Abu Dhabi issues new decisions to strengthen real estate governance

The Department of Municipalities and Transport (DMT) has announced a package of four administrative decisions to implement Law No. (3) of 2015, as amended by Law 2 of 2025, regulating Abu Dhabi’s real estate sector.

The measures aim to boost transparency, strengthen governance, and create a flexible legislative framework aligned with international best practices.

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The decisions address key aspects of real estate development and management, including:

• Escrow account controls: Regulating withdrawals before 20% project completion to protect purchasers’ funds.

• Jointly owned property: Establishing clear roles for owners, developers, and management companies to ensure sustainable management of shared facilities.

• Owners’ committees: Standardising bylaws and operational procedures to improve governance and community participation.

• Compensation and refunds: Defining fair procedures for off-plan sales cancellations and resale of units, ensuring balanced rights for buyers and developers.

Rashed Al Omaira, Director General of ADREC, said the decisions provide flexible tools to adapt to market dynamics, enhance sector efficiency, and reinforce investor confidence, positioning Abu Dhabi as a leading real estate hub.

The package strengthens Abu Dhabi’s real estate regulatory ecosystem, introducing integrated controls, improving operational efficiency, and ensuring transparency across the market while safeguarding the interests of developers, investors, and owners.