Dubai's DTCM outlines rules for holiday home businesses
The technical requirements, guidelines, and processes will be mapped out in a detailed guide issued by Dubai Tourism
Dubai’s Department of Tourism and Commerce Marketing (Dubai Tourism) has announced an administrative order clarifying the law of Decree No. 41, introduced in 2013, to govern holiday home activities in Dubai, which outlines regulations for operators, homeowners, and authorised tenants who wish to obtain a holiday home license.
Since the commencement of the operation of holiday homes in 2015, the sector has witnessed a 42% yearly growth on average, with rented housing rising from 4,738 units in 2018 to 7,005 units in 2019.
With Expo 2020 set to attract a record number of visitors, Dubai Tourism anticipates a further increase in the number of property owners moving into the holiday homes business, according to the state-run news agency, Wam.
The administrative order, which is established in collaboration with the Supreme Legislation Committee, aims to diversify tourism in the emirate and boost competition through safe and transparent operations.
The technical requirements, guidelines, and processes will be mapped out in a detailed guide issued by Dubai Tourism, which will also provide an overview of the operations of a holiday home; how a license can be obtained; how the license should be maintained; as well as the rights and liabilities of developers, operators, and homeowners.
Commenting on the order, the executive director of the Tourism Activities and Classification sector at Dubai Tourism, Khalid Bin Touq, said: “Dubai’s holiday homes market has witnessed continuous growth over the past few years, driven by the increasing demand for a wide range of accommodation options from the emirate’s diverse traveller segments.”
Bin Touq added: “Recognising this growing popularity for the holiday homes concept, Dubai Tourism is committed to enhancing the product offering, fuelling increased visitation, and making Dubai the world’s preferred destination in line with Dubai’s Tourism Vision 2022-25, as envisioned by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai.”
The resolution shows that steps are being taken to regulate the operation of holiday homes, provide a comprehensive classification and verification process, and ensure that global best practices are adopted to increase the competitiveness, transparency, safety, and standardisation of the sector.