In a move poised to redefine Dubai’s real estate landscape, the Dubai Land Department (DLD) has announced an initiative allowing private property owners on Sheikh Zayed Road (from the Trade Centre Roundabout to the Water Canal) and Al Jaddaf to convert their properties to freehold ownership. This landmark decision opens the doors for all nationalities to participate, transforming 457 eligible plots—128 on Sheikh Zayed Road and 329 in Al Jaddaf—into freehold opportunities.
What Does This Mean for Property Owners?
Freehold ownership grants investors perpetual ownership of both the property and the land it occupies, significantly enhancing market value and investment appeal. This initiative offers property owners in these high-demand areas the chance to capitalize on the booming real estate market, attracting foreign investors and fueling economic growth.
Marwan Ahmed bin Ghalita, Director General of DLD, emphasized, “This initiative will drive significant growth in Dubai’s real estate sector and reinforce the emirate’s position as a global economic hub and leading destination for investment. It aligns with Dubai’s Real Estate Strategy 2033 to expand the market and elevate its global standing.”
A Boost to Dubai’s Real Estate Vision
The Dubai Real Estate Strategy 2033 sets ambitious goals:
- Increase transactions by 70%.
- Raise the total market value to AED 1 trillion.
- Double the sector’s GDP contribution to AED 73 billion.
This initiative complements these goals, enhancing the appeal of Sheikh Zayed Road and Al Jaddaf as prime real estate hubs while attracting sustainable, long-term investments.
Simple Steps for Ownership Conversion
Eligible property owners can begin their conversion journey through the Dubai REST smart app. Here’s how the process unfolds:
- Eligibility Check: Verify your property’s eligibility for conversion.
- Application Submission: Apply for land assessment and valuation with DLD.
- Fee Calculation: A conversion fee of 30% of the property’s valuation (based on Gross Floor Area) applies. Common area fees and service charges will align with Real Estate Regulatory Authority guidelines.
- Ownership Finalization: Upon fee payment, owners receive a map and a freehold title deed.
The Bigger Picture
This initiative will not only amplify the market value of properties in Sheikh Zayed Road and Al Jaddaf but also attract a new wave of global investors. By transitioning these strategic locations to freehold, Dubai positions itself as a magnet for foreign investments, fostering economic diversification and long-term growth.
Leasehold vs. Freehold: Why It Matters
While leasehold ownership offers property rights for up to 99 years, freehold ownership is a perpetual right, offering unmatched flexibility and security for investors. This initiative eliminates previous restrictions, paving the way for Dubai to remain a pioneer in the global real estate market.
With Dubai’s vision set firmly on the future, this decision underscores the city’s commitment to innovation and inclusivity, ensuring a thriving real estate sector for years to come.
