New Dubai Shared Housing Law Prohibits Unlicensed Subletting and Introduces Permit System

Dubai has implemented a new shared housing law that prohibits subletting rooms without an official permit, bringing shared accommodation under a regulated system. The legislation aims to address issues of overcrowding, prevent illegal property partitions, and curb informal rentals to ensure safer living conditions for residents.

Key Regulations and Requirements

The law introduces a comprehensive framework that includes permits, specified occupancy limits, and mandatory safety standards. It also establishes clear tenancy rights for occupants of shared housing. Properties approved for shared accommodation can include residential apartments, stand-alone houses, residential complexes, mixed-use buildings, adjoining houses, and multistorey buildings.

While the law is in effect, specific occupancy limits for unit types like studios and one- or two-bedroom apartments are still pending further decisions and technical requirements. The actual number of people allowed will be determined by the property's size, location, technical capacity, and the conditions outlined in its permit. Dubai Municipality will assess not only the unit but also the surrounding area, considering factors such as population density, infrastructure, sewerage capacity, and urban planning. Properties must meet standards for fire safety, sanitation, environment, security, and the electricity network before approval.

Enforcement and Tenant Protections

Dubai Municipality has already commenced inspections in identified problem areas, with enforcement likely to focus on specific buildings across the city rather than entire neighbourhoods. The deadline for compliance is September 2027, but significant penalties for non-compliance are expected to drive earlier action from landlords and operators.

Tenants receive enhanced protections under the new law. Leases must be registered in the Shared Housing Register, and tenants must be provided with a copy of their lease and a guide detailing their rights, obligations, permitted uses, and emergency contacts. In cases of operator suspension or permit cancellation, tenants are not immediately evicted; authorities will set a timeframe for lawful occupants to relocate. Eviction for non-compliance requires a decision from an Execution Judge, and tenants can challenge evictions within seven days through the Rental Disputes Centre, potentially claiming compensation for losses.

Verification and Transparency

To verify legality, landlords or operators must display a visible sign at the property's entrance, identifying the permit holder in Arabic and English and stating the approved shared housing category. Advertisements for shared accommodation must include the authorised establishment's trade name and permit number. Until an online verification system is available, prospective tenants should request a copy of the shared-housing permit, confirmation of approved category and maximum occupancy, the operator's trade licence, and confirmation of lease registration in the Shared Housing Register.