The UAE commercial real estate industry will continue to witness “soft” demand in 2017, Invest-Gate reports.

The market activity is limited by slow oil price recovery, regional economic uncertainty, and lower foreign sentiment, according to a report from London-based research firm BMI Research.

Supply influx is expected put downward pressure on office rentals and industrial sub-sectors this year, while retail will remain stable due to steady tourism and good consumer spending.

Expectations of stable supply in 2017 could push up rates towards the end of the year, the report adds.