Rent Valuation Certificate

Re-evaluation of Dubai rental property value, by landlords, can be done through the Dubai Land Department. Landlords who believe that the RERA calculator does not accurately reflect the rental value of their Dubai properties can benefit from this service.

In such cases, landlords can request the Land Department to value their specific Dubai property, factoring in the individual features and specifications. 

This service can be accessed through:

• The Dubai Land Department’s official website or,
• Through the Dubai REST app.

Under the Services menu, there is an option to Request Valuation of Property Lease.

Some of the required documents include:

1. Details and photos of the specific property, 
2. As well as a payment of AED 2,000 per unit.

Based on the submitted documents, the Land Department may issue the Rental Valuation Certificate, reflecting the current market value of that property in Dubai. This Certificate then becomes an official reference, which can be used by landlords to raise Dubai rent or in case of dispute. 

The principle of property re-evaluation is based on Dubai Law No. 33 of 2008, regarding Dubai rental laws. And, specifically, Article 9.2, which sets out criteria, such as the “overall economic situation in the Emirate” and the “average rent of similar property” in determining market value of the property. 

This principle is also well settled in the Dubai Rent Dispute Center or RDC, which has consistently authorized landlords to increase rent beyond the RERA calculator, on the basis of the Dubai Rental Valuation Certificate.  

Increasing Rent on Basis of Rental Valuation Certificate

Landlords can increase the rent in Dubai, above the RERA Calculator, in cases where they have obtained a Property Valuation Certificate, issued by the Dubai Land Department.

This Certificate, in turn, can be issued on the basis of Landlord’s proof that the current market value of their Dubai property is above that reflected in the RERA Calculator. 

Notably, in all cases landlords can only increase rent in Dubai, in line with the allowed percentage of rental increase. Which ranges from 5% to a maximum of 20%. As per Dubai Decree No. 43 of 2013 on Dubai Rent Increase, and Article 1, in particular.

Noteworthy, for the landlord to increase rent, using the Property Valuation Certificate, still requires: 1) the proper legal notice and 2) tenant’s approval. 

In the event the tenant does not agree to the new property value, the Landlord must file a case with the Dubai Rental Dispute Center or RDC, to confirm the new rent in Dubai, on the basis of the Property Valuation Certificate.

This principle was re-asserted by RDC recently, in April of 2023. 

•  In that case, the landlord wished to increase rent in Dubai by AED 25,000, from AED 175,000 to AED 200,000, on the basis of the Rental Valuation Certificate.
• This would have been 14.3% increase.
• The RDC allowed for the Dubai rent increase, but limited it to 5% or AED 8,750.00
• This was on the basis that the current Dubai rent of the property was 14% less than the Rental Valuation Certificate, which allows for a maximum of 5% increase.
• In its judgment, RDC relied on: 1) the Dubai Decree No. 43 of 2013 on Dubai Rent Increase, as well as 2) Law No. 33 of 2008, otherwise known as Dubai Rental Law. 

Occupational illnesses or injuries at work in UAE must be compensated by the employer. 

• In other words, if the injuries at work in UAE is a direct result of one’s work, then the employer is obligated to pay for the treatment.
• The treatment could be either in government or private health facilities. 
• And the company must pay treatment costs, until either the worker recovers or is deemed disabled. 
• Importantly, for injuries at work in UAE the treatment also includes rehabilitation. 
• Furthermore, the company is obligated to pay for any moving expenses if required for treatment. 
• However, the worker is not entitled to compensation for treatment in the event the injury was the result of one’s own negligent actions. 

This is in accordance with the U.A.E. Employment Law No. 33 of 2021, and Articles 37 and 38, specifically. As well as Article 23 of the Cabinet Resolution No. 1 of 2022.   

A dedicated digital and virtual assets UAE freezone has been introduced. It is based in the Emirate of Ras Al Khaimah. And it is called the Digital Assets Oasis, established under the Ras Al Khaimah Law No. 2 of 2023.

It is reported to be the world’s first and only crypto freezone, set up exclusively to host digital and virtual asset companies.

Which are operating in new and emerging sectors, such as the:

1. Metaverse,
2. Blockchain,
3. Utility tokens,
4. Virtual asset wallets,
5. NFTs, and
6. Other Web3-related businesses.

The crypto UAE Freezone, ie, the Digital Assets Oasis has been granted financial, administrative, and legislative independence. 

And it will be affiliated with the newly created Department of the Future. Which was established by virtue of RAK Law No. 1 of 2023.

RAK Digital Assets Oasis will open for applications in the second quarter of 2023.

As per the UAE laws, discrimination is prohibited and penalized by a number of specific laws.

The main UAE law on anti-discrimination is the Federal Decree Law No. 2 of 2015, on Combating Discrimination and Hatred, which came into effect in August 2015. 

The law is rather comprehensive, covering blasphemy, hate speech, and all forms of discrimination. 

The penalties for violating this UAE law can be severe and include:

1. Prison of not less than 5 years, and/or
2. Monetary penalty of not less than AED 500,000.

Additionally, discrimination is also expressly forbidden and penalized in the employment context, pursuant to the UAE Labor Law, No. 33 of 2021, along with its Executive Regulations. Which include expressed provisions on Equality and Non-Discrimination. 

For example, under Article 4 of the UAE Labour Law, it is forbidden to have discrimination in the workplace on the basis of :

1. Ethnicity,
2. Race,
3. Sex,
4. Religion,
5. National origin,
6. Social status or
7. Any disability.

It is also forbidden to discriminate amongst people in the same job.

Furthermore, the UAE Labour Law provides expressed prohibition against any form of discrimination against working women, including on the basis of pay-scale.  

Finally, there are multiple UAE laws regarding non-discrimination of people of determination. One such law is the UAE Federal Law No. 29 of 2006 on the Rights of People of Determination. As well as a separate Dubai Law No. 3 of 2022 on the Rights of People with Disabilities in Dubai.

Dubai residents can now submit feedback, suggestions and complaints against government departments and/or officials through a dedicated service.

04 Platform – is the name of the feedback service platform that was recently launched by the Dubai government, specifically, HH Sheikh Hamdan. 

• More than 40 government entities are already registered on the Dubai government feedback service platform.
• The Dubai government feedback service platform allows residents to file complaints efficiently, in 3 steps.
• The complaint will then be reviewed by the relevant government officials and addressed accordingly. 

The objective of the 04 Platform is to connect Dubai Government and its customers, to allow the Government to make informed decisions based on customers’ input. 

The Dubai government feedback service platform can be accessed on the website, by typing https://04.gov.ae/. 

The service is also accessible via WhatsApp for Business, where residents can message directly to provide their feedback.  

UAE Ramadan – Working Hours 

The UAE Ramadan working hours must be reduced by 2 hours a day.

This applies, equally, to the: 1) private sector, 2) public sector and 3) schools.

And for everyone – those who fast, as well as those who do not.

The requirement to reduce working hours during Ramadan in UAE for the private sector is set out in Article 15(2) of the Cabinet Decision No. 1 of 2022 re: Implementing Regulations of the UAE Labor Law.

Furthermore, with regards to the public sector, on Fridays, federal employees will work remotely – 70% of their working hours.

Similarly, schools in the UAE have the option of allowing students and staff to attend school from home on Fridays, during the whole month of Ramadan.

UAE Ramadan – Dubai Restaurants & Outdoor Dining

Ramadan, as we all know, is a month of fasting for Muslims. 

And the UAE observes and encourages a fasting-friendly environment. 

As such, for the non-fasting population, it is sensible to avoid eating or drinking publicly, out of respect for those who are fasting. 

Over the recent years, the UAE, as an increasingly multicultural society, has relaxed many of its previously stringent Ramadan protocols. 

In Dubai, in 2021, the Department of Economic Development issued a Circular, stating that:

• Food outlets were no longer required to serve food out of public view, during fasting hours.
• And that screens and curtains, particularly, in malls, would no longer be required. 
• Nor would the Dubai restaurants be required to obtain a permit for serving food during fasting hours.

This Circular replaced previous circulars, which had required restaurants to block dining areas from the sight of those who were fasting. As such, as we enter Ramadan 2023, in Dubai:

• Dubai Restaurants, cafes and bars can remain open and serve food publicly.
• Supermarkets, pharmacies, malls and businesses can also remain open throughout the day.
• Though live music will most likely be less popular during this time. 

Dubai rent increase limited to a maximum of 20% of the contract value. In other words, the most that the landlord can legally increase your rent by is 20%, from your current rent amount. 

This is irrespective of how much higher, the landlord believes, the current market value of the property may be. 

Importantly, the allowable percentage of rent increase in Dubai depends on the percentage of the increase of the market value of the property. 

Specifically,

• In cases where the market value of the property has increased by no more than 10% from the contract value, then there is NO increase allowed, all together. 
• If the market value of the property has increased between 11% – 20% of the contract value – then the maximum percentage of increase is 5%.
• In cases where the market value is between 21% – 30% above the contract value – the percentage of increase is 10%.
• If the market value of the property is between 31% and 40% over the contract value – the maximum increase is 15%. 
• And, finally, if the market value of the property is more than 40% above the contract value – the maximum percentage of rent increase is 20%. 

This means, in simple terms, that if your contract rent is AED 100,000 and the property is now valued at AED 300,000, or 3 times more – the maximum amount that the landlord can increase your rent by is AED 20,000, to a total of AED 120,000/per year, which is a 20% increase. 

This is in accordance with the Dubai Decree No. 43 of 2013, Determining Rent Increase for Real Property in the Emirate of Dubai.

And Article 1, titled Percentages of Increase, in particular.