Market Size of United Arab Emirates Facility Management Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 7.62 Billion |
Market Size (2029) | USD 10.53 Billion |
CAGR (2024 - 2029) | 6.68 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
UAE Facility Management Market Analysis
The United Arab Emirates Facility Management Market size is estimated at USD 7.62 billion in 2024, and is expected to reach USD 10.53 billion by 2029, growing at a CAGR of 6.68% during the forecast period (2024-2029).
The main things that are driving the need for facility management in the UAE are the growing number of tourist-oriented railways, airports, transit facilities, hotels, etc., and the strict rules about safety, cleanliness, and hygiene in the UAE.
- Facility management services across Dubai, Abu Dhabi, Sharjah, Ras Al Khaimah, Umm al Quwain, and Ajman have matured, with infrastructure development projects rising across the United Arab Emirates for economic growth. Furthermore, the growing concentration of facility management service providers in the regions has further affected the companies' bottom lines. The surging emphasis on green building practices is increasing the demand for facility management in the United Arab Emirates. The country's government is also concentrating on smart cities, with plans to digitize up to 1,000 government services and establish 2,000 Wi-Fi hotspots.
- Moreover, green buildings require FMs to efficiently manage air quality, energy usage, water consumption, and waste. Low operating costs, low maintenance costs, low development costs, a healthier indoor environment, and enhanced durability are the characteristics of a green building. Owing to the increasing demand for sustainable facility management solutions, market players in the region significantly improved their offerings and gained opportunities to showcase them further.
- Furthermore, Dubai's strategic location between Europe and Asia serves the East and the West, offering optimum trading conditions for the Emirate. To facilitate trade and e-commerce operations, Dubai has executed various crucial initiatives to develop its technology and infrastructure to implement an excellent logistics infrastructure and a well-integrated transport system. Since e-commerce as a whole is growing quickly, and warehouses are being built quickly in the country, the demand for facility management services is also going up.
- However, the increasing stringency of labor laws and immigrants compensating with the workforce hampered market growth.
- With the outbreak of COVID-19, the UAE Facility Management Market witnessed a growth decline. Also, it affected the profits and liquidity of businesses by increasing procurement expenses and capital costs while simultaneously forcing customers to defer purchases, thus reducing the income of facility management companies.
UAE Facility Management Industry Segmentation
Facility management (FM) consists of multiple disciplines to influence organizations' efficiency and productivity, including the management of building upkeep, utilities, maintenance operations, waste services, security, etc.
The United Arab Emirates Facility Management Market is segmented by Services (Hard Services, Soft Services), by Type (Inhouse, Outsourced (Single, Bundled, Integrated FM)), by End-user (Commercial & Retail, Manufacturing & Industrial, Government, Infrastructural & Public Entities, Institutional) and by Cities. The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
By Services | |
Hard Services | |
Soft Services |
By Type | |||||
Inhouse | |||||
|
By End-user | |
Commercial and Retail | |
Manufacturing and Industrial | |
Government, Infrastructure, and Public Entities | |
Institutional | |
Other End-users |
By Cities | |
Abu Dhabi | |
Dubai | |
Rest of United Arab Emirates |
United Arab Emirates Facility Management Market Size Summary
The UAE facility management market is poised for significant growth, driven by the increasing demand for services across various sectors such as tourism, transportation, and commercial real estate. The market is experiencing a surge in infrastructure development projects, particularly in major cities like Dubai and Abu Dhabi, which are pivotal for economic expansion. The emphasis on safety, cleanliness, and hygiene, coupled with the government's focus on smart city initiatives and green building practices, is further propelling the demand for facility management services. The strategic location of Dubai, serving as a trade hub between Europe and Asia, along with the rapid growth of e-commerce and logistics, is also contributing to the market's expansion. Despite challenges such as stringent labor laws and the impact of COVID-19, the market is expected to recover and grow, supported by technological advancements and sustainable practices.
The competitive landscape of the UAE facility management market is characterized by the presence of both domestic and international players, with companies like EFS Facilities Services Group, Imdaad LLC, and Enova Facilities Management Services LLC leading the charge. Partnerships and technological innovations, such as those seen with ServeU LLC and Farnek, are enhancing service offerings and operational efficiencies. The market is also witnessing a trend towards outsourcing and the adoption of smart technologies, which are expected to drive further growth. Government initiatives promoting clean energy and waste management are aligning with the market's trajectory towards sustainability. As the region continues to recover from the pandemic, the demand for facility management services is anticipated to rise, supported by strategic investments and infrastructure developments.
United Arab Emirates Facility Management Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness - Porter's Five Forces Analysis
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1.2.1 Bargaining Power Of Suppliers
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1.2.2 Bargaining Power Of Buyers
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1.2.3 Threat Of New Entrants
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1.2.4 Threat Of Substitutes
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1.2.5 Intensity Of Competitive Rivalry
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1.3 Base Indicator Analysis
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1.3.1 Construction Activities In United Arab Emirates
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1.3.2 Expansion Of Key International FM Services
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1.3.3 Major Contracts Awarded In Key Cities
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1.4 Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Services
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2.1.1 Hard Services
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2.1.2 Soft Services
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2.2 By Type
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2.2.1 Inhouse
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2.2.2 Outsourced
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2.2.2.1 Single
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2.2.2.2 Bundled
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2.2.2.3 Integrated FM
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2.3 By End-user
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2.3.1 Commercial and Retail
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2.3.2 Manufacturing and Industrial
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2.3.3 Government, Infrastructure, and Public Entities
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2.3.4 Institutional
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2.3.5 Other End-users
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2.4 By Cities
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2.4.1 Abu Dhabi
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2.4.2 Dubai
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2.4.3 Rest of United Arab Emirates
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United Arab Emirates Facility Management Market Size FAQs
How big is the United Arab Emirates Facility Management Market?
The United Arab Emirates Facility Management Market size is expected to reach USD 7.62 billion in 2024 and grow at a CAGR of 6.68% to reach USD 10.53 billion by 2029.
What is the current United Arab Emirates Facility Management Market size?
In 2024, the United Arab Emirates Facility Management Market size is expected to reach USD 7.62 billion.