Dubai's real estate market is becoming more competitive with increased supply and selective demand, especially for quality commercial spaces. Abu Dhabi saw continued residential project delivery in Q2 2026 but a slowdown in new launches, with limited prime office space supporting rents. Sharjah's residential segment is seeing accelerated launches, though overall rental and sales performance have softened, similar to Ras Al Khaimah, with infrastructure improvements expected to boost residential appeal. Al Ain experienced stable rents quarter-on-quarter with positive annual growth, attributed to its domestic market and limited commercial availability.

Dubai's real estate market is becoming more competitive with increased supply and selective demand, especially for quality commercial spaces. Abu Dhabi saw continued residential project delivery in Q2 2026 but a slowdown in new launches, with limited prime office space supporting rents. Sharjah's residential segment is seeing accelerated launches, though overall rental and sales performance have softened, similar to Ras Al Khaimah, with infrastructure improvements expected to boost residential appeal. Al Ain experienced stable rents quarter-on-quarter with positive annual growth, attributed to its domestic market and limited commercial availability.

Dubai's real estate market is becoming more competitive with increased supply and selective demand, especially for quality commercial spaces. Abu Dhabi saw continued residential project delivery in Q2 2026 but a slowdown in new launches, with limited prime office space supporting rents. Sharjah's residential segment is seeing accelerated launches, though overall rental and sales performance have softened, similar to Ras Al Khaimah, with infrastructure improvements expected to boost residential appeal. Al Ain experienced stable rents quarter-on-quarter with positive annual growth, attributed to its domestic market and limited commercial availability.

Going by the latest report by Colliers International, a global investment management firm, Dubai real estate market has turned increasingly competitive with surge in supply while buyers and tenants became more selective. There is also high demand for top quality space across key commercial locations, added the report.

On the other hand, realty market in Abu Dhabi saw continued delivery of residential projects during the second quarter of 2026, says the report. However, it points out that new project launches have come to a snail's pace.

This comes after a period of rapid growth in the UAE capital in the previous months. Limited Grade A availability in prime business districts of Abu Dhabi continues backing the rental performance, according to the report.

Sharjah's realty sector is marked by accelerated launch activities in the residential segment. Most of these are reported in subsequent phases within established master-planned communities, according to the Colliers report.

Like Abu Dhabi, rental and sales performance have slowed down in Sharjah and Ras Al Khaimah after a period of extensive growth. The report suggests that investments in rail, road and regional infrastructure is expected to boost long-term appeal of residential locations.

Al Ain has witnessed no marked changes in its residential, office and retail rents quarter-on-quarter during Q2. But the annual growth rate was positive. This is mainly attributed to Al Ain's predominantly domestic occupier base and limited availability across commercial hubs, added the report.

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