By Parag Deulgaonkar www.emirates247.com
The flight to quality continues in Dubai’s office market, but corporates are looking at two other factors: proximity to a Metro station and availability of car parking.
“A continuing trend remains the ‘flight to quality’, with a number of companies relocating from older buildings and secondary locations towards prime areas and higher quality buildings,” Jones Lang LaSalle said in its Q4 2013 report on Dubai real estate market.
It further added that two aspects of location – proximity to a Metro station and car parking availability – were becoming increasingly important to occupiers.
A two-tier market was evident within locations such as Business Bay and Jumeirah Lakes Towers (JLT).
Prime rents (for best buildings) in Business Bay rose by 21 per cent year-on-year (yoy) and five per cent quarter-on-quarter.
Rents in JLT remained stable in the last quarter, having jumped 75 per cent increase yoy.
The increase was however limited to the best quality buildings that have been able to capitalise on JLT’s Metro access and free zone status, the report said. More info