Politics
Business Bay Mayor's Commercial Property Levy Revision Changes Fee Calculations for District Businesses
The revised levy structure takes effect in August 2026 and recalculates annual charges according to floor area for all commercial sites inside Business Bay.
How we reported this

The Business Bay mayor's office began applying the Commercial Property Levy Revision on 1 August 2026. The change replaces the previous flat-rate system with a tiered schedule based on square metres of floor space. All 4,200 commercial premises registered with the Business Bay Municipal Council now fall under the new calculation.
The revision forms part of the council's routine update to its 2026-2027 revenue ordinance. Council records show that commercial rates last changed in 2023, when a single rate applied across every property regardless of size. National fiscal guidance issued in late 2025 prompted local governments to review their own charging frameworks before the new financial year.
Direct Effects on Tenants and Owners
Businesses occupying units under 200 square metres will pay 18 per cent less than under the old schedule. A 150-square-metre retail outlet that previously paid AED 22,500 will now pay AED 18,450. Owners of larger offices above 800 square metres will face increases of up to 12 per cent, according to the schedule published on the council website.
Property managers in the Bay Square and Executive Towers precincts have already begun issuing updated invoices for the third quarter. Tenants report that some landlords have offered short-term rent concessions to offset the shift in the levy bill. The council's finance department states that collected funds remain earmarked for road maintenance and public lighting inside the district.
Next Steps for Compliance
Property owners must submit updated floor plans by 30 September 2026 to confirm their tier. The municipal council will issue final notices in October. The government projects that the new system will be reviewed again after the 2027-2028 budget cycle.