Dubai registered real estate transactions worth AED 77 billion during the first quarter of 2017, revealed the Dubai Land Department (DLD).

Sultan Butti bin Mejren, director-general of DLD, said this is an increase of 45 per cent compared to the first quarter of 2016. “These numbers are promising and go against the negative mentions that were being made about Dubai property market’s prospects. It has the makings of being a good year,” said bin Mejren.

Meanwhile, the DLD is working on a new rental law that will give separate weightage to commercial real estate, apart from residential. The law, which is in front of the legislative committee, will replace the current rental regulation, senior executives said. That could result in each property asset class having its own rental index.

“We wanted a new rental law that covers all types of property assets and not just draw on the provisions within a single, unified law,” said Marwan bin Ghalita, CEO of the Real Estate Regulatory Agency (Rera). The DLD is also working on putting in place a foundation for real estate investment trusts (Reit). Currently, there is only the Emirates Reit that is active in the market.

“Our focus is to get in more overseas funds involved. and Reits would be a good vehicle through which they can operate,” said bin Ghalita. “Until now, there was too much emphasis on individual investors, and if the market takes a bit of an uncertainty, they pull out.

“With institutional investors, the strategy is more long-term, through the ups and downs of a market cycle. We will need more of these investors.” The DLD also launched the ‘Know Your Rights as a Real Estate Investor in Dubai’ guide in cooperation with Al Tamimi & Company. The guide aims to highlight the investor rights guaranteed by the emirate’s laws and regulations.

Bin Mejren said: “The DLD is keen to cooperate with all concerned parties in the public and private sectors to spread awareness and a safe real estate culture among citizens, residents and visitors by informing them of their rights and duties. This book will help to inform investors about their rights, and is also a tool for promoting a safe and stable investment environment for investors seeking opportunities in Dubai.”

Husam Hourani, managing partner of Al Tamimi & Co., said: “The guide provides those interested in investing in Dubai’s real estate sector with comprehensive information to ensure they have all of the information they need to make well-informed decisions and protect their investments.”