Property in Dubai
Housing Fee in Dubai to be collected every month
Tenants in about 17,000 residential units in Dubai will now have to follow the new method of monthly payment of housing fee, as announced by Dubai Municipality to bring about uniformity in fee collection system.
The Municipality recently launched an online registration drive to ensure that all residential units in the emirate are registered and made accountable for paying five percent of their rents on monthly basis through their utility bills by the end of the year.
The plan is to implement the fee collection, which is in existence since 1962, and bring about uniformity into the system of collection on a monthly basis, in collaboration with DEWA (Dubai Electricity and Water Authority).
Residential units under Wasl Properties, the asset management group owned by Dubai Real Estate Corporation, were the only properties that followed an annual payment method for housing fee, which were collected during renewal of tenancy contracts.
The Dubai Municipality has now made responsible, a government-owned group to ensure that the monthly-payment system is being followed, and to stop the practice of collecting five percent of annual rents to be paid to the municipality.
Wasl will henceforth refer their new tenants who are renewing their contracts to DM counter in DEWA’s head office. The tenants will then be instructed to register online and will be given a stamped copy of the ID code generated on registration. This stamped paper can be taken back to Wasl for completion of tenancy contract registration. The tenants will then receive their housing fee mentioned in their DEWA monthly bills.
The Head of Leasing and Customer Service at Wasl, agreed that the new system will be implemented in all renewal contracts and new leases.
Posted on 7/7/2010