United Arab Emirates Co-working Space Market Size (2024 - 2029)

UAE Co-working Space Market Analysis

The United Arab Emirates Co-working Space Market size is estimated at USD 73.80 million in 2024, and is expected to reach USD 105.75 million by 2029, growing at a CAGR of 7.46% during the forecast period (2024-2029).

• The UAE co-working space market is in its growth stage. According to a 2021 research study conducted by Tide, a UK-based business financial platform, the United Arab Emirates had only 1.74 co-working spaces per 100,000 persons. As per Coworker, an online marketplace listing co-working spaces worldwide, the United Arab Emirates stands at a total of 176 spaces.
• Dubai has been slow to adapt to the new co-working trend, primarily due to its restrictive regulatory framework and complex licensing regime. The majority of the Emirate's large free zones currently offer their flex-space solutions and have placed restrictions on third-party operators entering these key markets, thereby limiting the growth of this sector.
• COVID-19 significantly impacted the market, including the United Arab Emirates. The demand for shared office spaces dropped throughout the lockdown. Huge businesses canceled flexible office memberships to save on costs.
• While some co-working space operators remained open for business, they were mandated to adhere to safety and social distancing measures, which considerably impacted the space allocated for occupants within a shared location.
• However, post-pandemic, businesses are finding ways to avoid big-ticket spending and huge financial commitments. This factor, in turn, may drive the demand for pre-built corporate spaces and lease flexibility. The rising number of SMEs and start-ups across various industries is likely to be one of the key factors for the growth of co-working spaces during the forecast period.

UAE Co-working Space Industry Segmentation

Co-working spaces refer to working arrangements in which people from different teams and companies come together to work in a single shared space. Co-working space is characterized by shared facilities, services, and tools. Sharing infrastructure in this way helps spread the cost of running an office across members. The UAE co-working space market size indicates the revenue generated by co-working space companies in the country.

The report covers a complete background analysis of the UAE co-working space market, which includes an assessment of the sector and contribution of the sector to the economy, market overview, market size estimation for key segments, key developments and emerging trends in the market segments, market dynamics, and key statistics.

The UAE co-working space market is segmented by type (new spaces, expansions, and chains), by application (information technology [IT and ITES], legal services, BFSI, consulting, and other services), end user (small to medium-sized enterprises [SMEs] and large-scale corporations), and geography (Abu Dhabi, Dubai, Sharjah, and Other Cities). The report offers the market size and forecasts in value (USD million) for all the above segments.