Dubai CommerCity Is Nearly 96% Full. Now It Is Adding 91,000 sqm
Dubai CommerCity says occupancy has reached nearly 96% and e-commerce parcel shipments increased 152% over the past year. It is responding with more than AED1.8 billion in expansion projects adding over 91,000 square metres, but most of that new capacity will arrive between 2027 and 2028.
Dubai CommerCity is nearly 96% occupied and has announced more than AED1.8 billion of expansion adding over 91,000 square metres, with delivery stretching from 2027 into 2028.
Dubai CommerCity has a fairly straightforward reason for expanding: it says it is running out of room.
Occupancy across its office, logistics and retail space has reached nearly 96 percent.
The digital-commerce free zone is now preparing more than AED1.8 billion of Phase Two development that will add over 91,000 square metres of new capacity.
But this is an expansion pipeline, not 91,000 square metres that companies can occupy today.
Delivery stretches into 2028
The new projects are scheduled across phases beginning in the first quarter of 2027 and extending through the fourth quarter of 2028.
Business Cluster buildings will include shell-and-core offices, fitted spaces and plug-and-play options.
The Social Cluster will add retail, food and service space.
The Logistics Cluster adds a different type of infrastructure.
The Hive is being built around smaller logistics units
A new 5,600-square-metre logistics facility called The Hive will contain 181 flexible units starting from five square metres.
It will also include climate-controlled fulfilment areas, digitally managed loading and unloading zones, last-mile facilities and electric-vehicle charging.
That model is aimed at digital-commerce businesses that may need fulfilment capacity without taking a conventional large warehouse.
The parcel number is growing faster than the cargo number
Dubai CommerCity says the number of e-commerce parcels shipped increased by 152 percent over the past year.
Cargo volumes processed through its DCC Way transit platform increased by 14 percent during 2025.
Those figures measure different parts of the operation and should not be treated as interchangeable growth rates.
Together, however, they help explain why logistics capacity is part of the next phase.
Digital commerce still needs a lot of physical infrastructure
Online retail is often described as a software or platform business.
The customer experiences a website, app and payment interface.
Behind that interface sit storage, customs processing, packing, loading zones, cooling, delivery fleets and returns.
CommerCity's expansion is a reminder that growth in digital commerce can translate directly into demand for physical industrial and office space.
High occupancy is evidence of demand, not future lease commitments
The current 96 percent occupancy rate relates to existing CommerCity space.
It does not establish that all 91,000 square metres of the next phase are already pre-leased.
The public announcement does not disclose pre-commitment levels for the new buildings.
That will be a useful measure as delivery approaches.
What Arabian Current is watching
Watch pre-leasing, completion timing, utilisation of The Hive and whether parcel and cargo volumes continue rising as the new capacity comes online.
The strongest evidence will be whether the expansion fills as quickly as the existing free zone did.
Existing office, logistics and retail capacity had reached near-full occupancy as parcel and cargo activity increased.
Phase Two will add new business, social and logistics facilities, including the 181-unit Hive logistics building.
The next evidence will be pre-leasing, construction delivery and utilisation of the new logistics and office capacity.
Show the record behind the claim.
Claims stay source-linked, with limits recorded.
WAM reports the investment amount, occupancy level, 91,000-plus square metres of new capacity, Hive specifications and parcel and cargo growth.
Material reporting is designed to retain the evidence behind the published claim.
Companies, regulators and projects can link back to persistent records.
Automation can assist discovery and extraction; publication authority remains editorial.
Open the evidence record.
1 linked sourceSupport + limitations recorded.
01Core evidenceDubai CommerCity launches AED1.8 billion expansion to accelerate future commerce, digital economy growth
Emirates News Agency
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Dubai CommerCity launches AED1.8 billion expansion to accelerate future commerce, digital economy growth
Emirates News Agency
Confirms the expansion value, delivery window, occupancy, new space, Hive specifications and parcel and cargo growth.
Does not disclose Phase Two pre-leasing levels or tenant commitments.
The story keeps moving.
Track construction milestones, pre-leasing, delivery dates, parcel growth and occupancy of the new space.
Reporting with a visible evidence trail.
Arabian Current reporting is built around human editorial authority, source-linked claims and visible evidence trails.