Corporate treasury: Why investing in Dubai real estate appeals to executives

Dubai, a real estate market that is both dynamic and secure

Dubai has established itself as one of the best‑performing real estate markets of the last decade. Its international appeal – driven by tourism, business and expatriation – maintains a constant rental demand .

Each year, the city welcomes millions of visitors and foreign residents.
This dynamic creates a solid foundation for short and medium term rentals, particularly via Airbnb , Booking or local hotel management platforms.

The most sought‑after areas, such as Dubai Marina , Downtown , Palm Jumeirah or Bluewaters Island , offer high occupancy rates all year round .
In these areas, net rental yields generally range between 6 and 8% , with higher peaks for quality properties and premium locations.
A level of profitability that is difficult to achieve in Europe, especially after taxes and expenses.

A virtually non‑existent corporate tax system

Dubai's main advantage for professional investors lies in its ultra‑competitive tax system .
No property tax, no tax on rental income or on capital gains upon resale reduces the performance of a property.

Thus, the income generated by the rental is entirely received by the company , without local tax deductions.
This particularity allows for a net effective return much higher than that of assets held in Europe, where property taxation is constantly becoming more stringent.

Even foreign companies can hold property in Dubai through a dedicated structure (SPV or local company) to optimize asset ownership and management, while remaining compliant with international rules.

Potential for increased value supported by urban growth

Besides rental profitability, the potential for capital gains in the medium term constitutes a second major lever.
The city is experiencing sustained population growth and is pursuing ambitious infrastructure projects: metro extension, new business hubs, eco‑districts, marinas and high‑end residential areas.

Areas like Dubai Hills , Creek Harbour , and Palm Jebel Ali regularly see value increases of 10% to 30% in just a few years . This appreciation boosts the overall performance of investments over a 3- to 7‑year horizon.

Dubai also benefits from a stable economic policy, a transparent legal environment and a secure ownership system for foreign investors - three essential guarantees for a company seeking to invest its cash reserves sustainably.

Example of an investment: a concrete and measurable operation

• Property type: 1‑bedroom apartment in Dubai Marina

• Purchase price: AED 900,000 (≈ €225,000)

• Financing: up to 70% via local banks

• Annual rental income (short‑term rentals): ≈ €35,000

• Net return after management: 6 to 8%

• Potential capital gain over 5 years: +20% to +30% depending on the market

This type of investment, which is simple to manage, can be handled entirely remotely .
Local management companies handle leasing, property upkeep and maintenance, allowing the owning company to track its revenue via a digital dashboard.

A strategic opportunity for companies with available cash.

Holding excess uninvested cash exposes a company to currency depreciation and a lack of return. By directing a portion of these funds towards real estate in Dubai, managers transform dormant capital into a productive and tangible asset .

Unlike fixed‑income financial products, Emirati real estate combines rental performance, appreciation potential, and protection against inflation . It also provides welcome geographical diversification in the face of volatile European markets.

Furthermore, real estate investment in Dubai can be part of a corporate asset strategy, allowing the company to enhance the value of its assets while preparing, in the long term, for professional or personal use (residence for executives, offices, accommodation for partners).

A market designed for international investors

Dubai authorities have made it easier for non‑residents to own property: electronic signatures, online payments, accessible bank financing and digitized transfer procedures.

Property management services offer fully delegated management , ensuring rigorous monitoring of revenue, bookings, and costs. This streamlined approach appeals to companies seeking a profitable investment without administrative burdens.

Conclusion: Dubai, a smart investment to boost corporate cash flow

Investing company cash in real estate in Dubai means transforming low‑yield capital into a profitable, flexible and internationally recognized asset .
The market combines high net return, neutral taxation and strong liquidity , in a stable and investor‑friendly political environment.

For a company wishing to diversify its assets and protect its cash flow over the long term, Dubai represents today one of the most relevant markets in the world - at the crossroads of performance and security.