Dubai has introduced a new law to support the growth of real estate investment funds in the emirate.
The law effectively creates a register for property investment funds, whose members will be given certain privileges to assist them in their investment activities in emirate’s real estate market.
Issued by Dubai Ruler Sheikh Mohammed bin Rashid Al Maktoum, the new law is part of the emirate’s ambition to be a “global real estate investment destination and attract global property investments funds,” according to a statement on WAM.
The new register includes real estate investment funds licensed and regulated by government bodies, as well as those in private and free zones, including the Dubai International Financial Centre. It covers all real estate in Dubai as well.
Applicants to the register should have real estate assets of AED180 million or above.
The new law also created a dedicated committee to identify areas and properties that funds are allowed to invest in. It will also see Dubai Land Department appoint a valuation specialist to determine the value of properties owned by the funds.
The move comes as Dubai ramps up initiatives to attract foreign investors, with real estate as one of the focus sectors.
In June, the Dubai real estate market recorded AED 22.7 billion sales – highest sales figures in the last 13 years – and reaching almost 71 percent of the total 2021 sales volume, Dubai Land Development (DLD) data revealed.
The June transaction figures are 32.88 percent higher in volumes and 24.21 percent in value terms on a sequential basis, compared to May 2022.
Source: Arabian Business