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Dubai CommerCity plans AED 1.8 billion expansion with 91,000 square metres of new space

1 min read

Modern logistics and office buildings in a Dubai free zone at dusk, with delivery vans in the loading yard Free Zones
Modern logistics and office buildings in a Dubai free zone at dusk, with delivery vans in the loading yard

The e-commerce free zone will add offices and logistics space in two phases, due in early 2027 and late 2028, after DIEZ zones reported 96% occupancy in the first half.

Dubai CommerCity, the free zone for digital commerce developed by the Dubai Integrated Economic Zones Authority (DIEZ) and Wasl Properties, will invest more than AED 1.8 billion in an expansion adding more than 91,000 square metres of space, Gulf News reported on 4 October 2026.

The project covers the free zone's three clusters: Business, Logistics and Social. The first phase is scheduled for the first quarter of 2027 and the second for the fourth quarter of 2028. Phase two includes The Hive, a 5,600 square metre vertical logistics building in the Logistics Cluster, designed to make more use of a small footprint for online-retail fulfilment.

DIEZ said its three zones, Dubai Airport Freezone, Dubai Silicon Oasis and Dubai CommerCity, were 96% occupied in the first half of 2026. The number of companies operating across them rose 13% year on year and their combined workforce grew 24%. At the Dubai Technology Entrepreneur Campus, new company registrations rose 57%, and registrations of AI-focused companies rose 95%.

"This expansion reflects growing investor confidence in Dubai and its ability to anticipate the needs of the new economy," said Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DIEZ. He linked the project to the Dubai Economic Agenda D33.

For companies selling online into the Gulf, more space in a dedicated e-commerce zone means more choice of offices and warehouses near Dubai International Airport. With occupancy already high, firms planning to set up in 2027 or 2028 may want to ask early about pre-leasing in the new phases.

Sources