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Management of all Jointly Owned Property in Dubai comes under the legal and policy jurisdiction of the Real Estate Regulatory Agency (RERA) of the Dubai Land Department. All owners, investors, residents, and service providers should familiarize themselves with the rules and regulations set forth by RERA. Key rules and regulations may be referenced on the Dubai Land Department web portal. Following links may be used to access those documents:
Dubai Land Department – Rules & Regulations
Law No. (6) of 2019 Concerning Ownership of Jointly Owned Real Property in the Emirate of Dubai
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About RERA
RERA stands for the Real Estate Regulatory Agency. RERA is the primary agency of Dubai’s Land Department to license, regulate and control the development and management of real estate projects and related activities.
The main goals of RERA are to set policies and plans, and to create awareness of the real estate sector in Dubai so that the property market remains safe and rewarding for all stakeholders including investors, developers, service providers, owners, and residents.
The Real Estate Regulatory Agency is the only responsible authority in Dubai that regulates the real estate sector, maintains the property register, registers the Owners Associations, appoints Committee members, regulates the Owners Associations, regulates the Common Areas, enforces obligations on property Developers and owners and issues the appropriate license for any real estate activity.
About Owners Association
In the case of Jointly Owned Real Property – any project, vertical or horizontal, where more than one investor owns a housing asset, an Owners’ Association is required to facilitate smooth operation of the whole project / development in compliance with RERA stipulated regulations.
The Owners Association shall be legally formed when the first single unit sale is registered in the Owners Association Register with the Real Estate Regulatory Agency.
All unit owners in the jointly owned building/project shall automatically become members of the Owners’ Association. Their share in the common property is proportional to the space of their unit in the overall space of the building’s common areas. Property Developers may be members of the Owners Association as a representative for unsold units / lots in a building or development. The owner’s membership of the Owners Association shall cease when he or she disposes of their interest in the unit.
The common property areas of a property are those designated for use by all unit owners and occupiers as shown on the site plan. For jointly owned property, common areas will include structural areas of the building supports, foundations, columns, beams and walls, steps, ceilings, windows located on the exterior of the building, entrances, and supporting structures for each of these. The common areas of buildings may also include entry lobby, lifts, stairwells, gymnasiums, swimming pools, BBQ areas, watchman rooms, roof, car parks, gardens and surrounding grounds, open spaces, within the boundary of the plot, hallways and utility equipment and utility systems including drainage, pipes, ducts and devices to provide utility services to the building and individual units within the building. The common areas of jointly owned land other than buildings includes but may not be limited to roads, intersections, roundabouts, pavements, footpaths, canals, ponds, lakes, fountains, and all associated equipment for operational usage, landscaping and open spaces, playgrounds, wires, cables, pipes, sewers, and devices required for measuring usage of utility supplied services to common areas.
The Owners Association constitution is the blueprint for the Owners Association; it articulates the proceedings and rules of the Association. This is provided by the property developer for all owners in the building.
Both the Owners Association and the Individual Members (Unit Owners) are collectively responsible for the management of the building. Each owner of a unit has the responsibility of maintenance and repairs in their own individual property according to the rules and regulations of their building. No changes or additions can be made to an individual lot without approval from the Owners Association.
Matters such as collection and banking of the annual maintenance fees from lot owners, the financial administration, payment of accounts such as electricity, lift maintenance, municipality charges / fees, management of repairs, and general maintenance of the building common areas, insurance of the building and the common areas, entering into contract agreements, ensuring the safety of tenants and visitors to the building, improvements to the building all come under the functions of the Owners Association and is administered and carried out by the Management Entity.
Dealing with matters such as payment of accounts invoices e.g. for water, electricity, air conditioning, etc, arranging repairs quotes, overseeing the works of contractors and or employees, collection of maintenance levys preparation and distribution of notices, meeting agendas, and minutes of meetings, attending to correspondence, the preparation and distribution of financial statements and budgets, banking, attending to orders, contribution notices, submissions and any legal matters are the administrative responsibility of Association.
As per the latest regulations (Law No. (6) of 2019 Concerning Ownership of Jointly Owned Real Property in the Emirate of Dubai), The management of the Owners Association will be done by a specialized Management Company appointed by RERA or by the developer (for Category 1 Projects/ Major Projects), or by a Hotel Project Management Company (for Category 2 projects) defined in the law.
The relevant laws comprise the laws, regulations and directions as set out below:
- Law No. (6) of 2019 Concerning Ownership of Jointly Owned Real Property in the Emirate of Dubai
- Bylaws and regulations referenced in the law.
About Owners
The Owners’ Association is registered with RERA, and every owner automatically becomes a member of the OA when they buy their property. Individual Owners have clear roles and responsibilities in the Owners Association in accordance with the Law. Owners must pay service charges on time for upkeep of their community. They should raise concerns in the appropriate manner acceptable under the rules, acknowledge and abide by the Laws for matters concerning the common property and the building management. They are responsible for the repairs and maintenance of their own unit and must ensure they and their guests behave in an acceptable manner.
All owners must abide by Law and any amendments which may be released from time to time, any By-Laws concerning their joint ownership rules and regulations and procedures, the Owners Association Constitution, the Master Community Declaration, and any Notices issued by the Owners Association.
Owners and potential investors who have or are contemplating purchasing in multiple-units dwelling complex should familiarize themselves with the Owners Associations records, the Master Community Declaration, and the Building Management Statement information.
The rights of Owners include the following two sets:
- The right as an Owner of a unit – A unit owner is entitled to exercise all of the rights associated with property ownership (e.g. inside decoration, right to let its third party, sell etc.) An Owner of a Unit must allow the agents of the Owners Association such as the OA Management Entity and duly appointed service providers access to the Unit in order to remedy any problems related to the Common Areas.
- The right as a member of the Owners Association: As a member of the Owners’ Association, all owners have the right to apply to RERA to be appointed as members of the Owners’ Committee (OC) for their community. They have the right to raise concerns regarding common areas, common assets and the safety and security matters of the community.
- Owners are bound by the terms of any BMS, Constitution as well as the terms of the JOPD and Community/Master Community Rules.
- Where an Owner fails to comply (as determined by the Board in its reasonable opinion), OA Management Entity may serve a Community Rules Enforcement Notice on the offending Owner or Occupier.
- Owners have obligation to pay Service Charges assessed against their Unit. Failure to pay Service Charges will enable the Owners Association to take action against the Unit Owners.
- The Owners Association may notify the Owner and raise the matter to RERA.
- Owners may also be required to pay a penalty on unpaid Service Charges.
- Read and comply with the governing documents of the community
- Comply with all community rules
- Maintain their private property according to established standards
- Treat Owners Committee honestly and with respect
- Vote in General Assemblies, online polls and other such forums
- Pay service charges on time
- Keep their contact information current
- Ensure that those who reside on their property adhere to all rules and regulations
- Report cases of violation and vandalism
- Support the security and safety policies and personnel
- Participate in Community activities and initiatives.
Set down in Clause 71, Part 8 of The Association Constitution, an Owner cannot avoid liability for payment of a validly made Service Charge, or any item covered by a validly made Service Charge, for any reason, including without limitation:
- the non-use of the Common Areas;
- the non-use of their Unit; or any failure or delay on the part of the Owners Association to repair or maintain the Common Area
About Owners Committee
As stipulated in the Law no. (6) of 2019, an Owners Committee will be responsible for the following:
- Verify that the Management Entity undertakes the management, operation, maintenance, and repair of the Common Parts in accordance with this Law, the resolutions issued in pursuance hereof, and the Building Management Regulation.
- Review, and provide the necessary recommendations on, the annual budgets for the maintenance of the Jointly Owned Real Property; and for this purpose, request the Jointly Owned Real Property financial reports.
- Discuss the obstacles and difficulties related to the management, operation, maintenance, and repair of Common Parts; and submit the necessary recommendations on the same to the Management Entity or RERA, as the case may be.
- Receive, and notify to the Management Entity, the complaints and suggestions submitted by Owners and Occupants in respect of the management, operation, maintenance, and repair of Common Parts and submit these complaints and suggestions to RERA if the Management Entity fails to address them within fourteen (14) days from the date of being notified of the same.
- Request RERA to replace the Management Entity of any Real Property project that falls in Category 3, as stated in paragraph (a) of Article (18) of the Law; and provide appropriate advice to RERA on the selection and appointment of a new Management Entity.
- Notify the Management Entity or RERA of any defects in the structural parts of the Jointly Owned Real Property; or any damage to, or defect in, the Common Parts that requires urgent repair.
- Coordinate with RERA, the Management Entity, or the Competent Authority with respect to any safety, environmental, security, or other matter related to the Jointly Owned Real Property; and
- Submit to the Management Entity any proposals regarding the method of use of Common Parts; or regarding amendment of the Building Management Regulation, in which case the amendment must be approved by RERA.
About the Management Entity/ Company
The functions of the Community Manager are to supervise, manage and control the Common Areas and Assets for the collective benefit of Owners and in ways that promote positive environmental outcomes; to ensure that the building or community, including the Common Areas, are maintained in good conditions; to integrate waste management, energy and water efficiency policies into the Community’s strategy regarding the Common Areas and Assets; to properly repair, maintain, renew and replace the Common Areas and Assets; to evenly and fairly enforce Law No. 6 of 2019, RERA directions, Master Community Declaration and Community Rules; to promote harmony and a sense of belonging among Owners and Occupiers of Units; to obtain and maintain any license it requires by law; to maintain records and produce statements and other documents as required by this Constitution or the Department; and to otherwise comply with all laws, decrees, regulations, by-laws, policies and directions by which it is bound.
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