Retail · 2026
What does a shop in Dubai really rent for?
158 registered 2026 retail leases. Fair rent bands by location, what a 1,000 sq ft shop costs, and what tenants, landlords and investors should do now.
- Retail vacancy
- 4.7%
- Dubai, down from 8.0% a year ago (JLL, Q2 2026)
- Prime mall rent
- AED 849
- Per sq ft a year (JLL, Q2 2026)
- New retail leases
- −26%
- H1 2026, while renewals held (Cavendish Maxwell)
Tight at the top, cautious underneath
Dubai retail vacancy fell to 4.7% from 8.0% a year ago, and prime mall space rents for AED 849 per sq ft a year. Underneath, new retail leases fell 26% in the first half of 2026 while renewals held, and renewals now cost more per sq ft than new leases: AED 257 against AED 234 (Engel & Völkers, H1 2026). Rents are still up on the year but flat on the quarter. Occupiers are staying put and asking for more.
Fair rent bands by location
| Location | Low | Typical | High |
|---|---|---|---|
| Palm Jumeirah | 333 | 454 | 606 |
| Business Bay podiums | 271 | 311 | 554 |
| Dubai Hills Estate | 158 | 272 | 429 |
| Dubai Marina | 189 | 246 | 274 |
| JVC | 180 | 229 | 292 |
| JVT | 149 | 230 | 276 |
| Arjan | 173 | 213 | 213 |
| Port de La Mer, Jumeirah | 94 | 136 | 191 |
AED per sq ft a year. Low and high are the middle half of registered 2026 shop and F&B leases; typical is the median. Business Bay, Palm and Port de La Mer rest on 5–9 leases each. Malls (JLL): prime super-regional 849, super-regional 236, regional 126.
What a 1,000 sq ft shop costs a year
| Location | Typical annual rent |
|---|---|
| Palm Jumeirah | AED 454k |
| Business Bay podium | AED 311k |
| Dubai Hills | AED 272k |
| Dubai Marina | AED 246k |
| JVT | AED 230k |
| JVC | AED 229k |
| Arjan | AED 213k |
| Port de La Mer | AED 136k |
Typical registered rent. Add service charges, fit-out and licensing before comparing locations.
Smaller units pay a higher rate
| Unit size | Median AED per sq ft a year |
|---|---|
| Under 400 sq ft | 448 |
| 400–800 sq ft | 244 |
| 800–1,500 sq ft | 240 |
| 1,500–3,000 sq ft | 201 |
| 3,000 sq ft + | 270 |
Median across 158 registered 2026 leases.
Kiosks let at nearly double the per-sq-ft rate of standard shops. Budget on total rent, not the rate.
For tenants: five moves before you sign or renew
- Get a relocation quote before you renewRenewals now cost more per sq ft than new leases.
- Ask for fit-out support and flexibilityLandlords are agreeing capex contributions and flexible terms case by case (JLL).
- Taking several units? Negotiate as oneOperators are doing it in JVC, Arjan and Dubai Marina.
- Look at community and secondary centresThat is where demand and deals are shifting.
- Read past the headline on long leasesNew podiums often set high rents with incentives off the registered figure.
For landlords: five moves to cut void periods
- Price to the band, not the headlineAsking above the top of your location's band lengthens voids.
- Offer structure before discountsStepped rents, fit-out support and flexibility win deals without cutting rent.
- Protect your renewalsNew leasing fell 26% while renewals held. A good tenant is worth more than a rent bump.
- Curate F&B and experiencesThey drive footfall and dwell time for every tenant (JLL).
- Know the supply comingNew shopfronts will compete for your tenants, below.
Where new shopfronts are coming
| Area | Off-plan units per unit let today |
|---|---|
| JVT | 7.2× |
| JVC | 1.5× |
| Dubai Marina | 0.7× |
| Arjan | 0.4× |
| Dubai Hills | 0.2× |
| Palm Jumeirah | 0.1× |
| Downtown | ~0× |
DXB Interact commercial inventory, September 2026. Includes some offices and hotel apartments.
Above 1× means more units are coming than are let today: more choice for tenants, and more competition for landlords when the towers hand over.
For investors: income or scarcity, pick one
| Area | Indicative gross yield | Why |
|---|---|---|
| JVC | ~11% | Biggest off-plan pipeline |
| Dubai Marina | ~10% | Balanced supply; waterfront podiums hold rent |
| Arjan | ~10% | Prices up 48% in a year |
| JVT | ~10% | Thin data and 7× supply: underwrite at long-lease rents |
| Dubai Hills | ~5% | Prices up 118%: you are buying scarcity, not income |
Gross yield on registered rents.
Retail property sales reached AED 3.8bn in H1 2026, up 177% (Cavendish Maxwell).
Sources: Dubai Land Department Ejari data via DXB Interact (158 new 2026 shop and F&B leases; inventory and sales, Sept 2026); JLL UAE Retail Market Dynamics Q2 2026; Cavendish Maxwell H1 2026; Engel & Völkers H1 2026. Market commentary, not a valuation or investment advice. Looking for retail? See what I cover.