Tecom Group, a leading developer of sector-focused business districts in Dubai, said it has broken ground on the AED442 million ($120 million) Innovation Hub Phase 2 Project, which will add more than 355,000 sq ft space at Dubai Internet City amid high demand for commercial real estate in the emirate.

 

Tecom is expanding its leasing portfolio to capture the increasing demand in Dubai's commercial real estate market underpinned by the emirate's economic development and the government's pro-growth strategies.

 

The Innovation Hub Phase 2 expands the group's assets with two high-end office buildings, four boutique offices, retail spaces and more than 800 parking spaces. 

 

To be completed by 2024, the Innovation Hub Phase 2 will provide specialised tech offices at Dubai Internet City amid high demand for commercial real estate in Dubai.

 

Launched in 2018, the Phase 1 of the Innovation Hub is almost at full capacity, providing tech giants like Google, Hewlett-Packard, Gartner and China Telecom a base in the region. 

 

With additional stages in the pipeline, the completed Innovation Hub project is expected to add more than 1.2 million sq ft of space for technology, education and new media businesses of all sizes to the Group's portfolio.

 

The new investment underscores Tecom's commitment to expanding and tailoring its portfolio to emerging sector needs and attracting global companies, said the company in a statement. 

 

It will offer customers high-quality commercial office properties, state-of-the-art office spaces and HQs tailored to customer specifications, it stated.

 

Group CEO Abdulla Belhoul said: "Tecom remains a pillar for Dubai's business hub proposition. New regulatory frameworks and the ease of doing business are accelerating economic growth and reinforcing investor and business confidence. We're seeing the success of our leadership's economic diversification strategy reflected in our commercial and industrial real estate portfolio performance this year due to an influx of new companies and talent."

 

"Across our portfolio, existing customers are expanding their operations, complemented by an inflow of new foreign investment. Bespoke solutions like the Innovation Hub address the need for high-quality commercial spaces, helping strengthen Dubai's position as an attractive global business and talent hub, noted Belhoul.

 

"It also cements Tecom Group as the emirate's largest commercial real estate owner and our key role in driving innovation and business growth development in Dubai," he added.

 

Ammar Al Malik, Executive Vice President – Commercial Leasing, Tecom Group, said: "Dubai's pursuit of a knowledge and innovation economy relies on a robust technology framework. For more than 20 years, Dubai Internet City has provided the necessary infrastructure and environment where the complete tech community can converge."

 

"Ready-to-use facilities like our Innovation Hub enable customers to hit the ground running. Expanding our district's commercial offering to cater to the Emirate's growing business appetite will enrich our global community with innovation-driven brands and talent," he added.