DMT Introduces New Regulatory Updates to Enhance Abu Dhabi’s Real Estate Sector

The Department of Municipalities and Transport (DMT) has rolled out a major set of regulatory updates designed to reshape Abu Dhabi’s real estate sector. These reforms are part of a wider strategy to position the emirate as a top global destination for real estate investment—by offering a modern, flexible, and investor-friendly legal framework.

 Stronger Oversight and Clearer Guidelines

The revised regulations aim to strengthen the role of the Abu Dhabi Real Estate Centre (ADREC) in governing the market. They set clear legal and contractual guidelines to build fair, transparent, and balanced relationships between developers, investors, and property owners—ensuring accountability and protection for everyone involved.

 Sustainable Management of Jointly Owned Properties

A key part of the update is the introduction of a legal framework to promote the sustainability of jointly owned properties and the effective management of shared spaces in real estate developments. The reforms also extend oversight to professions connected to the real estate sector—raising governance standards and enhancing investor confidence.

 All Real Estate Activities Under One Framework

The changes redefine real estate activities to cover all core operations—including sales, purchases, registrations, evaluations, management, and operations. This comprehensive approach brings all real estate roles under a single regulatory umbrella, improving service quality and market transparency across the sector.

 Easier Termination of Off-Plan Sale Agreements

In a significant shift, developers are now allowed to terminate off-plan sale and purchase agreements if a buyer fails to meet contractual obligations—without going to court. By following specific procedures and obtaining ADREC’s approval, developers can resolve disputes faster, reduce risk, and strengthen overall market confidence.

 Owners’ Committees Replace Owners’ Associations

The reforms replace traditional Owners’ Associations with Owners’ Committees, which will now serve in an advisory and supervisory capacity. The day-to-day management of jointly owned properties will be handled by specialized companies—ensuring proper maintenance, efficiency, and long-term sustainability of shared facilities.

 Introduction of Violations and Fines System

To enforce these updates, a Schedule of Violations and administrative fines will be introduced via a resolution issued by the Chairman of DMT and approved by the Abu Dhabi Executive Council. This step is designed to maintain high standards and ensure full regulatory compliance across the market.

The old risks and grey areas in Abu Dhabi’s real estate market are being cleared. With these updates, you stay protected, informed, and fully in control.

Need guidance? Call us at 800-2732 or email enquiries@cromptonpartners.com to make your next move secure and hassle-free.

Original Source: https://www.mediaoffice.abudhabi/en/infrastructure/department-of-municipalities-and-transport-issues-updates-regarding-real-estate-sector-in-the-emirate/