New Property Law Helps Solve Property Disputes

The latest amendments to the federal and local laws relating to free hold development is bearing a positive impact on the real estate industry. The right application of these amendments and transparency in settling the disputes will help create confidence in the market,” Adel Lootah, Executive Director, Dubai Property Society said on Monday. Law No 9 of 2009 has been much anticipated by the real estate market and it now paves the way for a swift resolution to property disputes. It has positively impacted both developers and investors by providing better security to the party who is performing its general obligations under the real estate reservation or sale and purchase agreement. Dubai Property Society, also known as DPS, held a panel discussion on: “Freehold Property Legislation in Dubai Real Estate Market. There was consensus among the panelists that the Real Estate Regulatory Authority must ensure that a fair balance is created between the rights of the developer and the purchaser — and it will be crucial that the Property Court demonstrates consistency in the application of Law No 9.

By introducing pragmatic laws and working towards timely implementation, Dubai is attempting to develop a more organised and systematic environment for the real estate market to operate within,” Duane Keighran Deputy Head Real Estate, Simmons and Simons commented. He noted, that this will assist in the recovery of the real estate market by promoting future investment, and the measures taken will prove to be conducive to the sustained growth of the sector, which will also benefit Dubai’s wider economy in the long term. Approximately 520 cases have been registered with the Property Court in 2009 —and there are many more to follow. It is expected that the Property Court will also be supplemented with a mediation centre in order to reduce the number of cases. The exciting thing about Dubai’s new jointly owned property regime is the opportunity developers will have to structure their projects in a way that creates liveable and sustainable communities of benefit to all stakeholders. The challenge will be to ensure that developers recognise and pursue that opportunity,” Bugden added.