Politics
Dubai Marina Local Services Ordinance Adjusts Property Levies, Cutting Residential Charges While Raising Commercial Rates
Apartment owners along Dubai Marina will pay lower annual maintenance contributions starting in the third quarter, while operators of retail and hospitality units face higher assessments under the revised ordinance.
How we reported this
The Dubai Marina Local Government Services Ordinance, passed by the municipal council on 2 July, revises the annual property levy schedule for the 2026-2027 fiscal year. Residential towers will see their contribution rate reduced from 1.8 percent to 1.4 percent of assessed value, while commercial properties along the waterfront promenade will move to a 2.9 percent rate. The ordinance applies to all buildings within the defined marina precinct boundaries.
The change follows the release of the municipality’s mid-year revenue forecast, which showed commercial permit income exceeding projections by AED 11 million. Officials reallocated part of that surplus to offset residential obligations rather than expanding capital works. The adjustment covers approximately 4,800 residential units and 620 commercial premises registered in the precinct.
Effects on Household and Business Expenses
For residents in buildings such as Marina Vista and The Torch, the lower rate translates to an average reduction of AED 1,850 per year on a typical 120-square-metre apartment. Monthly service-charge notices issued by building management companies will reflect the new figure from September onward. Commercial tenants, including cafes and boat-charter offices near Marina Mall, will absorb an increase averaging AED 6,400 annually on equivalent floor space.
Local advocates note that long-term leaseholders in residential towers stand to retain the full benefit, while short-term rental operators may pass costs through higher nightly rates. The legislation states that the new rates apply uniformly regardless of occupancy type, with no exemptions listed for investor-owned units.
The 2026 budget paper records total levy collections at AED 92 million last year, with residential properties contributing 61 percent of that amount. Under the revised ordinance the residential share is projected to fall to 54 percent, shifting AED 6.8 million onto commercial accounts.
Implementation begins with updated assessment notices mailed by 15 August. Property owners may request a review of their individual valuation through the municipal portal until 30 September. The council has scheduled a follow-up review of collections in January 2027 to determine whether further adjustments are required.