Economic reforms including a waiver on late property registration fees will strengthen Dubai's international business appeal, and trigger “significant growth” in the real estate sector, Binghatti Developers said.
Chief executive officer and head of architecture at Binghatti Developers, Muhammad BinGhatti, praised the economic stimulus package introduced by the Executive Council of Dubai last week.
“The adoption of the first economic incentives package, which includes the revaluation of governmental fees related to real estate development and investment, as well as the exemption from fines, will significantly contribute to the growth and development of Dubai’s real estate sector,” he said.
“In fact, the cost of real estate activities will be reduced, and this will result in boosting the confidence of real estate developers and attracting local and foreign real estate investors."
On Thursday, 7 June, HH Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and Chairman of the Dubai Executive Council, introduced a series of measures to encourage economic growth by reducing government fees and fines.
A waiver on the Dubai Land Department’s (DLD) 4% fine for people who fail to register real estate transactions within 60 days was approved.
Plans to slash Dubai Municipality fees from 5% to 2.5%, and freeze school fees for the 2018-19 academic year were also approved by the Dubai Executive Council.
The raft of reforms included the removal of 19 fees in the aviation sector too, all of which were green-lit by HH Sheikh Hamdan to make it easier to do business in Dubai.
BinGhatti heaped praise on Dubai’s leadership, describing the economic stimulus package as one that would “dazzle the world” and enhance the allure of Dubai to international investors.
“These incentives will attract further foreign investment portfolios and support the establishment of new companies and businesses, which will enhance Dubai's competitiveness and position as the preferred global destination for real estate investments.
“Once the new economic stimulus package will be implemented, the real estate sector will witness more significant growth,” he added.