UAE Property: 'Can I use my rental villa as a temporary office?'

The moment you operate a business from home, you’re in licensing territory. Pawan Singh for The National

Question: I have been living in a rented villa for some time but recently changed careers by going freelance. I now need to work remotely. Can I use the villa as a small office for two staff and the odd client meeting without changing my tenancy?

I don't want to fall foul of the rental laws. CL, Dubai

Answer: Remote working generally is rarely an issue, but the moment you operate a business from home – with employees, client visits, signage and storage – you’re in licensing territory.

Esports and helipads: What Dh200,000 fees get you at Dubai school

Read More

In Dubai, most commercial activities require a trade licence and a registered office (Ejari or free zone facility). There is, however, a potential solution in the form of a home-based licence called Intelaq, but it is designed for Emiratis and Gulf nationals through Dubai SME.

Expats generally need a mainland or free zone licence with a permitted workspace (an office or flexi-desk).

In practice, you should not convert a residential villa into a de facto office without: (a) landlord consent, (b) community/owners association approval and (c) the right licence.

Even with Dubai’s “instant” or e-licences, you’ll still need to regularise the office address in due course. If you proceed informally and a neighbour complains, you could face penalties and be in breach of “permitted use” under the lease.

To summarise, I suggest the following: If you’re an expat, set up a mainland licence with a flexi-desk or a free zone solution; keep home strictly residential. If you are eligible (Emirati/Gulf national), explore Intelaq with Dubai SME – it’s the formal route for home-based businesses.

In any case and whatever you choose, put the landlord's consent and permitted use into an addendum to avoid tenancy violations or issues in the future.

Watch: Here's what Dh1 million gets you in Dubai's property market today

Here's what Dh1 million gets you in Dubai's property market today

03:49

Q: My landlord wants to “green” the building by installing solar panels, chiller upgrades and doing an LED retrofit. However, he says my rent must go up to cover it. Can he pass these costs to me? Do I have a say in this as it will affect me financially? PR, Dubai

A: Given that presumably you live in a building in Dubai, the golden rule is that service and usage charges for common areas are the owner’s responsibility, unless your lease explicitly says otherwise.

These charges (approved each year through the Real Estate Regulatory Agency’s Mollak system) fund cleaning, security, maintenance and upgrades to common parts – exactly the type of retrofit you describe.

The Rental Disputes Centre has reiterated that owners remain liable even if a tenant doesn’t pay; chiller charges for common areas are treated the same way.

Inside your apartment, the landlord must hand it over in a condition that allows full use. Capital improvements they choose to do are at their cost. If you specifically request an upgrade (say, replacing your unit’s air conditioning), you can agree in writing to share or bear that cost – but it must be in an addendum.

So, to answer your question, a landlord can recover retrofit spending by increasing the rent only if it falls within Dubai’s rent control framework.

Any change at renewal requires 90 days’ written notice and the permitted increase depends on the Dubai Land Department’s Smart Rental Index, which now considers a building’s classification (star rating).

If their upgrade genuinely improves the building’s rating, the index may allow a higher rent – but it’s the index that governs this, not the owner’s invoice. Use the DLD rental index tool to check the legal increase, you can find it on the website or the Dubai Rest app.

I would suggest you do the following: ask for the owners’ association or Rera-approved budget showing the work and whether it’s a common area item. If a rent rise is proposed, ask the landlord to show the allowed increase from the DLD index and challenge anything above that at the Rent Dispute Committee, if necessary.

The opinions expressed do not constitute legal advice and are provided for information only. Please send any questions to [e-mail]