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Saturday, September 23, 2023

Dubai: When can landlords end tenant contracts early

Dubai has witnessed rent increases for over two years due to population growth, reaching 3.616 million. To regulate the rental market, the government has introduced laws safeguarding rights of individuals, investors, and real estate firms.

Decree No. 43 of 2013 governs rent increases, aligning rent with an index approved by the Real Estate Regulatory Agency. The Rental Dispute Settlement Centre (RDC) resolves rental disputes, promoting stability for families and investors.

Advocate Mohammad Abdul Rahman from Galadari Advocates explains tenant and landlord registration with the Real Estate Regulatory Authority (Rera). Lease renewal happens automatically if a tenant remains post-expiry without landlord objection.

Dubai law allows landlords to terminate leases under various circumstances:

  1. Failure to pay rent within 30 days from notice.
  2. Subleasing without consent.
  3. Illegitimate use or violation of public order/morals.
  4. Property safety alteration or damage.
  5. Property at risk of collapse.
  6. Demolition for urban development.
  7. Landlord may request 12-month advance vacation notice for specific reasons.
  8. Demolition for reconstruction with tenant priority.
  9. Renovation preventing tenant occupancy.
  10. Personal use by owner/first-degree relative.
  11. Landlord must not disconnect essential services.

Tenant obligations include rent payment, property maintenance, seeking landlord permission for changes, returning property in received condition, and obtaining lessor consent for subleasing.

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