Can a Company Buy Property in Dubai
Owning a property in Dubai is of course a dream come true to any individual and it is one of the most significant investment step which any one would take. On the other hand, we also find certain segment of people who build their portfolio of investments by owning properties. On either of the ways how to own a property which could protect the local governing law becomes of an utmost important aspect.
Ownership of Properties by a Company:
It is very important to own properties under a corporate entity. The main reason for this is it will safeguard the investment in term of the local law which is sharia law. And also the Article 4 of the property law also recognizes the companies to own a freehold property in Dubai.
What types of companies are allowed to own the properties?
Considering the current scenario, the only company which is legally allowed by the Dubai Land department to own a freehold property are offshore companies registered in the Jebel Ali Free Zone or the Dubai Multi Commodities Center (DMCC).
can an offshore company buy property in Dubai
A JAFZA offshore company is the best way to hold any type of a freehold property be it a commercial as well as residential. Once the ownership is attained on the offshore company, the investor is allowed to either use the property for him/her or even can let out the property on rent and start earning the rental income on the offshore company’s bank account.
can a freezone company own property in Dubai
A DMCC free zone company has been added new in the list to own the freehold property. But there are certain points to be taken into consideration before taking this decision. Legally a DMCC free zone company can own only a Residential freehold property in UAE and it has to only for his/her own usage. Renting it out and earning the rental income in the company’s books is not allowed.
This blog post is written by Ms. Sowmya. Feel free to call our Business Adviser today for a quality business setup consultation relating your queries. Please send inquiry to info[at]flyingcolour[dot]com or call +971 4 4542366.