategic choice for companies of all sizes. This is not just a passing trend, it's a structural shift in how companies approach real estate in one of the world's most dynamic business hubs.

A Market That's Running Out of Space

Unlike many global cities, where flexible office models developed to absorb empty space, the UAE story is unique. Here, demand continues to rise while availability remains tight. That scarcity is forcing a rethink.

Serviced offices, with their ready-to-use setups, are allowing businesses to move in quickly, operate efficiently, and scale up or down as needed. For new entrants to the Dubai market, the appeal is obvious: instead of spending months fitting out a space, businesses can begin operations immediately.

Of course, traditional leasing still plays a huge role. Companies looking to build a long-term footprint can explore Cushman & Wakefield Core's portfolio, which includes a wide variety of office for rent in Dubai [https://www.cushwake.ae/en/properties/commercial-rent/office/commercial-space/cities/dubai] listings across the city's most prestigious districts.

Why Corporates Are Embracing Flex

Serviced offices used to be associated with small businesses or entrepreneurs. That's no longer the case. Today, large corporations, international firms, and even regional powerhouses are taking space in flex environments, driven by the growing importance of agility alongside prestige.

Flexible space provides:

- Speed to market - Immediate occupancy without waiting on construction or fit-outs.

- Cost predictability - Bundled services remove the need for major upfront capital outlays.

- Scalability - Businesses can grow into larger footprints or contract as markets shift.

In other words, flexible workspaces are no longer "Plan B." They're often Plan A.

Landlords Are Taking Notice

This demand shift isn't just impacting occupiers, it's also shaping how landlords think about their assets. Building owners are now carving out portions of their developments for fitted, branded suites. Some are partnering with established operators, while others are creating their own flexible models to capture demand.

In Business Bay, one of Dubai's most sought-after business districts, serviced offices are fast becoming a complement to traditional leases. Cushman & Wakefield Core supports occupiers by offering both models, including opportunities like office for rent in Business Bay [https://www.cushwake.ae/en/commercial-rent/office/dubai/business-bay], where companies can balance agility with a prime location.

Free Zones Fueling Growth

Another unique factor in the UAE is the role of free zones. Over two-thirds of Dubai and Abu Dhabi's upcoming office pipeline sits within free zones areas that naturally support flexible business models thanks to sector clustering, streamlined regulation, and high levels of occupier churn.

Not Just a Temporary Fix

Cushman & Wakefield Core believes this shift signals a deeper evolution in the UAE real estate market. Flexible offices are not replacing traditional leases, they are complementing them. Companies are increasingly adopting a "hybrid portfolio" strategy, combining long-term headquarters with flexible satellite spaces to balance stability and adaptability.

The Bigger Picture

In essence, the office market in the UAE is maturing. Scarcity has pushed innovation, and innovation has created opportunity. Whether a business is new to Dubai or expanding regionally, the question is no longer whether to consider flexible space, it's how much of it should form part of the strategy.

For some, it's a stepping stone into the market. For others, it's a permanent solution. But in every case, serviced offices are proving that they're more than just a quick fix, they're a competitive advantage.

For further information contact:

Rachel Smylie, Head of Marketing & Communications, Cushman & Wakefield Core rachel.smylie@cushwake.ae

About Cushman & Wakefield Core

Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for property owners and occupiers with approximately 52,000 employees in nearly 400 offices and 60 countries. In 2023, the firm reported revenue of $9.5 billion across its core services of property, facilities and project management, leasing, capital markets, and valuation and other services. It also receives numerous industry and business accolades for its award-winning culture and commitment to Diversity, Equity and Inclusion (DEI), sustainability and more. Cushman & Wakefield Core is an independently owned and operated affiliate of Cushman & Wakefield, with over 17 years' experience operating in the UAE.

For additional information, visit www.cushwake.ae
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Company Name: Cushman & Wakefield Core
Contact Person: Rachel Smylie
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Country: United Arab Emirates
Website: https://www.cushwake.ae/en

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