COVID-19 impacts: UAE’s restaurant businesses start shutting down

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Restaurant businesses in the UAE are starting to put up ‘For Sale’ signs, with their owners realizing there is no escape from the destruction set off by the COVID-19 pandemic. Licenses and even the equipment and furniture are being offered at steep discounts in hopes that someone out there will buy them.

Only government-owned locations have been given rent deferrals or rent-free for up to three months. But the vast majority of landlords have not offered any such break. It will accelerate the destruction of the F&B industry.


In Dubai, of the 11,000 outlets registered as F&B, anywhere between 40-50 per cent are unlikely to remain in business over the next few months, according to multiple industry sources. As of now, less than 30 per cent of UAE’s F&B outlets have re-opened, the majority of them being at the malls. But these openings have come with strict limits.

For many of these people in the F&B business its not the safety guidelines that are proving to be an issue but the issue at hand is the rent they are to pay to their landlord.

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