Tuesday, May 29, 2007

Seven percent rent cap for UAQ

The rent cap for Umm Al Quwain (UAQ) has been fixed at seven percent a year, as against ten percent earlier. This was announced by Sheikh Abdullah bin Rashid Al Mualla, the Deputy Ruler of UAQ, as an amendment in a new law regulating the tenants and landlords.

Also the annual rent rise for industrial and commercial properties has been fixed at ten percent, earlier this sector was unlimited.

The landlords have been advised to keep the tenants informed three months in advance to the contract expiry date, in case of any increase in rents.

Tenants, while vacating, are advised to leave the property in the same condition, as found earlier, apart from damaged items through normal use. Earlier tenants had to carry out minor maintenance works before returning the keys to landlords.

Also residential landlords are advised against demanding a tenant to vacate a property unless five years have elapsed from date of signing the contract, as earlier this was fixed for three years. For industrial and commercial properties, this period has been raised from three to ten years.

Any disputes or disagreements pertaining to these matters will be assessed by the Rent Dispute Settlement Committee

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