There is a lot of construction work going on in Dubai, but not everywhere. I stayed at Jumeirah at the Habtoor - when you were on the beach - you could see the cranes behind the hotels and some dust clouds - but the dust clouds weren't choking. It was more a visibility problem. However the sunshine was not affected!!
Hotels such as the Meridien Mina Seyahi and the Madinat Jumeirah hotels (also Jumeirah Beach and Burj al Arab) not affected by building work around them. The big building projects are from the Meridien Grosvenor House down to Jebel Ali. In the city, not too much building work going on - apart from the Deira Palm which is offshore. The Jumeirah Palm is virtually finished.
Building work was going on at quite a pace - very organised and planned. I didn't find it affected us too much.
Where were you planning on staying?