By Mr. Porush Jhunjhunwala, Founder and CEO of Banke International Properties
Dubai’s transformation into a global business and investment destination has been driven by far more than its real estate sector. Positioned at the intersection of Asia, Europe, Africa and the Middle East, the emirate has established itself as a strategic gateway for international trade and commerce. Combined with modern infrastructure and a business-friendly regulatory environment, this evolution has significantly strengthened Dubai’s commercial real estate market, making it an increasingly attractive proposition for global investors.
Indian investors have played a pivotal role in Dubai’s property market for years and continue to be the largest group of foreign buyers in the UAE. Their participation has grown steadily, reflecting rising confidence in the market. Industry estimates suggest that Indians accounted for nearly 23 per cent of all foreign residential property transactions in the UAE. In 2025 alone, investments from Indian buyers were valued between AED 37 billion and AED 41 billion, equivalent to approximately Rs 85,000 crore to Rs 95,000 crore, underscoring the growing scale of cross-border capital flows.
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The investment approach of Indian buyers, however, is beginning to evolve. While residential properties have traditionally dominated their portfolios, an increasing number of investors are now allocating capital to commercial real estate. According to Mr. Porush Jhunjhunwala, Founder and CEO of Banke International Properties, this shift reflects a more mature investment strategy centred on recurring rental income, institutional-grade assets and long-term wealth preservation.
Several structural factors continue to reinforce Dubai’s appeal. The UAE dirham’s peg to the US dollar offers currency stability, while the Golden Visa programme has encouraged many affluent Indian families to regard Dubai not only as an investment destination but also as a long-term base for business expansion, relocation and wealth creation. This changing outlook is prompting investors to diversify beyond residential ownership into income-generating commercial assets.
Dubai’s commercial property market has also benefited from a supportive business ecosystem. Transparent regulations, investor-friendly policies, competitive taxation and simplified company formation have strengthened its position as a preferred destination for multinational corporations. The emirate’s extensive network of free zones, many of which permit 100 per cent foreign ownership, has further accelerated business activity across multiple sectors.
The strength of this ecosystem is evident in the Dubai International Financial Centre (DIFC), which has become one of the region’s leading financial hubs. The centre currently hosts more than 8,800 active companies, including over 1,050 regulated financial firms and the regional headquarters of more than 290 banks and capital market institutions. In addition, more than 500 wealth and asset management firms, including over 100 hedge funds, operate from DIFC.
Several Indian companies have established a presence within DIFC, including ASK Asset & Wealth Management Group (Wealth Management), Nagarro, Bharat Re Global Ltd, El Dorado Capital Ltd, Beacon Insurance Brokers, Fort Capital, Mahindra Insurance Brokers and Nuvama Wealth and Investment Ltd. Their presence reflects the growing demand from international occupiers and reinforces Dubai’s standing among the world’s leading financial centres.
Beyond DIFC, Dubai’s major office districts have developed specialised business ecosystems. Business Bay has emerged as one of the city’s largest corporate hubs, attracting multinational companies and professional services firms. Downtown Dubai combines premium office developments with one of the world’s most recognisable commercial addresses, while Dubai Internet City continues to serve as a key technology cluster for global technology companies and innovation-driven enterprises.
These developments have strengthened investor interest in Grade A commercial properties. Prime office buildings, business parks, logistics facilities and mixed-use developments now provide exposure to high-quality tenants, longer lease agreements and institutional-grade assets. Supported by Dubai’s role as a regional centre for trade, finance, aviation and technology, these properties offer investors access to rental income, currency stability linked to the US dollar, transparent leasing practices, comparatively straightforward regulations and relatively seamless capital repatriation.
Another factor attracting investors is the competitive return profile of Dubai’s commercial assets. Well-located properties can generate risk-adjusted yields that compare favourably with Grade A commercial developments in major Indian cities. While India’s premium office markets continue to remain attractive, increasing competition and higher acquisition costs have made Dubai an appealing alternative. Growing demand from multinational occupiers, extended lease tenures and institutional-quality tenants contribute to more stable and predictable income streams.
According to Jhunjhunwala, Dubai is increasingly becoming an important diversification destination for Indian high-net-worth individuals (HNIs) and family offices. Investing in dirham-denominated commercial assets enables investors to reduce concentration risk while gaining international exposure within a market that many Indian investors are already familiar with. For businesses operating across the Gulf region, commercial property investments can also complement broader regional expansion strategies.
The logistics and industrial segments are also attracting greater investor attention. Dubai’s strategic position as one of the world’s leading trade and trans-shipment hubs, supported by Jebel Ali Port, Al Maktoum International Airport and integrated logistics corridors, continues to generate demand for warehousing, fulfilment centres and industrial facilities. As global supply chains evolve and e-commerce activity expands, these asset classes are becoming increasingly significant within institutional investment portfolios.
The changing investment pattern also reflects a broader evolution in investor behaviour. Rather than focusing primarily on capital appreciation or residency-linked benefits, Indian investors are placing greater emphasis on tenant quality, lease structures, occupancy levels, building standards and location fundamentals when evaluating overseas commercial opportunities.
Jhunjhunwala believes this trend benefits both markets. Indian investors gain access to international diversification, stronger rental income potential and participation in a globally connected commercial real estate market, while Dubai further strengthens its economic ties with one of its largest trading partners and expatriate communities.
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He also notes that, like any investment destination, Dubai’s commercial real estate market requires careful assessment of asset quality, tenant profile, lease agreements, location dynamics and broader market cycles. Investors should also evaluate factors such as currency exposure, repatriation regulations and local legal frameworks. With thorough due diligence and a long-term investment horizon, however, these considerations remain manageable and do not represent structural barriers to cross-border investment.
According to Jhunjhunwala, the broader investment narrative is clear: Dubai is no longer viewed solely as a destination for property ownership but is increasingly emerging as a strategic market for building long-term exposure to commercial real estate.
