Dubai's Real Estate Regulatory Agency (Rera) has suspended the trade licence of a property broker and warned other such companies registered with the Department of Economic Development (DED) to also register with the agency or face a similar fate, said a senior government official.
"Rera has encouraged all brokers to formally register with the agency and those who have not registered should do so as soon as possible in order to avoid having their DED-issued licence suspended," said Rera Brokers Licensing Department Director Yousif Al Hashimi.
His response came after being informed that a property broker – Sulehri Real Estate – was advertising in newspapers for leasing units in Discovery Gardens and International City.
"Sulehri is not a registered broker. We have spoken to the DED with which Sulehri is registered and has a trade licence. We have requested the DED to inform Sulehri to attend our offices and register within a specified notice period. In the interim and at the Land Department's request, Sulehri's trade licence has been suspended until further notice," Hashimi said.
Rera has also recommended that anyone looking for leasing or buying property needs to use the services of only Rera-registered brokers. They should also check the broker's Rera accreditation at the agency's website (Rpdubai.com) before dealing with them.
Licensing and organising real estate agents is among the responsibilities that Rera has undertaken in order to establish a well-regulated real estate sector in the emirate. According to by-law No (85) of 2006 regarding the regulation of the real estate brokers' register in Dubai, a regulated broker is required to apply for registration in the brokers register maintained by the Dubai Land Department in addition to the requirement to obtain and maintain a trade licence from the Dubai Department of Economic Development.
As of July 7, 2009, the number of brokerage companies is 2,087 and the number of brokers is 7,761, Rera statistics say.
List of cancelled projects soon
A list of some of the cancelled real estate projects will be announced soon, according to an official source of the Real Estate Regulatory Agency (Rera). He said it is not possible as yet to provide the number or market share of the cancelled projects.
He told Arabic news daily Al Khaleej that Rera has received letters from developers and is looking into them.
He said developers have no right to cancel projects as there are many conditions and factors that govern the cancellation.
The official said that one of the conditions is that rights of investors and buyers should be guaranteed. Also Rera should be informed so it is able to look into the case. Announcement has to be made in daily newspapers as well, he said.
Rera had launched an e-system to follow up real estate projects and monitor the progress of construction work.
Emirates Business 24/7
July 12, 2009