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Retail Rents to Drop in Dubai Related to E-Commerce Growth

Written by: Editor

Retail-Rents-to-Drop-in-Dubai-Related-to-E-ommerce.jpgThe e-commerce has recently met a significant growth in numerous areas of interests, a strong reason why retailers with shops in the biggest malls in Dubai can negotiate the rental prices. This comes as a natural process because the online shopping addresses to a particular category of clients, which is continuously increasing, as the numbers say. If you want to establish your business presence on the Arabian market and you need complete information and legal advice in this matter, we suggest you get in touch with our lawyers in Dubai. Our team is ready to explain the laws regarding the taxation in the UAE, among many other legal aspects.
 

Negotiate the new terms for businesses in Dubai

 
The e-commerce activity is definitely part of evolution and makes no exception in Dubai. On the contrary, the phenomenon encountered significant growth in the last years, making retailers to adjust their businesses in Dubai. For the beginning, there are chances for sellers to renegotiate the terms of the rental prices with the landlords in Dubai. This is not a concern for owners of rented locations because numerous retailers are still attracted by the potential of the market in the UAE and continue to establish their presence here. We remind that if you want to open a company in Dubai and need assistance in this matter, you may solicit help and legal advice from our attorneys in Dubai.
 

Consider the operating costs in Dubai

Retailers are definitely in the position of reconsidering the operating costs if the businesses tend to be successful on the internet, therefore, a change in this matter is more that welcomed. The competition gets tight and mall operators will come with new terms and conditions related to the rental prices. Although e-commerce in the UAE is set for the moment at 2.6% of total retail sales, it is expected to significantly grow in the years to come, and if the operating costs in this important sector will be lower compared the ones involved in a physical store, the landlords in Dubai will need to decrease the rental prices if they don’t want to lose important clients.

The Mall of Emirates and the Dubai Mall are preferred by luxurious brands worldwide which already have stores here and also a strong presence in the e-commerce business.

 
If you want legal services for your company in Dubai, we recommend you to get in touch with our law firm in Dubai for complete assistance.

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