Damac reports a drop in profit for the third quarter after the cost of sales skyrocket. Antonie Robertson / The National
Damac reports a drop in profit for the third quarter after the cost of sales skyrocket. Antonie Robertson / The National
Damac reports a drop in profit for the third quarter after the cost of sales skyrocket. Antonie Robertson / The National
Damac reports a drop in profit for the third quarter after the cost of sales skyrocket. Antonie Robertson / The National

Damac to scrap Dh20 building access fee for cleaners and workmen after outcry


Patrick Ryan
  • English
  • Arabic

Dubai property developer Damac is scrapping plans to charge workmen and cleaners Dh20 per day to enter their buildings.

The company will require contractors to register with them but it will drop the fee.

It said the move introduced last week was to increase security and to generate extra revenue for owners’ associations — but it was met with protests from residents and property owners.

Residents signed a petition demanding that Damac and its building management company, Loams, stop charging the fee.

“After reviewing the concerns raised by residents and owners, Loams has re-evaluated the implementation process of vendor registration and work permits, resulting in the decision that hence forth all registration fees will be waived,” said Niall McLoughlin, senior vice president at Damac Properties.

“The primary focus of vendor registration continues to remain on ensuring safety and quality of service which is why the registration process will continue to be implemented without fees."

Residents last week said security guards were stopping cleaners and workmen and asking them to pay the fee. Residents said they could not expect workers to pay and that it was effectively a charge on them.

They were told the fee would be Dh20 per day or an annual fee of Dh5,000.

Dozens of homeowners and residents went as far as to petition the property developer, urging Damac to reverse its stance.

“The decision has created a most unpleasant environment among owners and tenants as it came without any merit,” read the petition.

“Why would cleaners and maintenance staff accept these charges which would cut down their already modest income?

“What’s next? Charging an access fee for our guests?”

Earlier this week Damac announced it was rethinking its stance in light of the objections from residents who felt the new charges were unwarranted.

“With respect to the work permit fees implemented in Damac/Loams managed property on July 31, 2019, we have listened to the concerns raised by residents and owners,” Mr McLoughlin said at the time.

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