Dubai CommerCity commits AED1.8 billion to expansion's second phase
The second phase adds more than 91,000 square meters across the free zone's Business, Logistics and Social clusters, with handovers from early 2027 to late 2028.
Karim El-Sayed Karim El-Sayed covers company news, policy and regulation across the UAE and wider MENA for Anecdoted, with a focus on how new rules and licences reshape how startups operate. karim@anecdoted.com
Dubai CommerCity will spend more than AED1.8 billion on the second phase of its expansion, a programme that runs from the first quarter of 2027 to the fourth quarter of 2028. The free zone, dedicated to digital commerce businesses, plans to add more than 91,000 square meters of new space.
That area is divided among three clusters: Business, Logistics and Social. Each does a different job. Offices house the companies that register in the zone, the logistics space moves goods in and out, and the social space serves the people working in both.
The build-out rests on demand for space that already exists. Occupancy across Dubai CommerCity's current office, logistics and retail areas has reached nearly 96%.
Six office buildings, delivered in two waves
The Business Cluster accounts for six new office buildings, offered in three formats: shell-and-core, fully fitted, and plug-and-play layouts that tenants can occupy without fitting the space out themselves. Handover is split in two. The first wave arrives in the first quarter of 2027, the second in the first quarter of 2028.
Delivery schedule
- First quarter of 2027: first wave of Business Cluster buildings.
- First quarter of 2028: second wave of Business Cluster buildings.
- First quarter of 2027 through fourth quarter of 2028: full delivery window for the phase.
The Hive and the Social Cluster
In the Logistics Cluster, the free zone is building The Hive, a 5,600-square-meter vertical logistics facility. It will hold 181 flexible units, climate-controlled fulfillment areas, loading zones managed through digital systems, and space for last-mile delivery operations.
The Social Cluster adds retail units, restaurants, cafes and service outlets — the amenities that support the offices and warehouses around them.
Parcels and cargo
Dubai CommerCity reported that e-commerce parcels shipped from the zone rose 152% over the past year. Cargo volumes processed through DCC Way, its transit platform, increased 14% in 2025.
The chairman of the Dubai Integrated Economic Zones Authority, which co-owns the free zone, tied the spending to investor appetite.
"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," said H.H. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of the Dubai Integrated Economic Zones Authority (DIEZ).
Dubai CommerCity is a joint venture between DIEZ and Wasl Group.
