UAE Property : Tenant's Rent for Two Months

Question: If an existing tenant opts not to extend their lease for another 12 months but instead for just two months, what constitutes a fair rental amount for the extension? The tenant has resided in the property for eight years. Should the rent align with the existing contract as per the Real Estate Regulatory Agency’s (RERA) rent calculator or be adjusted according to current market rates? Additionally, if the tenant refuses to vacate the premises, facing a new home handover in two months, can the landlord proceed with eviction or impose penalties? What are the odds of the Rental Dispute Settlement Committee (RDSC) supporting the tenant's request for a two-month extension at a rent determined by the RERA calculator? MD, Dubai.

Answer: The resolution to such scenarios typically hinges on reaching a compromise. It's surprising that the landlord expects the two-month extension to be at the new market rate, given the extensive tenure of their association. The tenant's proposition of utilizing the RERA rental calculator for determining the new rent appears reasonable, especially considering the anticipated prorated increment. However, in the absence of mutual agreement, legal intervention may become necessary, with either party resorting to filing a case at the RDSC for adjudication. While the precise outcome remains uncertain, given the limited additional period sought by the tenant, a favorable ruling for the tenant is plausible.

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Q: Is serving a registered letter to a tenant adequate notice for eviction? KT, Dubai.

A: Law 33 of 2008, amending sections of law 26 of 2007, mandates notifying tenants of a 12-month eviction notice through either notary public or registered mail. Although the law offers flexibility in choosing one method over the other, employing both avenues enhances the notice's credibility. Despite differing legal perspectives, it's advisable to opt for notary public acknowledgment as it reinforces the eviction notice's legitimacy.

Q: After serving an eviction notice to a tenant through notary public for selling the property, can I re-let it if unable to sell at the desired price? 

A: Re-letting a property previously occupied by an evicted tenant necessitates obtaining a no-objection certificate (NoC) from them. Furthermore, offering the property to the former tenant at the original rent with first refusal privileges is essential. If the tenant declines, an NoC should be sought, permitting re-letting at market rates.

Q: Can I serve a 12-month notarized eviction notice for selling a property before the lease ends? JL, Dubai.

A: Issuing a 12-month eviction notice for selling a property before the lease expires is permissible at any juncture. However, facilitating early vacating might entail compensatory discussions with the tenant, subject to mutual agreement.

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