Building on the success of the 2022 FIFA World Cup infrastructure, Qatar is taking the lead in retail across the Middle East and North Africa (MENA) region, with 880,000 square meters of new retail space. According to Knight Frank, a London-based global real estate advisory firm, this expansion has enhanced Qatar’s appeal as a tourism destination.

“Qatari authorities have channeled their efforts into transforming Qatar into a modern state, complete with a plethora of and a growing number of tourist attractions, including the recently announced $ 5.5 billion Simaisma Project,” said Faisal Durrani, Partner – Head of Research, Middle East and North Africa, Knight Frank.

He noted that the luxury retail sector is quickly becoming appealing to visitors. This segment is the second most popular investment asset class for GCC nationals and expats, with 79% of tourists expressing interest in visiting the country for shopping.

“This suggests that the 880,000 square meters of new retail built in Qatar since 2011 has not gone unnoticed and is further contributing to Qatar’s attractiveness as one of the world’s most exciting new tourist destinations,” he said.

Knight Frank’s research also revealed that for GCC nationals aged 18 to 45, the retail sector ranks as the second most popular investment asset class, following branded residences. Specifically, for Saudis and Emiratis, the retail sector is Qatar’s second most favored asset class, with 40% and 36% interest, respectively, after branded residences.

The sector is even more highly regarded among GCC-based expats, with 44% of Saudi-based expats and 34% of UAE-based expats identifying it as their target asset class.

Nationals and expat residents in Bahrain and Saudi Arabia show the strongest desire to travel to Qatar for shopping, at 85% each, followed by the UAE at 76%, Kuwait at 75%, and Oman at 63%.

Jonathan Pagett, Partner – Retail Advisory, Middle East and North Africa, Knight Frank, said, “The appeal of Qatar’s luxury brands, modern malls, and cultural affinity with neighboring countries like Saudi Arabia and Bahrain further enhance its attractiveness. By continuously improving the retail experience and hosting major events like Shop Qatar, Qatar is well on its way to emerging as the region’s latest retail destination.”