The Al Khaleej Street tunnel in Deira opened to traffic on Sunday, 8 November 2026, according to The National. The 1.65km tunnel has three lanes in each direction and can carry up to 12,000 vehicles an hour in both directions, the Roads and Transport Authority (RTA) says. For businesses in Deira, the old port districts and Dubai Islands, it means a signal-free route through one of the city’s busiest commercial areas, and a first look at what the wider Al Shindagha Corridor could do for deliveries and customer traffic.
The short version
- The Al Khaleej Street tunnel runs 1.65km under Deira, with three lanes each way and capacity for 12,000 vehicles an hour.
- It links the end of the Infinity Bridge ramp to the Al Khaleej Street and Al Wuheida Street junction without traffic signals.
- It is part of the 13km Al Shindagha Corridor, which the RTA says should cut a 104-minute journey to 16 minutes by 2030 and serve about one million people.
- A new bridge across Dubai Creek, still under construction, is the next big piece.
What happened
The RTA opened the tunnel on 8 November after construction that involved about 2,200 engineers, technicians and workers and nearly 11 million working hours, The National reports. In May, the Dubai Media Office said the project was 80% complete and targeted completion in the fourth quarter of 2026, so it has opened on schedule.
The route serves Abu Hail, Al Wuheida, Al Mamzar, Dubai Islands, the Waterfront Market and Al Hamriya Port. Alongside the tunnel, the Cairo Street and Al Wuheida Street roundabouts are being turned into signal-controlled junctions, and a ramp from Dubai Islands feeds into the tunnel towards Al Mamzar. The RTA has not published the cost of the tunnel.
The full corridor is meant to cut a 104-minute journey to 16
Travel time along the 13km Al Shindagha Corridor, minutes. RTA figures; the 16-minute figure is a target for 2030.
Why it matters
Deira is one of Dubai’s oldest trading districts, full of wholesalers, small shops, markets and logistics businesses that depend on vans and trucks getting in and out. Congestion at roundabouts on Al Khaleej Street has added time and cost to every trip. A signal-free tunnel with capacity for 12,000 vehicles an hour should make journey times more predictable for drivers who cross the area every day.
Predictable journey times matter more now. Delivery, taxi and haulage firms are already planning around the UAE nine-hour driving limit that starts in January; less time stuck in traffic means more deliveries within each driver’s legal hours.
The knock-on effects
First order: faster trips through Deira
Drivers heading between the Infinity Bridge, Dubai Islands and Al Mamzar can now skip the roundabouts that used to slow Al Khaleej Street. Couriers, taxi operators and fleet managers are the first to notice, through shorter trips and lower fuel use per job.
Second order: easier access to ports and markets
Al Hamriya Port and the Waterfront Market are on the route. Wholesalers and traders who move goods between the port, the markets and warehouses elsewhere in the city could see lower delivery costs over time. Dubai Islands, where new homes and hotels are being built, becomes easier to reach for workers, suppliers and visitors.
Third order: a stronger case for older districts
Better roads tend to support property demand and rents in the areas they serve. With tenants in Dubai now able to choose (see our report on Dubai rental contracts reaching a record in ten months), easier access could help landlords in Deira and Al Mamzar compete with newer districts. This is a possible effect, not a forecast; it depends on how traffic settles once the full corridor and the creek bridge open.
Who could benefit
- Delivery and logistics firms with routes through Deira, Al Mamzar and Dubai Islands.
- Wholesalers and traders near Al Hamriya Port and the Waterfront Market.
- Developers and hotels on Dubai Islands, which gain a faster link to the rest of the city.
- Taxi and ride-hailing operators, who can complete more trips per shift.
Who may face pressure
- Shops that relied on slow-moving traffic along the old roundabouts, as more drivers pass underneath.
- Businesses near the remaining works on Cairo Street and the creek bridge, which still face disruption.
- Landlords in competing districts, if better access makes Deira and Al Mamzar more attractive to tenants.
What to watch
- The coming weeks: how traffic settles at the new signal-controlled junctions on Cairo Street and Al Wuheida Street.
- The Dubai Creek bridge: about 1.4km long, four lanes each way and 16,000 vehicles an hour, linking the Infinity Bridge area to Port Rashid; no opening date confirmed.
- 2030: the RTA target for the full 13km Al Shindagha Corridor and the 16-minute journey.
Sources
- The National, Dubai opens 1.65km Al Khaleej Street tunnel to ease traffic in Deira, 8 November 2026
- Dubai Media Office, RTA Completes 80% of Al Khaleej Street Tunnel Project, Extending 1,650 Metres with Three Lanes in Each Direction, 17 May 2026
- Gulf News, Dubai new road project to cut travel time from 104 minutes to just 16, 17 May 2026
This is analysis, not investment advice. Figures are as of 8 November 2026.
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