Buying Office Space in Dubai
Costs, VAT, Yields, Golden Visa and the Process, Step by Step
Foreigners can own offices outright in Dubai’s freehold districts. This guide covers where you can buy, how an off-plan or ready purchase works, every cost on top of the price, how to work out a real yield and what to check before you pay. We use one new tower, the Rockefeller Tower Dubai project brief, as a worked example throughout.
Can You Buy an Office in Dubai as a Foreigner?
Yes. Buyers of any nationality can own an office outright in Dubai’s freehold areas, register it with the Dubai Land Department (DLD) and sell or lease it freely. The purchase follows the same registry as a home, but the money is different: you pay 5% VAT on the office price as well as the 4% DLD fee, service charges are usually higher per square foot, and banks lend less readily on offices than on apartments.
Most new offices are sold off-plan on a payment plan. Ready offices cost more per square foot in prime buildings but can earn rent straight away. Either way, the return you actually get depends on the net figures, not the headline rent. This guide walks through them with real developer terms from one tower, so the arithmetic is concrete.
Buying an Office at a Glance
What applies to a typical Dubai office purchase
Freehold Districts Where Foreigners Buy Offices
Foreign ownership in Dubai is allowed on land plots designated as freehold, not on whole roads or neighbourhood names. In practice, most freehold office stock that foreign investors buy sits in a handful of districts:
- Business Bay: the largest pool of freehold offices, from older mid-grade towers to new Grade-A launches along the canal and Sheikh Zayed Road. See our Business Bay office for sale guide.
- Sheikh Zayed Road (Business Bay side): the road passes through several districts, so tenure depends on the plot. Towers registered in Business Bay, such as Christian A. Rockefeller Business Tower and Berkeley Tower, are freehold. Our offices for sale on Sheikh Zayed Road guide covers the stretch building by building.
- Downtown Dubai: a small supply of offices in mixed-use towers near Burj Khalifa.
- Jumeirah Lakes Towers (JLT) and Dubai Marina: a large stock of ready offices at lower prices per square foot than the central districts.
- DIFC: offices can be owned there, but DIFC keeps its own property register, so the process and fees differ from the DLD route described here.
Before you reserve, check the tenure of the actual building. The DLD project register, the Dubai REST app or the title deed will show it. Our guide to freehold areas in Dubai explains why lists of community names are not enough.
Off-Plan vs Ready Offices: What Changes for You
The same budget buys two very different investments. The right choice depends mainly on when you need income and how much cash you can commit at once.
| Point | Off-plan office | Ready office |
|---|---|---|
| Rental income | None until handover (2031 for the towers below) | From the first lease, or from day one if tenanted |
| How you pay | Developer payment plan, often 50% or more due by or at handover | Full price at transfer, in cash or with a loan |
| Registration | Oqood on the DLD interim register, title deed at handover | Title deed at transfer |
| VAT | Charged by the developer, often spread across instalments | Due on the sale; the route depends on who is selling (see our commercial property guide) |
| Building quality | New Grade-A specification, larger floor plates | Varies widely; inspect the building and its service history |
| Main risks | Delay, design changes, rents at handover unknown | Tenant default, older building, higher price for prime stock |
| Financing | Mostly cash through the plan | Commercial mortgage possible but harder |
For the general trade-off across all property types, see off-plan vs ready property in Dubai.
How to Buy an Office in Dubai, Step by Step
This is the off-plan route, which is how most new offices are sold. A ready purchase skips steps 3 to 6: you sign a sale agreement with the owner, the developer issues a no-objection certificate, and the title moves at a trustee office.
Shortlist and check the project
Choose the building, the floor and the unit size. Check the developer and the DLD project number in the Dubai REST app, and make sure the registered developer matches the company on your contract. For Christian A. Rockefeller Business Tower, the register lists LMD Ventures Buying and Selling of Real Estate L.L.C. in Business Bay.
Expression of interest or reservation
For launches, developers often take an expression of interest (EOI) to hold a place in the queue, then a reservation for a specific unit. Get the refund terms in writing and pay only by traceable transfer to the developer or its escrow account, never to an individual.
Sign the Sales and Purchase Agreement (SPA)
The SPA is the only binding document. Read the completion date, the grace period, what happens if the building is late, the exact unit area and how area differences are settled, and the payment schedule including VAT. TruHauz reviews these points with you; for complex deals, ask a lawyer.
Register the Oqood and pay the DLD fee
The developer registers your purchase on the DLD’s interim register, known as Oqood. This is when the 4% DLD fee and the admin charges are normally paid. Keep the Oqood certificate: it is your proof of ownership until handover. Our guide to DLD fees in Dubai itemises the smaller charges.
Pay instalments into escrow
Every instalment goes into the project’s escrow account, which is regulated and released to the developer as construction progresses. Check that the IBAN on your SPA matches the registered escrow account. For Rockefeller Tower, the developer names the account at Commercial Bank of Dubai in the name of LMD Ventures.
Follow construction and plan the handover payment
Large balances are often due at handover. Line up the cash or a loan well before the expected date, because commercial lending takes longer to arrange than a home mortgage.
Handover and snagging
Before you accept the keys, inspect the office against the specification and record defects in writing. Confirm the final area, the approved service charge and the access cards and parking you are entitled to.
Title deed, then lease or occupy
Once the final payment is made, the DLD issues the title deed. You can then fit out and occupy, or lease the office. A lease must be registered on Ejari.
Want this worked out for a real unit?
Tell us your budget and size, and we will send current office options with the full cost, payment schedule and VAT position.
What an Office Really Costs: A Worked Example
The example uses the real terms LMD has published for Christian A. Rockefeller Business Tower: a 1,077 sq ft Core office, the standard 50/50 plan and the estimated service charge of AED 18 per sq ft. The price is hypothetical. LMD has not published prices, and AED 3,000,000 is a round figure chosen only to make the arithmetic easy to follow. It is not the price of any unit.
| Cost item | How it is worked out | Example amount |
|---|---|---|
| Office price | Hypothetical, for illustration only | ۳،۰۰۰،۰۰۰ درهم |
| DLD fee | 4% of the price, paid at Oqood registration | ۱۲۰,۰۰۰ درهم امارات |
| DLD admin and registration charges | Fixed charges; see our DLD fees guide | Small, fixed |
| VAT | 5% of the price; LMD collects it with each instalment | AED 150,000 |
| Total to own the office | Before admin charges and any VAT recovery | AED 3,270,000 |
| Service charge (from handover) | 1,077 sq ft × AED 18, developer estimate | AED 19,386 a year |
When the money is due under the standard 50/50 plan
| Stage | Share | قسط | VAT (5%) |
|---|---|---|---|
| On signing | 10% | ۳۰۰٬۰۰۰ درهم امارات | ۱۵۰۰۰ درهم |
| After 1 month | 10% | ۳۰۰٬۰۰۰ درهم امارات | ۱۵۰۰۰ درهم |
| Months 15, 21, 27, 33, 39, 45 (6 × 5%) | 30% | AED 900,000 | AED 45,000 |
| On handover (Q2 2031 expected) | 50% | ۱,۵۰۰,۰۰۰ درهم امارات | AED 75,000 |
| Total | 100% | ۳،۰۰۰،۰۰۰ درهم | AED 150,000 |
On these figures, the cash needed in the first month is the 10% signing instalment with its VAT plus the DLD fee, about AED 435,000, followed by another AED 315,000 a month later. The incentivised plan takes 20% on signing instead. Half of the price, AED 1,500,000 plus AED 75,000 VAT, falls due at handover. That is the payment to plan for most carefully, because few banks will lend on an off-plan office before it is complete.
To run the same numbers with the actual price you are quoted, use our Rockefeller Tower payment plan calculator. It shows each instalment, VAT and the DLD fee for either plan.
The 5% VAT on an Office: Who Pays and Who Can Recover It
Offices are commercial property, so the sale is standard-rated for VAT at 5%. Unlike a home, you cannot avoid it. What matters is whether it is a permanent cost for you or only a cash-flow cost.
- A VAT-registered business using the office for its taxable activities may be able to recover the VAT it paid on the purchase as input tax through its VAT return.
- An investor who leases the office out is making a taxable supply, because commercial rent also carries 5% VAT. Depending on the rental income, the owner may be required or able to register for VAT, charge it on the rent and recover the input VAT on the purchase.
- An individual who buys and does not register will usually bear the 5% as part of the cost. In our example, that adds AED 150,000.
Service Charges and Other Owner Costs
The service charge pays for the building’s security, cleaning, lifts, common areas and reserve fund. In a Grade-A office tower with hotel-style amenities it is a material cost. LMD estimates AED 18 per sq ft a year for Rockefeller Tower, about AED 19,386 on a 1,077 sq ft office, with the final figure approved at handover. In Dubai, budgets are approved and collected through the regulated system described in our guide to Mollak.
Also budget for district cooling and utilities when the office is empty, a letting agent’s fee when you find a tenant, insurance, and any fit-out you offer to attract a tenant. These do not appear in a headline yield, but they reduce what you keep. Our service charges in Dubai guide covers how charges are set.
Can You Get a Mortgage on an Office?
It is possible, but harder than for an apartment. Fewer banks lend on commercial property, the maximum loan-to-value is lower than for homes, repayment terms tend to be shorter and the bank will look closely at your income or your company’s accounts. Lending on an off-plan office before completion is rare.
In practice, most off-plan office buyers pay through the developer’s plan in cash and decide at handover whether to refinance. If you expect to borrow for the handover balance, speak to a mortgage adviser a year or more in advance and get an indication in writing. Our guide to getting a mortgage in Dubai explains the general process.
How to Work Out the Yield on an Office
Dubai’s office market has been tight since 2023. These are the latest published figures, then the formula to apply to any unit.
Citywide office vacancy
Q2 2026, down from 7.7% a year earlier, according to JLL.
Grade-A rent growth
Year-on-year rise in Grade-A office rents in Q2 2026 (JLL). Prime rents rose 13.6%.
Average rent per sq ft
Savills’ citywide average for Q2 2026, flat for the quarter and the first pause since H1 2021.
The formula. Gross yield = annual rent ÷ price. Net yield = (annual rent − service charge − other owner costs) ÷ total purchase cost (price + DLD fee + any VAT you cannot recover).
Hypothetical example. Take the same 1,077 sq ft office at the hypothetical AED 3,000,000 and assume, for illustration only, that it lets at AED 200 per sq ft a year. Rent is AED 215,400. Gross yield on the price is 7.2%. After the estimated AED 19,386 service charge, net rent is AED 196,014. On a total cost of AED 3,120,000 (with VAT recovered), the net yield is about 6.3%. If the VAT cannot be recovered, the cost rises to AED 3,270,000 and the net yield falls to about 6.0%, before voids, letting fees and fit-out.
None of these numbers is a forecast. A tower handing over in 2031 earns nothing for about five years, and the rent it achieves then depends on how much new Grade-A space completes in Business Bay, Downtown and DIFC in the meantime. Savills’ flat Q2 2026 reading suggests rent growth is levelling off. Read our Dubai office market analysis and the general guide to rental yield and ROI.
Sources: JLL Q2 2026 office data via Arabian Business and Gulf Business; Savills Dubai office research. Rents are averages, not guaranteed returns. The AED 200 per sq ft rent and the AED 3,000,000 price are hypothetical.
Personal Name or Company, Corporate Tax and the Golden Visa
Buying through a company. Many office buyers want the title in a company, either because the business will occupy the office or to hold several assets together. The DLD accepts only certain entities, such as UAE mainland companies and some free zone, DIFC and ADGM entities. A company incorporated abroad cannot hold Dubai title directly. Our guide to buying Dubai property through a company lists the accepted routes and documents.
Corporate Tax. Dubai has no annual property tax. But an office held by a company, or rented out as part of a business, can bring the rent and any gain into UAE Corporate Tax. There are also elections, such as deemed depreciation for investment property held at fair value, that can change the result. See UAE Corporate Tax and investment property and ask a tax adviser how your structure is treated before you buy.
Golden Visa. Property worth AED 2 million or more can support an application for the UAE 10-year Golden Visa, and an office can qualify. The criteria for off-plan property, mortgaged units and joint ownership change from time to time, so confirm the current rules for your case. Our ویزای طلایی page explains the property route, and TruHauz can check eligibility before you reserve.
Six Risks to Price In Before You Buy
These are specific to buying an office, especially off-plan. None is a reason not to buy, but each should be reflected in the price you are willing to pay.
Check the developer’s delivery record and the SPA’s grace period and delay remedies. A tower that is the developer’s first office or first supertall deserves extra scrutiny.
If 50% falls due at handover and a bank declines to lend, you must find the cash or sell. Plan the funding before you sign, not in 2031.
Today’s low vacancy may not last. Several Grade-A towers in Business Bay and on Sheikh Zayed Road are due to complete around the same time.
Offices can take longer to let than apartments, and you pay the service charge while it is empty. Allow for a few months of void each time a tenant leaves.
Fewer buyers shop for offices than for homes, and full floors have a smaller buyer pool again. Smaller units in a well-known building are usually easier to sell.
Service charges are estimates until approved, and VAT recovery is not automatic. For branded towers, ask for the brand terms in writing.
Two New Office Towers on Sheikh Zayed Road
Both are freehold Grade-A towers registered in Business Bay with handover expected in 2031. Neither developer has published prices; ask us for the current price list.
Christian A. Rockefeller Business Tower
An 87-storey, 372 m office tower with 332 offices from 1,077 sq ft to full floors of about 13,400 sq ft, five amenity levels and a 50/50 payment plan with VAT spread across the instalments.
Berkeley Tower by Ellington
A G+60 tower beside Business Bay Metro Station with 109 offices, from 1,132 sq ft to full floors of 12,182 to 12,507 sq ft and a 21,873 sq ft duplex on levels 54 and 55. The plan is 70/30 with 20% at booking.
Images are developer renders. For ready offices and other launches, see our Business Bay office for sale و Sheikh Zayed Road offices guides.
Get the Rockefeller Tower floor plans and price list
We will send the floor-plan brochure, current availability and a cost sheet for the unit you choose. No cost, no commitment.
Buying an Office in Dubai: Frequently Asked Questions
Short answers to the questions office buyers ask us most.
Buying an Office? Start With the Numbers
TruHauz is a RERA-registered Dubai brokerage. Tell us your budget, size and whether you will occupy or lease, and we will shortlist offices with the full cost, payment schedule and a realistic yield.
به بحث بپیوندید