The rapid growth in the tourism sector and increase in investments in the construction activities in the U.A.E. are some of the major factors that are positively impacting the demand for facility management services in the country. Some of the trends, such as service outsourcing; usage of artificial intelligence (AI) for heating, ventilation, and air conditioning (HVAC) optimization; and energy monitoring; are also boosting the demand for facility management services in the U.A.E. Owing to these factors, the U.A.E. facility management market is expected to generate $39,680.8 million revenue by 2030, advancing at a CAGR of 10.8% during the forecast period (2021–2030).
On account of the coronavirus pandemic, the U.A.E. facility management market had witnessed a decline in 2020. The government-imposed travel bans and restrictions on movement within the country, in order to curtail the spread of the virus. Hence, this created a negative impact on the facility management sector, owing to the shutdown of malls, shopping complexes, and mosques, which require cleaning and security services on a regular basis.
On the basis of service, the U.A.E. facility management market is categorized into property, cleaning, security, catering, support, environmental management, and others. Among these, the property category held the largest revenue share in 2020, and it is expected to witness the same trend in coming years. This is due to the requirement of property services in keeping facilities in their prime condition, and also extreme climatic conditions in the country increase the demand for the services in industrial and commercial facilities. Furthermore, rising infrastructural growth rate has propelled the need for various property services, such as mechanical and electrical maintenance, and HVAC maintenance, in the country.
On the basis of end user, the U.A.E. facility management market is categorized into business and corporate, public administration, industry & manufacturing, hospitality, healthcare, construction, education, and others. Out of these, the business and corporate end user witnessed the highest demand for facility management services in 2020. This is attributed to the high investments being made by different companies to increase their business in the country. Moreover, high requirement for procurement services and other related services, such as renting & contract management, from businesses and corporates, which include commercial spaces, drives the market growth in this category.
Players in the U.A.E. facility management market have been strongly focusing on winning large-scale client projects, in order to stay ahead of their competitors. For instance, in February 2021, Emrill Services LLC was awarded a three-year facility management contract by Arada Developments LLC, a developer based in the U.A.E. The scope of the contract includes mechanical electrical and plumbing (MEP), HVAC, lifeguard, housekeeping, and specialist services for several locations within Arada's master community, Aljada, including the Aljada Discovery Centre.
Similarly, in September 2020, Farnek Services LLC, a U.A.E.-based facility management firm, signed a three-year contract with Dubai Developments, to manage a number of facilities in Dubai, including four main properties from Dubai Developments’ extensive portfolio covering retail, residential, and commercial properties.
Etisalat Facilities Management LLC, Transguard Group LLC, Imdaad LLC, Blue Diamond Facilities Management LLC, Reliance Facilities Management, Deyaar Development PJSC, Engie Cofely, Al Shirawi Facilities Management LLC, AG Facilities Solution LLC., EFS Facilities Services Group Limited, Tafawuq Facility Management LLC., Adeeb Electrical & Electronic Services Co. LLC, and Ejadah Asset Management Group LLC are some other major players operating in the U.A.E. facility management market.