The UAE Facility Management Market is expected to grow at a CAGR of around 9% in the forecast period of 2021-26, says MarkNtel Advisors in their research report. The facility management services include project management, maintenance support, occupancy & space management, etc. The market growth has been astronomical for the past few years. It owes to the rapid industrialization & urbanization across the UAE. Moreover, the surge in government investments in the development of transport, energy, & construction sectors shall also drive the market during 2021-26.
In 2020, there was a massive decline in spending on facility management services due to the Covid-19 pandemic. However, Dubai Expo 2021 holds promising growth opportunities for the market in the coming years. In contrast with Saudi Arabia, the UAE government is trying to diversify its economy from the conventional crude oil sector to the non-oil sector. Further, the real estate companies in the UAE are entering the facility management industry, which is a crucial aspect expected to contribute to the overall market growth.
Moreover, the integration of IoT & robotics into facility management services is further expected to offer lucrative opportunities to the leading players in the facility management market across the UAE. Moreover, the mounting number of construction activities in the country is also likely to surge the demand for facility management services in the coming years, further states the research report. “UAE Facility Management Market Analysis, 2021.”
Hard Facility Management Services Dominate the UAE Facility Management Market
Among all types, Hard Facility Management services acquired the largest market share in 2020. These services are related to the physical structure of the building. The increasing infrastructural developments and the mounting demand for HVAC systems across the country are driving the Hard Facility Management Market.
The establishment of new hospitals in the country due to the spread of Covid-19 has resulted in the surging demand for HVAC systems, thereby boosting the need for Hard facility management services in the forecast period. For instance:
Further, with the rapid expansion of the construction industry, the need for cleaning services is rapidly increasing, which further fuels the overall market growth. Over the past few years, the demand for soft facility management services is gaining significant traction in Dubai. Over 6,300 residential units in Dubai got completed in Q2 2019. Moreover, the residential supply in the region is projected to stretch to 659,000 by the end of 2021.
With Increasing Number of Construction Projects, Dubai Acquired the Largest Share of the UAE Facility Management Market
Among all the regions of UAE, Dubai captured the largest share of the UAE Facility Management Market. It is due to the increasing number of construction projects, which, in turn, is expected to fuel the demand for facility management services. These projects include Dubai Metro Red Line extension, the Container Terminal 4 (Jebel Ali Port) expansion, and Royal Atlantis Resort & Residences (Palm Jumeirah).
Further, Dubai Expo 2021 is expected to provide lucrative opportunity for the construction industry to grow. The rapid expansion of construction industry is projected to fuel the demand for facility management services, reveals MarkNtel Advisors in their research report, “UAE Facility Management Market, 2021.”
According to MarkNtel Advisors, the leading players in the UAE Facility Management Market include EMRILL Services LLC, Imdaad L.L.C., Farnek Services LLC, EFS Facilities Management Services, COFELY BESIX Facility Management, Khidmah LLC, Al Shirawi Facilities Management LLC, Interserve, Etisalat Facilities Management LLC, and Enova Facility Management Services LLC.
Key questions answered in the study