Brookfield and Alshaya Bet Big on Dubai Hills with 480,000 sq ft Mixed‑Use Scheme

A major joint venture reshapes real estate UAE prospects

Brookfield and Kuwait’s Alshaya Group have agreed to form a real estate joint venture to develop a 480,000-square-foot (about 44,600 sq m) mixed-use commercial asset in Dubai Hills. The project will include offices, residential units and retail space, and Alshaya has said it will locate its new UAE office on the site and open stores for some of its brands.

That short press line is the start of something that matters for the property market in the UAE. As investors and buyers, we should pay attention to who is building what, where they put their offices and stores, and how those moves change demand for housing, retail and office leasing in Dubai.

Quick facts up front

• Project size: 480,000 sq ft (~44,600 sq m)
• Partners: Brookfield (Canada) and Alshaya Group (Kuwait)
• Location: Dubai Hills, Mohammed Bin Rashid City
• Brookfield regional activity: Created a $1 billion JV with Abu Dhabi’s Lunate in May 2025; manages $16 billion in assets across private equity, real estate and infrastructure
• Alshaya footprint: Opened first UAE store in 1985; operates over 700 stores in the UAE; 70 brands in 4,000 stores across 18 countries; Starbucks franchise: 2,000 stores in 17 countries

What the deal actually is

The parties agreed to set up a joint venture that will develop a 480,000 sq ft mixed-use commercial asset in Dubai Hills. Brookfield Properties will act as development and real estate manager for the venture. Alshaya will place its new UAE corporate office within the development and will occupy retail space for some of its brands.

The announcement did not disclose the project cost or construction timeline. That omission matters. When a lead developer or investor keeps capex and schedule confidential, buyers, tenants and financers have less to work with when assessing risk and timing.

Why this matters for real estate UAE investors and buyers

This is more than another development headline. In my view, the deal is a convergence of three threads that are reshaping Dubai property markets:

• Institutional capital flowing into the region. Brookfield’s continued deal-making shows global funds are hunting for yield and scale in the Gulf.
• Retail operators anchoring mixed-use schemes. Alshaya’s decision to place its new UAE office and retail in the complex creates an in-house demand engine and tenancy credibility.
• Dubai Hills remains a premium masterplanned node where occupier demand can be concentrated.

For investors, those dynamics offer both an opportunity and a warning. Opportunity: mixed-use assets can capture multiple income streams — residential sales, office leasing, retail rent — which smooths returns. Warning: a complex of this scale relies on good pre-letting or strong off-plan sales to mitigate development risk; with cost and schedule undisclosed, the risk allocation is unclear.

Alshaya’s role: a major occupier and retail landlord

Alshaya is not a passive tenant. The group has been in the UAE since 1985 and now runs over 700 stores in the country. Globally, Alshaya operates 70 brands across 4,000 stores in 18 countries, and its Starbucks franchise counts 2,000 stores in 17 countries.

What this means for the asset:

• Built-in demand: Alshaya’s tenancy reduces initial leasing risk for retail space and adds footfall value for adjacent residential and office components.
• Retail mix control: As both developer and major occupant, Alshaya can shape the tenant mix to favor brands that complement each other and drive consistent customer traffic.
• Corporate HQ gravity: Hosting Alshaya’s new UAE office creates weekday density, which helps office-to-retail synergy, and can boost food, leisure and convenience retail trades.

I am cautious though. When a dominant partner also occupies significant space, the asset’s performance becomes correlated to that partner’s fortunes. Retail trends can shift; a corporate decision to downsize or relocate could leave large vacancies.

Brookfield’s push in the Gulf: scale and strategy

Brookfield’s involvement signals institutional acceptance of Dubai’s long-term fundamentals. The company manages $16 billion in assets across private equity, real estate and infrastructure and has been active in the region: a $1 billion joint venture with Abu Dhabi’s Lunate in May 2025 targeted residential development, and the firm has been linked to acquisitions including talks on a five-star property on Palm Jumeirah.

Brookfield’s strengths:

• Development expertise: acting as development and real estate manager gives investors confidence in delivery capability.
• Capital access: large-scale projects require deep pockets and lending relationships that Brookfield has.
• Portfolio logic: Brookfield tends to cluster assets in growth corridors which can drive economies of scale across leasing, marketing and property management.

Still, scale is not risk-free. Larger institutional investors often expect returns that depend on efficient delivery and stable leasing markets. Delays, cost inflation or a soft office market would push returns down.

Dubai Hills context: why the location matters

Dubai Hills is a masterplanned community jointly developed by Emaar and Meraas in Mohammed Bin Rashid City. It has become a focal point for residential and commercial development because of planned infrastructure, parks and a mix of housing types.

Location strengths:

• Proximity to central Dubai nodes and major road arteries
• High-profile masterdeveloper involvement which attracts end buyers and occupiers
• Amenity-led design that supports higher rents and sale prices for certain product types

Market caution: Dubai sees a steady stream of new product. Even strong submarkets can experience pricing pressure when supply outpaces demand for a period. For this project, the mix of office, residential and retail will be critical to balance absorption across cycles.

Market implications: office, retail and residential dynamics

What this JV means for the three main commercial property pillars in Dubai:

Office

• A new, institutional-quality office stock in Dubai Hills will compete with established towers and new suburban office blocks.
• Alshaya’s HQ anchors demand for high-quality floorplates.