Dubai Chamber discusses leasing commercial space in Dubai

Representatives from Jones Lang LaSalle (JLL)- specialized in real estate services and investment management- and Trench & Associates- specialized in legal consultancy- were invited to give presentations to an audience of small and medium-sized businesses on market trends and legal aspects of leasing commercial space in Dubai.

Stephanie Selier, Associate at Trench & Associates stressed the utmost importance of obtaining proper legal advice and input to a tenancy agreement prior to its signature to ensure that the parties are adequately protected.

Craig plumb, Head of Research at JLL pointed out that Dubai office market has shifted in the tenants' favor over the past 6 months as rentals have declined by an average of 40%.

"For the first time, tenants have a significant choice of space, with the overall vacancy level having increased from less than 5% to over 20% in the face of high levels of recent completions, coinciding with a period of subdued tenant demand,"

Plumb added.

JLL's presentation indicated that with rental rates having fallen to more competitive levels, leasing commercial rental space in Dubai is witnessing a renewal of interest. This is due to the fact that many companies decided that the current period is the ideal time to explore cost savings or upgrade to newer, better quality premises.

The event provided an opportunity for discussion and exchange of experiences. The participants raised concerns on real estate issues facing their businesses and discussed possible solutions to the obstacles they are encountering in their businesses.

Dr. Belaid Rettab, Senior Executive Director, Economic Research and Sustainable Business Development Sector at Dubai Chamber stated that the roundtable organized by Dubai Chamber's Business Development Department is part of the Chamber's efforts to create a favorable business environment in Dubai through awareness raising on matters affecting businesses in the Emirate.

Rettab added that the aim of the roundtable series is to provide a platform for dialogue amongst experts and businesses to aid the business community in making informed decisions on their business activities which in return lead to the economic development of Dubai.