Dubai’s TECOM Group Starts Work On Its Innovation Hub Phase 2, Set To Be Completed By 2024

Dubai’s TECOM Group has broken ground on its Innovation Hub Phase 2 development, which is expected to add more than 355,000 sq. ft. of space for technology, education, and new media businesses in Dubai Internet City.

The expansion is the result of the fact that its Innovation Hub Phase 1 is approaching total capacity, which has been credited to Dubai’s legislative framework and ease of doing business attracting a high volume of international companies and investors.

“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,” said Abdulla Belhoul, CEO of TECOM Group. “Bespoke solutions like the Innovation Hub strengthen Dubai’s position as an attractive global business and talent hub. This 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.”

Image courtesy TECOM Group.

Launched in 2018, the first phase of the Innovation Hub is home to 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 square feet of space for technology, education and new media businesses of all sizes to the group’s portfolio.

TECOM Group’s Q3 2022 financial performance reflected the upward trend in the commercial real estate market. Revenue came in at AED490 million, increasing 12.48% year on year (YoY), driven by rising occupancy levels across the portfolio, especially for office, warehouse, and worker accommodation. The Innovation Hub Phase 2 expands TECOM Group’s assets with two high-end office buildings, four boutique offices, retail spaces and more than 800 parking spaces.

“For more than 20 years, Dubai Internet City has provided the necessary infrastructure and environment where the complete tech community can converge,” said Ammar Al Malik, Executive Vice President – Commercial Leasing, TECOM Group. “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.”