Real Estate Boom in Abu Dhabi
Abu Dhabi property market has witnessed steady development, which can be attributed to various incentives offered by Abu Dhabi Emirate, including government support, properties ownership by expatriates and regulation of landlord-tenant relationship.
Abu Dhabi Government continues to support the market by undertaking and financing several citizen housing and welfare projects in various areas of Abu Dhabi, Al Ain and Al Dhafra.
The support has also helped many developers in their consolidation efforts and re-alignment of investment priorities according to prevailing market conditions and trends.
The real estate boom in Abu Dhabi started with the introduction of Law No. (19) of 2005 Concerning Real Estate Property. The law allows UAE nationals to do business with the properties granted to them by the government and has opened the door for foreigners to invest in the real estate sector in certain investment areas.
Ownership in investment areas can be done with a long-term contract up to 99 years or long-term surface contract known as Musataha (up to 50 years), renewable for a similar period by the consent of both parties.
Law No. (20) of 2006 on the Regulation of Landlord-Tenant Relationship in the emirate of Abu Dhabi provides a strong regulatory framework for landlord-tenant relationship. According to the law, landlords are not allowed to increase the rent fixed in the tenancy contract by more than 5% every year.
The law also set up a Tenancy Disputes Settlement Committee, which looks into any disputes that erupt between tenants and landlords.
To further streamline Abu Dhabi property market, Abu Dhabi City Municipality launched an electronic register called Tawtheeq in 2011. All leasable property units and tenancy contracts have to be registered in the system.
The system allows both tenants and property owners to conduct all rental transactions online. People can also search for suitable properties by unit types, price and location.
Major Master Developments in Abu Dhabi
Partnerships with global brands, such as the Louvre and Guggenheim museums, in addition to building a modern race track for Formula One Grand Prix in Yas Island have played a prominent role in attracting international investors.
Jazeerat Saadiyat, which is Arabic for "Island of Happiness", is an important element in Abu Dhabi’s ambitious tourism plans. The Island includes six districts, each with unique features within rare natural surroundings.
The most important among these districts, the Saadiyat Cultural District, home to a number of museums including the Zayed National Museum, Louvre Abu Dhabi and Guggenheim Abu Dhabi, among others.
Al Reem Island
Reem Island is located about 300 meters from the north-eastern coast of Abu Dhabi Island. The natural island has become a world class residential city, where expatriates can own real estate for 99 years.
The Island is also a key tourism project featuring several hotels, marinas, restaurants, parks, recreational centres, art galleries.
Al Raha Beach
Al Raha Beach consists of 11 districts with each district having its own distinctive identity.
Khor Al Raha, Al Zeina and Al Bandar districts are the major developments within the project, which comprise several hotels, marinas, parks and other leisure facilities. Al Raha Beach, which is the new gate to Abu Dhabi, lies on the main highway between Abu Dhabi and Dubai.
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