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UAE retail expansion boosts demand for facilities management

Industry expected to reach $10.53 billion by 2029

The UAE retail sector is growing at 5 per cent annually, driven by various factors, including the expansion of the construction sector, increasing demand for facility management services in commercial and residential buildings, and the rising number of industrial projects across the country. Additionally, the emphasis on green building practices and smart city initiatives increases the demand for sustainable facility management solutions.

“This growth aligns with the overall expansion of our industry, estimated to be $7.62 billion in 2024 and expected to reach $10.53 billion by 2029, growing at a CAGR of 6.68 per cent. Therefore, the outlook for the retail facility management sector is promising, with significant growth expected in the coming years,” Graham Easton, UAE General Manager, ENGIE Solutions, said.

Retail facility management (FM) in the UAE and GCC has seen major technological advancements, Easton said. “IoT sensors, along with IOT gateways integrated with smart platforms, optimize comfort, while AI-integrated HVAC systems adjust to real-time occupancy and constantly monitor the performance of AC systems. Perhaps the most significant evolution has been the shift from reactive & preventive to proactive maintenance approaches, driven by AI-powered predictive maintenance with data analysis used in strategies and planning,” he added.

Additionally, platforms enabled with AI and machine learning technologies help facility managers enhance efficiency and responsiveness, transforming retail space management. “These innovations are evident in mega-malls and shopping complexes, where smart systems control energy use and customer comfort,” Easton said.

Integrating Building Information Modeling (BIM) technology has transformed how the Gulf’s retail destinations are managed. “By creating comprehensive digital twins of retail complexes, BIM enables rapid, data-driven decisions for everything from store layouts to maintenance schedules. This technology proves particularly valuable for the GCC’s cross-border retail operations, where remote maintenance capabilities allow centralized teams to monitor and manage facilities across multiple countries,” Easton said.

With the help of smart platforms integrated with IOT sensors as well as on-premise BMS, modern retail spaces facilitate efficient energy management with advanced HVAC control logics adapting to occupancy and conditions. “This shift to predictive maintenance enhances efficiency, reduces costs, and improves service quality across locations,” Easton said.