The construction of Al Fahidi historical neighborhood dates back to 1890s. In its prime, the locality was capable of 60s housing units, most of which were separated by narrow, winding lanes. The town of Al Bastakiya was primarily built by the affluent Persian merchants drawn to Dubai by the rich trade opportunities and incentives offered by the Emirati government, the district was named after the southern Iranian town of Bastak.

In the 1980s half of the Al Fahidi historical neighborhood village was destroyed to make way for the development of a new office complex. The remaining houses were mostly used as warehouse or accommodation for foreign laborers. In 1989, the Dubai municipality directed that the remaining parts of of Al Fahidi historical neighborhood were to be demolished.

The Al Fahidi fort, this is oldest existing building in the city and a must visit for a test of old Dubai. Built in 1787, this fort was once the monarch base, a fortified residence, and weapons arsenal and prison, before being renovated during the reign of Shaik Rashid Bin Al saeed Al Makhtoum.

In 1971, (the same year the united Arab Emirates was formed) the fort reopened as Dubai museum. Showcasing Dubai history and its original heritage, you can get a glimpse of everyday life before the discovery of oil in the UAE. The galleries recreate historic Arab houses, Mosques, Markets and dates farms while also depicting scenes from desert and marine life.

The Dubai textile Souk / Market history traces back to the mid-19th century, evolving from the growing commerce along the Dubai creek, which served as a vital hub for trade.

By the early 1900s, the following increased migration and a progressive trade environment, the old souk became one of the largest markets in Arabia, offering a rich variety of textiles, fabrics and the other goods. Today it continues to be a vibrant cultural and commercial center, showcasing Dubai heritage in its traditional architecture and bustling atmosphere.