Sharjah ruler Sheikh Sultan bin Mohammed Al Qasimi signed off on the emirate’s new law for real estate rentals, capping rent hikes, imposing stricter eviction rules, and requiring faster ratification of leasing contracts, state news agency Wam reports. The law applies to residential, commercial, industrial, and professional leases, while agricultural land, government-granted properties, employer-provided housing, hotels, and properties in Sharjah’s free zones are exempt.
Background: The law — which aims to streamline government procedures for rentals — first earned preliminary approval from the Sharjah Executive Council in February and was greenlit by the Sharjah Consultative Council in March.
New Rental Disputes Center launched: The law establishes the Sharjah Rental Disputes Center as the sole authority for handling rental disputes and verifying lease contracts, Sharjah24 reports. Landlords are now required to certify all lease agreements, including renewals, with the municipality or the center within 15 days. If a landlord fails to meet this deadline, tenants can appeal to the center, which may result in fines and additional fees for landlords.
Stricter eviction rules: The law prevents landlords from evicting tenants before three years for residential leases and five years for commercial or industrial leases, unless the tenant fails to pay rent within 15 days, breaches contract terms, or subleases without permission. If landlords want to reclaim a property for personal or family use, they must provide three months’ notice and can only proceed if they do not own another home in Sharjah.
Rent hikes capped: The law also limits rent increases, barring landlords from raising rent for the first three years of a lease unless agreed upon by the tenant. Even with an agreement, no further increases will be allowed for an additional two years.