Page 171 - SOBHA REALTY PR REPORT - JULY 2024

It’s been a long journey to the 135 in operation today, but Tuaima believes there is
definitely space for more due to population growth and the hot climate.

Tuaima says that a mall’s location, size and ability to target the right customer base will
obviously have an impact on its success, with individual centres’ performances varying
across the city and time.

But occupancy is high across the board, Tuaima says. ValuStrat data shows top-rated
malls by Emaar Properties and Majid Al Futtaim securing 97 and 96 percent occupancy
in 2023, respectively.

According to CBRE, average retail rents in Dubai rose 10.5 percent the first three
months of this year over the same period in 2023 amid the “supply-and-demand
imbalance”.

And then there’s the climate.

“For Dubai, and the Gulf in general, being under air conditioning for shopping, dining, if
you are a family with kids and there is some sort of a place for them to play, is really
crucial, because you're looking at four to six months of hot weather,” says Tuaima.

https://www.agbi.com/analysis/retail/2024/07/does-dubai-need-more-malls-the-people-say-yes/