Dubai launches the first International and Sports Free Zone at One Central: a legal and investment perspective

In a pioneering move, Dubai has officially launched the International Sports and Entertainment Free Zone Cluster, located in the dynamic One Central development, adjacent to the Museum of the Future. This bold initiative aims to redefine the legal and economic landscape of the sports and entertainment sectors, positioning Dubai as a global hub for innovation, investment, and talent.

The project is led by the Dubai Integrated Economic Zones Authority (DIEZ), in collaboration with the Dubai Sports Council and Dubai Sports City, and represents a cutting-edge regulatory model supporting creative industries.

1. Free zones: legal foundations and economic role

Dubai’s free zones operate under modern legal structures designed to attract foreign direct investment. According to Federal Law No. 32 of 2021, these zones allow full foreign ownership, tax exemptions, and simplified licensing procedures. 

The newly launched sports-entertainment zone enhances this legal framework by providing a dedicated platform for sports, wellness, media, and cultural enterprises. 

2. Legal framework governing sports and entertainment 

The UAE has placed strategic importance on regulating sports and entertainment activities. Laws such as Federal Sports Law No. 8 of 2014 and related regulations on sponsorships, events, and intellectual property rights establish the sector’s legal foundation. 

Embedding these activities within a free zone context reflects a modern legal approach that prioritises sector-specific governance while maintaining regulatory compliance. 

3. Legal and economic incentives for investors 

Key benefits for investors in the zone include: 

• 100% foreign ownership with no local sponsor.

• Long-term tax exemptions (up to 50 years).

• Flexible licensing for academies, events, media, and wellness services.

• Fast-track visas and permits for global talent.

This makes the zone a legal and economic accelerator for both established entities and startups. 

4. Legal analysis: challenges and opportunities 

Among the legal considerations are: 

• How will activities be classified – commercial, cultural, or hybrid?

• What legal framework governs cross-jurisdictional disputes?

• How are overlapping authorities coordinated in governance?

DIEZ’s legal infrastructure provides flexible mechanisms to address these through modern bylaws and smart regulatory technology. 

5. Social and legal impact 

The free zone is expected to: 

• Create legal, operational, and technical jobs in sports law and event management.

• Drive sports tourism and international investment.

• Inspire new legal frameworks to support innovative industry models.

Conclusion: Dubai as a global legal innovation blueprint 

The International Sports and Entertainment Free Zone at One Central reflects Dubai’s continued leadership in merging legal innovation with global infrastructure. The next phase will require agile regulation, dispute resolution mechanisms, and policy alignment to ensure this model can be replicated globally. 

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