Dubai CommerCity Launches AED 1.8 Billion Expansion Adding 91,000 Square Metres to Digital Commerce Free Zone

Dubai CommerCity announced on October 4, 2026, that it will invest more than AED 1.8 billion in a second phase of expansion, delivering the project between the first quarter of 2027 and the fourth quarter of 2028, according to Dubai Media Office and multiple outlets. The expansion will add more than 91,000 square metres of office, logistics and retail space across the free zone's Business, Social and Logistics clusters, with the Business and Social clusters accounting for 86,000 square metres of new space. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Integrated Economic Zones Authority, said the expansion comes as Dubai continues to grow despite global economic challenges.

The free zone, a joint venture between the Dubai Integrated Economic Zones Authority and Wasl Group, has reached nearly 96 per cent occupancy across its existing office, logistics and retail spaces, driving the need for expansion. Over the past year, e-commerce parcels shipped through the free zone increased by 152 per cent, while cargo volumes processed through the DCC Way transit platform grew by 14 per cent during 2025.

The expansion offers companies operating in digital commerce and technology additional capacity at a time when Dubai is positioning itself as a regional hub for e-commerce and cross-border trade. The phased delivery schedule means availability will be staggered — businesses planning to establish or expand operations in the free zone face a timeline extending into late 2028 for full completion, which may constrain options for firms seeking immediate space. Occupancy near full capacity also signals that companies outside the current tenant base will compete for limited availability until the new buildings come online.

Sources

Dubai Media Office, "Dubai CommerCity launches AED1.8 billion expansion to accelerate future commerce and digital economy growth," October 4, 2026, mediaoffice.ae The National, "Dubai to expand CommerCity in push for digital economy growth," October 4, 2026, thenationalnews.com Arabian Business, "Dubai CommerCity plans $490m expansion as occupancy nears 96 per cent," October 4, 2026, arabianbusiness.com Economy Middle East, "Dubai CommerCity launches $490.1 million expansion adding 91,000 sqm as occupancy hits 96 percent," October 5, 2026, economymiddleeast.com