Abu Dhabi rent freeze: What the decision means for tenants, landlords

On June 2, Abu Dhabi announced a temporary reduction of its annual rental increase cap from 5 per cent to 0 per cent across residential, commercial and industrial properties, effective immediately and until further notice, bringing relief to thousands of tenants across the emirate.

But as residents digest the details, one question is dominating conversations: what about those who renewed their contracts just days before the decision was issued?

The answer, Abu Dhabi Real Estate Centre (Adrec) confirmed, is that the measure does not apply retrospectively. Contracts renewed and registered before the announcement remain unchanged, with the 0 per cent cap effective only from the date the circular was issued.

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Here is what the decision means for tenants and landlords:

- My contract is up for renewal soon. What happens now?

Your landlord cannot increase your rent during the freeze period. The renewal must reflect the same value recorded in your last registered Tawtheeq contract, with zero increase applied.

- I am moving into a unit that was previously rented. What is my reference price?

The rent you are offered cannot exceed the value recorded in the most recent registered Tawtheeq contract for that same unit. Ask your landlord or agent for a copy before signing.

- How long does the freeze last?

Adrec has not set an end date. The measure will remain in place until further notice, with any changes announced through official channels.

- What if my landlord tries to raise the rent anyway?

Contact Adrec directly through its website adrec.gov.ae, its customer service line, or its official email address.