Dubai CommerCity is moving ahead with a second phase of expansion worth more than AED 1.8 billion, with delivery scheduled between the first quarter of 2027 and the fourth quarter of 2028.
The free zone, a joint venture between the Dubai Integrated Economic Zones Authority (DIEZ) and Wasl Group, says occupancy across its office, logistics, and retail spaces has reached nearly 96%, a figure the partners cite as the primary driver behind the expansion.
The new phase will add more than 91,000 square metres across Dubai CommerCity’s three districts: the Business Cluster, Logistics Cluster, and Social Cluster.
The Business Cluster will see six new buildings offering shell-and-core offices, fully fitted workspaces, and plug-and-play options. The first batch is scheduled for delivery in Q1 2027, the second in Q1 2028. The Social Cluster expansion covers retail outlets, restaurants, cafés, and services, aimed at creating what the developers describe as an everyday environment suited to how digital-economy companies operate.
The most distinctive addition sits within the Logistics Cluster: a 5,600 square metre facility called The Hive, built on a vertical design to maximise space efficiency. It will offer 181 flexible units from 5 square metres, along with 24/7 climate-controlled fulfilment areas, digitally managed loading bays, dedicated last-mile delivery facilities, and EV charging stations. The facility is being built to LEED certification standards.
“Phase Two of Dubai CommerCity comes at a time when Dubai continues to demonstrate its ability to grow and expand despite the changes and challenges facing the global economy. Guided by the vision of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, the emirate has built a development model founded on resilience, competitiveness, and continuous innovation, enabling it to anticipate and capitalise on opportunities emerging across the global economy,” Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DIEZ said in a statement.
“This expansion reflects the growing investor confidence in Dubai’s economic ecosystem and its ability to attract high-quality investments while providing an advanced economic infrastructure that responds to rapid shifts in emerging sectors. It aligns with the objectives of the Dubai Economic Agenda, D33, and further strengthens the emirate’s position as a global hub for the digital economy and future commerce, while serving as a platform for companies to grow and expand across regional and international markets,” he added.
The partners also pointed to operational data to support the case for expansion. Over the past year, the number of e-commerce parcels shipped through Dubai CommerCity increased by 152%, while cargo volumes processed through the DCC Way transit platform grew by 14% during 2025.
“The second phase of Dubai CommerCity’s expansion represents a strategic step in strengthening Dubai’s position as a leading global hub for digital commerce and technology, while responding to the growing demand from businesses operating across these sectors. It reflects Dubai’s continued commitment to translating its economic ambitions into strategic projects and enabling infrastructure that support business growth, strengthen the wider digital economy, and enhance the competitiveness of companies operating from Dubai. This phase also underscores the importance of the strategic partnership between DIEZ and Wasl in developing an integrated destination that brings together advanced infrastructure and services that support the growth of the business community while enabling companies to expand, while accessing regional and global markets from Dubai,” Dr. Mohammed Al Zarooni, Executive Chairman of the Dubai Integrated Economic Zones Authority, and Chairman of the Board of Dubai CommerCity further explained.
“The second phase of Dubai CommerCity’s expansion reflects the strength of the strategic partnership between Wasl and DIEZ in developing integrated projects that support Dubai’s long-term economic ambitions. As demand continues to grow across digital commerce, technology, and logistics sectors, this expansion will provide the advanced infrastructure and business environment required for companies to establish, grow, and access regional and global markets from Dubai. This project further reinforces the objectives of the Dubai Economic Agenda, D33. Through developments such as Dubai CommerCity, we continue to create future-ready assets that support economic growth, enhance competitiveness, and deliver long-term value for businesses, investors, and the wider economy,” Hesham Abdulla Al Qassim, Vice Chairman and Group CEO of Wasl Group added.
