Emaar Square Whole Building for Sale in Downtown Dubai, AED 930 Million Freehold with 7.3% Gross Yield and 40% Rental Gap

Investment Overview

A whole building sale of Emaar Square, a Grade A freehold commercial office building in Downtown Dubai developed by Emaar Properties. The building comprises a Ground floor and 8 upper floors with a total area of 223,466 square feet. The asking price is AED 930,000,000, equating to approximately AED 4,162 per square foot. The building is fully operational and currently generates approximately AED 68,000,000 per year in rental income, producing a gross yield of 7.3% and a net yield of 6.6% after operating expenses. The agent identifies a 40% rental gap between passing rents and the Estimated Rental Value (ERV), with a reversionary yield of 10.24% upon stabilisation.

Investment Highlights

• Asset: Emaar Square, Grade A commercial building by Emaar Properties
• Location: Downtown Dubai (freehold)
• Ownership: freehold, eligible for GCC nationals and foreign investors
• Total area: 223,466 sq ft (Ground + 8 Floors)
• Asking price: AED 930,000,000 (AED 4,162 per sq ft)
• Current rental income: approximately AED 68,000,000 per year
• Operating expenses (2025): AED 6,703,980
• Net operating income: approximately AED 61,296,020
• Gross yield: 7.3%
• Net yield: 6.6%
• Rental gap: approximately 40% below ERV
• Reversionary yield: 10.24% (agent-stated, upon stabilisation at ERV)
• Parking: 508+ dedicated spaces (1 per 440 sq ft)

Income and Yield Analysis

The building currently generates approximately AED 68,000,000 per year in rental income from active office and retail tenants. The 2025 operating expenses are AED 6,703,980, comprising AED 5,610,740 in service charges and AED 1,093,240 in other building management costs. This produces a net operating income (NOI) of approximately AED 61,296,020.

At the asking price of AED 930,000,000, the gross yield is 7.3% and the net yield is 6.6%. These figures represent the income from current passing rents.

Rental Reversion Opportunity

The agent states the building has an approximate 40% rental gap between current passing rents and the Estimated Rental Value (ERV). This means existing tenants are paying rents that are approximately 40% below what the market would support at current rates. As leases expire and are renewed at market levels, the rental income has potential to increase substantially.

The agent projects a reversionary yield of 10.24% upon full stabilisation at ERV. At the asking price, this implies a stabilised income of approximately AED 95,232,000 per year. The timeline and achievability of this reversion depend on the lease expiry profile, tenant retention, market conditions at renewal, and the cost of any tenant incentives or fit-out contributions required to achieve market rents.

Buyers should request the full Estimated Rental Value assessment, the lease expiry schedule for all tenants, and the assumptions underlying the 10.24% reversionary yield before incorporating these projections into their investment model.

Parking

The building benefits from more than 508 dedicated parking spaces across two levels: the Basement and the Lower Ground Floor. These spaces are exclusively for building tenants. The parking ratio is approximately 1 space per 440 square feet of leasable area, which the agent describes as one of the strongest parking ratios in Dubai for a commercial building. In the Downtown Dubai context, where parking is at a premium, a strong parking ratio is a meaningful differentiator for tenant attraction and retention. Visitor parking is located on the Ground Floor and managed by Green Parking Company.

Freehold Ownership

Emaar Square is held on a freehold basis. Downtown Dubai is one of Dubai's most established freehold zones. Both GCC nationals and foreign investors are eligible to acquire the property, making the asset accessible to international institutional capital.

Below Market Classification

This listing is classified as Below Market based on the yield and rental reversion profile. No original purchase price or dated comparable transaction has been supplied. The classification rests on two observations: the current net yield of 6.6% for a Grade A Emaar commercial tower in prime Downtown Dubai is competitive; and the 40% rental gap to ERV suggests the asset is priced at a significant discount to its income potential. However, neither observation has been independently verified. Buyers should commission an independent RICS valuation and review comparable commercial building transactions in Downtown Dubai.

Related Listing Note

DistressPropertyFinder.com also carries an off-market listing for an unnamed Grade A Emaar commercial tower in Downtown Dubai at AED 875,000,000 (reference DPF-20260826-EMAAR-COMM-DTN-088). The similar building size (approximately 223,000 sq ft), annual income (AED 68-69 million), developer (Emaar) and location (Downtown Dubai) suggest these listings may represent the same physical asset at different price points from different agents. Buyers should clarify with the respective selling agents whether these are the same or different buildings before proceeding.

About Emaar Square

Emaar Square is a commercial office building in Downtown Dubai developed by Emaar Properties. The building is situated in a prime position with excellent road and metro access. It serves as office and retail space with an active tenant base. The Emaar brand on a commercial building in Downtown Dubai provides institutional-grade credibility for tenants and investors.

About Downtown Dubai

Downtown Dubai is a 490-acre mixed-use development anchored by Burj Khalifa, Dubai Mall and the Dubai Fountain. The district is Dubai's central business and tourism hub and one of the most recognisable addresses in the Middle East. The area is served by the Burj Khalifa/Dubai Mall Metro Station on the Red Line and is connected to Sheikh Zayed Road, Financial Centre Road and Al Khail Road. Downtown Dubai offers Grade A office space, premium retail, luxury hotels and high-density residential towers.

Due Diligence Recommendations

Given the AED 930,000,000 transaction value, DistressPropertyFinder.com recommends prospective buyers undertake: an independent RICS valuation; a full tenancy schedule with rent levels, lease terms, rent review mechanisms, break clauses and expiry dates; the ERV assessment and the methodology behind the 40% rental gap and 10.24% reversionary yield; a current rent roll reconciled against Ejari records; an occupancy history covering 3 to 5 years; verification of the 2025 operating expenses against audited accounts; a building condition survey; title deed verification and ownership structure review; confirmation of freehold status and any encumbrances; comparable commercial sales in Downtown Dubai; and legal review by qualified commercial real estate counsel.

Verification Notes

The asking price, building name (Emaar Square), total area (223,466 sq ft), structure (Ground + 8 Floors), freehold status, current rental income (~AED 68M), 2025 operating expenses (AED 6,703,980 including AED 5,610,740 service charges), 40% rental gap, 10.24% reversionary yield, parking count (508+), parking ratio and freehold eligibility are sourced from the agent brief received on 26 August 2026. The gross yield (7.3%), net operating income (~AED 61,296,020) and net yield (6.6%) are calculated by DistressPropertyFinder.com. The ERV, rental gap and reversionary yield have not been independently verified. This listing may correspond to an earlier off-market listing on DPF at a different price point. All figures should be treated as unverified agent statements pending buyer due diligence.