All developers in Dubai told to monitor short-term leasing activities
Developers in Dubai are being asked to monitor and inform apartment owners to stop short-term lettings in their buildings, according to a notice issued by Dubai Tourism.
“Your involvement as developers is essential for the ease of implementing the regulation, therefore we would like you to monitor short term rental operations in your developments and put signage in the buildings entrances informing owners that using their properties as holiday homes is not allowed unless they have the required permits,” the notice with Emirates 24|7 states.
“Owners who like to lease their properties on short-term basis should get their properties registered with Department of Tourism and Commerce Marketing (DTCM) to ensure that the guest’s transition to the building is smooth and the house rules are implemented,” it adds
DTCM will be issuing permit for each unit, indicating the property and the management company details for verification purposes.
Decree and fines stipulated
A regulation issued under Decree No. (41) of 2013, regulating the activity of leasing out holiday homes in Dubai, stipulates offenders can face fines of up to Dh100,000 if they have repeated the same violation within one year from the date of the previous offence.
“The amount of the fine will be doubled, provided the fine does not exceed Dh100,000. The Chairman of the Executive Council will determine, pursuant to a resolution issued by him in this regard, the prohibited acts and the fines to be imposed on the perpetrators of these acts,” states the decree.
Caught, first-time offenders will face a fine of not less than Dh200 and not more than Dh20,000.
Last month, Dubai Tourism updated its regulations surrounding holiday homes allowing private home owners to apply for a holiday home license without the need to go through an approved Dubai Tourism operator, providing they meet all criteria.
In addition, tenants who are renting a property can also lease their accommodation as a holiday home with a short-term permit, providing they submit a no objection certificate from their landlord and meet all Dubai Tourism-specified requirements.
The move is part of Dubai’s objective to further diversify and increase its hospitality offering in line with its Tourism Vision to attract 20 million visitors per year to the emirate by 2020, and complements the positive growth trends in the city’s wider hotel and hotel apartment segment to cater to diversifying traveller demographics and needs.
Dubai Tourism will regularly inspect registered homes – classified as Standard or Deluxe depending on their offering – to maintain standards and issue penalties for non-compliance with regulatory demands.
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