Dubai’s F&B landscape is shifting. Where international chains once dominated, local, home-grown concepts are increasingly leading consumer preference and redefining retail destinations.
The shift is impacting strategies for both landlords and tenants; local brands are no longer secondary players, but key drivers of footfall, engagement, and long-term asset value.
A decade ago, securing a prime retail space in Dubai was almost exclusive to well-established global F&B brands. Today, the playing field has changed, with Dubai recently ranking second only to Paris as the best global city for food – surpassing culinary giants such as New York, London and Tokyo.
The shift has been driven by three key factors:
- Evolving consumer preferences - Dubai’s residents and visitors now favor unique, culturally connected dining experiences over generic chain offerings. Millennials and Gen Z, in particular, look for brands with a strong narrative, ethical sourcing, and a digital-first approach while - according to a 2024 Euromonitor report - 60% of UAE consumers expressed a preference for healthier food options. This coupled with an increasing spotlight on sustainable practices, has seen local brands capitalize on perceived perceptions of quality and freshness from locally sourced ingredients and benefit from their ability to quickly adapt to these consumer trends.
- Government support for home-grown businesses – Policies encouraging local SME growth and efficiencies coupled with a greater ease in business licensing have enabled Dubai-based brands to scale at an unprecedented rate.
- A demand for differentiation - In a competitive retail landscape, landlords are curating tenant mixes more strategically than ever, recognizing that local brands bring authenticity, innovation, and customer loyalty that global franchises sometimes lack.
This shift has paved the way for brands like SALT, Home Bakery, Pit Fire, Saddle Café, ASMA, 3 Fils, Reif Japanese Kushiyaki, Common Grounds and Blu Pizzeria; once niche concepts but now major players – and rapidly expanding - in Dubai’s F&B scene.
What this means for Landlords
Historically, landlords prioritized global names for brand recognition and leasing stability. But with changing consumer expectations, destinations that fail to adapt risk losing relevance.
Increasingly, landlords are incorporating home-grown brands as anchor tenants, recognizing their ability to enhance destination appeal by adding authenticity and a sense of place to their developments. Consumers are actively drawn to locally inspired experiences, which not only drive foot traffic but also foster stronger customer loyalty, increasing repeat visits and dwell times. At the same time, a good mix of local and international F&B brands strengthens overall leasing demand and improves tenant retention, as unique, community-driven concepts create deeper engagement. As a result, prime retail developments are now strategically rebalancing their F&B offering, ensuring a dynamic mix that aligns with evolving consumer expectations while maximizing asset performance.
The opportunity for tenants
For local brands, this shift presents significant opportunities but also intensifies competition when it comes to leasing space. Securing prime retail space now requires clear differentiation and strong operational fundamentals. The most successful home-grown concepts are those that adapt quickly to evolving consumer preferences, using their agility and innovation to stay ahead of trends. Many leverage digital-first marketing strategies, particularly social media, to build customer loyalty and brand awareness without the need for massive advertising budgets. Recent stats from Research Gate showed that restaurants that actively engage on social media see a 20% increase in customer engagement and foot traffic, making digital presence a critical factor for success.
Aligning with consumer demand for sustainability, locally sourced ingredients has become a key factor in driving appeal. However, while the market is increasingly receptive to home-grown brands, landlords continue to prioritize creditworthiness and scalability when selecting tenants. Those that can demonstrate strong business fundamentals and long-term viability are best positioned for growth and expansion in what is a rapidly changing landscape. Looking Ahead: The Future of F&B in Dubai’s Retail Market
We’re going to see the momentum behind local F&B brands continue to accelerate, and both landlords and tenants must adapt. As consumer expectations continue to evolve, several key trends will shape the next phase of growth
- Experiential Dining –Immersive, interactive food experiences are becoming more important, with research showing that consumers are more likely to make a purchase when brands offer personalized experiences. A study by Eventbrite found that 78% of millennials would rather spend money on a memorable experience than on physical items. Additionally, social media plays a pivotal role in shaping dining decisions, with 70 percent of UAE residents consulting platforms for restaurant recommendations.
- Ghost Kitchens & Omnichannel Growth – In the UAE, the ghost kitchen market is projected to reach $820 million by 2030 according to a report from Coherent MI, and local brands will continue to scale through delivery-first models alongside physical outlets. Additionally, ghost kitchens can reduce overhead costs by 30-40%, making them an attractive option for new entrants.
- Sustainability as a Standard – With the sustainable food market reaching $150 billion by 2025 - according to data from the Environment-Friendly and Sustainable Food Market Report 2025 - and an increasing emphasis on sustainable practices by the UAE government, eco-conscious operations will be a requirement, not a bonus. • Landlords as Curators – The most successful retail spaces will blend global and local brands, ensuring diversity and destination appeal. For landlords, this means rethinking traditional leasing strategies and recognizing the value of authenticity and innovation in their tenant mix. For tenants, it means capitalizing on the growing demand for local dining and ensuring they have the right strategies in place to scale.
