Abu Dhabi Gains Major Updates to Real Estate Laws in 2025

As part of Abu Dhabi’s long-term strategy to elevate its position as a leading global hub for property investment, the emirate’s Department of Municipalities and Transport (DMT) announced major updates to its real estate laws. DMT’s updated real estate regulations for 2025 will empower the Abu Dhabi Real Estate Centre (ADREC) with broader regulatory authority.

In detail, the Abu Dhabi real estate law update in 2025 is expected to apply to all aspects of real estate activities and aim to empower developers, offer greater transparency to streamline dispute resolution, and boost Abu Dhabi real estate investor protection. With a newly defined regulation in place, stakeholder relations are expected to improve, and the emirate will be aligned with global best practices.

These property sector reforms will make it an ideal destination for real estate investing.

Strategic Changes and a Redefined Framework

The changes will herald a significant shift towards a more sustainable and investor-friendly environment, reiterating Abu Dhabi’s long-term strategic vision for economic diversification and urban development.

The new rules will redefine several aspects of real estate development, including registration, sales, purchasing, management, operation, and evaluation of real estate to reduce grey areas and reinforce public trust.

• To highlight a few notable updates pertaining to the Abu Dhabi owners’ committees rules; Abu Dhabi property owners will fall under the ‘owners’ committees’ instead of the owners' association.
• Additionally, in the case of a buyer default, developers will be allowed to terminate off-plan contracts without facing lengthy court orders, upon ADREC approval.
• The new framework also introduces enhanced regulations for common areas and shared facilities. This move brings a focus on long-term upkeep and asset sustainability, a crucial matter for maintaining value retention in both residential and mixed-use developments.
• With this, Abu Dhabi is set to raise professional standards for real estate professions in Abu Dhabi, including brokers, managers, evaluators, and consultants.
• The new regulation brings a clearer and unified definition of every process of the real estate journey, ensuring formal updated legislation that eliminates ambiguity to standardize accountability. Ultimately, every new change promises higher efficiency, seamless operations, and flexibility to resolve any disputes in the sector, improving both developer and investor experiences.
• Lastly, the new laws also confirm that breaches of the new rules will invite penalties. To ensure that these raised professional standards are met, the Chairman of DMT affirms that, following the approval of the Abu Dhabi Executive Council, a schedule of violations and administrative fines will be defined by a resolution issued by the DMT.

According to Abdallah Alhusari, Director of Driven Properties’ Abu Dhabi Branch, “Abu Dhabi is in the middle of what I believe is its golden decade. These reforms are a strong signal of where the market is heading. It is a step toward a more mature, transparent market that better serves everyone from developers and institutional investors to individual owners.”

Driven Properties is pleased to announce the upcoming launch of our new branch in the emirate of Abu Dhabi, aiming to better cater to clients in the capital city of the UAE. Stay tuned for updates and other major announcements.

For further insights and comprehensive real estate advisory services please contact Driven | Forbes Global Properties at +971800374836.