Research

UAE Cap Rates — Institutional Yield Benchmarks Across Commercial Real Estate Sectors

Cap rate and yield benchmarks across UAE commercial real estate sectors, providing institutional investors with comparable transaction data.

Institutional View

Cap rates are the primary metric for institutional investment decision-making. This report provides current cap rate benchmarks across UAE commercial real estate sectors and submarkets, enabling investors to evaluate relative value and track yield trends.

Capital Role

Preservation, income and optionality

Investor Fit

Family offices, funds and sovereign capital

Competitive Advantages

Structural Advantages

Comprehensive coverage across all UAE CRE sectors

The advantage is relevant where it improves risk-adjusted returns, tenant quality, liquidity or long-term capital protection.

Transaction-based data from proprietary market intelligence

The advantage is relevant where it improves risk-adjusted returns, tenant quality, liquidity or long-term capital protection.

Regular updates reflecting current market conditions

The advantage is relevant where it improves risk-adjusted returns, tenant quality, liquidity or long-term capital protection.

Clear methodology and data sourcing transparency

The advantage is relevant where it improves risk-adjusted returns, tenant quality, liquidity or long-term capital protection.

Global Comparison

Positioning Against Global Alternatives

MarketInstitutional Comparison
UAE Cap RatesUAE cap rates offer significant yield premium over developed markets, reflecting growth potential and market maturation. Office 6-8% versus 3-4% in London/Singapore.

Family Office Perspective

Multi-Generational Capital Considerations

  • Benchmark data for portfolio valuation and performance monitoring
  • Relative value analysis for asset allocation decisions
  • Market context for acquisition and disposition timing

Investor Implications

How To Use This Page

  • Use reported cap rates as benchmarks, not absolutes
  • Adjust for asset-specific factors (tenant quality, lease structure, location)
  • Track trends over time for market timing insights

FAQ

Frequently Asked Questions

What are current cap rates for UAE office assets?

Prime office in DIFC/Downtown Dubai: 6-7%. Secondary office: 7-9%. Abu Dhabi prime: 6.5-8%.

What are current cap rates for UAE industrial assets?

Prime logistics in Jebel Ali: 7-8%. Grade A industrial: 8-10%. Secondary industrial: 10-12%.

How often are cap rate benchmarks updated?

Benchmarks are updated quarterly based on transaction data and market intelligence.

Private Advisory

Access Cap Rate Data

Speak with Murivest about accessing current UAE cap rate benchmarks and transaction data.