Dubai, UAE: As part of the strategic partnership between Dubai Land Department (DLD) and the 18th edition of Cityscape Global 2019, which was inaugurated today by HH Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority and Chairman and Chief Executive of Emirates Airline and Group, DLD offered a range of applications and services aimed at enhancing transparency in the real estate sector, open up new horizons for investment, and raise awareness of a number of new legislations recently issued for Dubai’s real estate sector.
During the tour of Cityscape, His Highness was accompanied by HE Sultan Butti bin Mejren, Director General of DLD, and HE Dawood Al Hajri, Director General of Dubai Municipality. Organising Cityscape this year comes in conjunction with the legislations approved by HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.
Bin Mejren commented: “DLD’s strategic partnership with this edition of Cityscape reflects our belief and mission to promote properties in Dubai as a testament to the evolution of the sector from year to year. This year, Cityscape is gaining increased interest from all relevant parties, including developers, investors, buyers, and representatives of the global media, who are reporting the positive effects on the sector following the issuance of a number of new property legislations in Dubai. We are confident that our wise leadership aims to provide the sector with the ability to keep pace with the rapid changes, increase reassurance among investors, and provide additional momentum for the growth of the sector.”
Bin Mejren added: “Our platform will be ready to receive the large numbers of expected visitors, who will be provided with extensive information on the new initiatives aimed at making Dubai a global investment hub. We have been keen on integrating all our departments and ensure our high-quality participation to enrich the visitors’ experience as well as provide them with the support and assistance needed to make investment decisions based on transparent data, which guarantees exceptional benefits and better returns than any other option.”
Package of legislations
Before the launch of Cityscape Global 2019, Dubai witnessed the issuance of a package of real estate legislations, the most prominent of which was Decree No. (27) of 2019 that included provisions regarding registration fees and real estate transactions in the Emirate. The decree includes an article whereby the 4% registration fee for the first sale of a property is cancelled, and will only be collected during the second sale procedures in accordance with the Islamic finance system. This aims to reduce real estate investment costs, encourage investors and end-users to enter the real estate market and support the trends of the Islamic economy in the Emirate.
The positive impact of this decree is not limited to the real estate sector, but will also support and stimulate Islamic banks and finance companies to provide Islamic finance sources to the real estate sector in the Emirate. It also encourages Islamic banks to own and resell properties to customers in accordance with the Sharia compliance.
When it comes to legislation, Law No. 4 for 2019 on the Real Estate Regulatory Agency (RERA) defines a set of important objectives for RERA, most prominently its contribution to the advancement of the real estate sector within an integrated system of regulatory and control procedures, reinforcing its role in the overall economic development of the Emirate. On a related note, HH Sheikh Mohammed bin Rashid Al Maktoum also issued Law (06) 2019 on joint ownership of real estate in Dubai, representing a qualitative step that enhances the attractiveness of real estate investment in the Emirate and supports investor rights in the sector.
Recently, the Higher Committee for Real Estate Planning was formed based on decree number 33 for 2019 under the chairmanship of HH Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, Deputy Ruler of Dubai, to plan the real estate sector in the Emirate and develop a clear and thought-out strategy to achieve added value to real estate projects, increase the sector’s competitiveness level, and affirm its attractiveness.
DLD’s applications and initiatives
Visitors to DLD’s stand will be able to review many of its advanced applications and achievements, most prominently the real-time smart transaction screen, which displays all procedures and transactions as they happen based on a property’s location. This helps enhance the level of transparency and confidence in the real estate market. The screen also shows registered leases and their values, distributed across Dubai as well as the rental cases that have been judged. Thus, the centralisation of digital data contributes to strengthening DLD’s databases and delivering these services in a seamless manner.
One of the most important applications highlighted at the stand is Dubai REST, the first-of-its-kind smart platform, due to the important services it provides, most prominently enabling users to verify their properties via facial recognition. Through Dubai REST, DLD achieved a world-wide precedent that surpassed all real estate registration systems in the world. DLD once again proved its ability to continue innovating, maintained its excellence, relied on its smart services to cater to customers in a fast and secure manner, and met the needs of all parties of the real estate relationship.
DLD also launched the Fractional Title Deed initiative for hotel units. Visitors to the exhibition will be familiarised with its content, where the investor can buy up to half or a quarter of the ready unit, rather than buying it in full. The initiative aims to encourage investment, support the market’s momentum, attract small investors, and increase customer happiness.
DLD previously launched the smart valuation service which allows the customer to receive the title deed on the same day, making this system the first-of-its-kind globally in the field of smart real estate valuation by relying on artificial intelligence (AI) and machine learning technologies. The smart valuation project will be implemented in several phases, starting with units, followed by villas, and then lands. The project aims to reduce the time spent in the valuation process from several days to seconds, ensuring data accuracy and reducing the service cost.
Through its stand, DLD will also showcase the e-Mortgage service based on AI in collaboration between DLD and banks to reduce customer visits and the procedures to one step through a single window in the bank without the need to visit DLD. After making the mortgage, the bank requests approval from DLD by accessing its electronic system, through which DLD will then audit and approve the procedure.
The ‘Real Estate Lawyer’ service includes four main points: provide a corporate structure statement, provide a no-objection certificate, open a sales escrow account – in which a down payment is placed, and provide free consultation to customers to ensure customer and investor happiness.
DLD’s representatives will also highlight the Mollak system, which has proven useful in governing the real estate sector and attracting co-owned property owners who have benefited from the new innovations in the system. The system ensures that the target segments have important benefits, most importantly justice and transparency. It also helps them deal with companies that manage this type of project to easily and quickly run their property.
e-Journal magazine and Dubai Real Estate Innovation Centre
In conjunction with the first day of Cityscape Global 2019, Dubai Real Estate Institute (DREI), the educational arm of DLD, launched the e-Journal magazine and real estate books that benefit the real estate market by being the ideal real estate scientific reference. DREI also launched the Dubai Real Estate Innovation Centre, which includes brainstorming sessions for different parties to develop the market. DREI will showcase its executive, qualifying, and continuing education courses for various real estate developers, valuators, and brokers.
During Cityscape, DLD will also highlight the Customer Training Centre located at the customer happiness centre at DLD’s headquarters. This will benefit customers as it enhances the strategic partnership with DLD’s partners, raises the customers’ awareness on DLD’s various services, and helps train them on using smart applications to optimise their benefit as well as facilitate the provision of services to them by providing them with the necessary training. Visitors will also learn about the evening audit service and its importance in transacting outside office hours, where customers will receive an audit at any time to speed up the procedures and immediately issue certificates.