Dubai's Law No. (4) of 2026, regulating shared housing, will come into force this month, according to Dubai Municipality.
Key highlights:
- The law regulates the management, occupancy and leasing of shared housing in private development areas and free zones.
- It does not apply to collective labour accommodation.
- Tenants are prohibited from subleasing any part of a shared housing unit.
- Shared accommodation can only be leased by property owners or authorised property management or leasing companies.
- Repeat violations can attract fines of up to Dh1 million.
Dubai Municipality said it is assessing current conditions and will begin enforcement once the required procedures and implementation timeline are finalised.
Penalties under the new law:
- Fines range from Dh500 to Dh500,000, rising to Dh1 million for repeat violations within one year.
- The executive regulations will specify the violations and corresponding fines.
Additional penalties may include:
- Suspension of activities for up to six months
- Cancellation of permits
- Revocation of commercial licences
- Disconnection of services
- Eviction from non-compliant shared housing units
Shared housing permit rules:
- Permit procedures will be announced through Dubai Municipality's digital platforms once finalised.
- Requirements will cover occupancy limits, health and safety standards, and building compliance.
- Permits will be valid for one year, renewable, with an option to extend for two years upon request.
- Renewal applications must be submitted at least 30 days before expiry.
- The Dubai Land Department will manage a digital registry, standard lease contracts and a shared housing rent index.
- The Dubai Rental Disputes Centre will handle disputes involving owners, tenants and management companies.
