x Abu Dhabi, UAETuesday 25 July 2017

Dubai landlord insists on rent rise at any time if ‘Rera calculator says so’

Tenant is informed of rent rise without the proper notice from landlord who is adamant the calculator overrules all else.

Jumeirah Lakes Towers in Dubai. Does the RERA calculator transcend all other rental laws? Keren Bobker advises. Paulo Vecina / The National
Jumeirah Lakes Towers in Dubai. Does the RERA calculator transcend all other rental laws? Keren Bobker advises. Paulo Vecina / The National

The renewal date on our apartment is due in two months’ time and some weeks ago we contacted the landlord to tell him we wish to renew. We didn’t hear anything from him until a couple of days ago when he finally replied saying he will renew but that the rent will be increased by Dh12,000 in accordance with the Rera (Real Estate Regulatory Agency) calculator. I questioned this as I thought we had to be given more notice, but he is adamant that he can increase the rent at any time if the “calculator says so”. Can you confirm please as I am now unsure about where we stand? EB, Dubai

There are two main conditions that must be met if a landlord wants to increase the rent payable by an existing tenant. Not only must the proposed increase be no more than the maximum figure stated on the Rera calculator, but the tenant must also be given at least 90 days’ notice of said increase. If the correct amount of notice is not given, then the tenants do not need to accept any increases or changes to the existing agreement and the tenancy will renew on the existing terms.

Keren Bobker is an independent financial adviser with Holborn Assets in Dubai, with more than 20 years of experience. Contact her at keren@holbornassets.com. Follow her on Twitter at @FinancialUAE

The advice provided in our columns does not constitute legal advice and is provided for information only. Readers are encouraged to seek appropriate independent legal advice

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