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Dubai Strata Title Law

INFORMATION SESSIONS(June 25-26, 2007)


Session 1

WELCOME AND INTRODUCTION


Session 2

ASSESSMENT OF REQUIREMENTS

Gary Bugdenwww.garybugden.com

The obvious -

Dubai is experiencing development on scales

of size and complexity that are unique in the

world today.

The way these development projects are

titled, subdivided and managed will be critical

to –

• Their smooth operation in the future

• The integrity of the Dubai real estate market

The challenge -

To achieve laws that are:

• Regional specific (not transplanted)

• Sensitive to economic, cultural, political and

social conditionssocial conditions

• Based on best practice

• Able to cope with the range of projects in the

Emirate

The reality -

These laws:

• Will not be perfect

• Will need to evolve as local • Will need to evolve as local

conditions change

• Will need regular review

• Will require innovative application

Projects to be accommodated

• Stand-alone high rise apartment buildings

• Large and complex mixed use buildingsbuildings

• Master planned communities (comprising

multiple uses and multiple housing types)

• Master developer arrangements

• Staged developments


Session 3

PROPOSED DEVELOPMENT AND MANAGEMENT

MECHANISMS


Development and management

mechanisms

• Subdivision of a building into units and common areas (i.e. conventional strata title)

• Subdivision of a building into volumetric lots (i.e. a non-strata title subdivision)lots (i.e. a non-strata title subdivision)

• Subdivision of part of a building into units and common areas (i.e. subdivision of a volumetric lot)

• Subdivision of land into units (plots) and common areas (i.e. conventional community or group title)

• Owners Associations

Before proceeding with more mechanisms –

Let’s consider the ones Let’s consider the ones already identified!

Stand-alone apartment building

Volumetric lot subdivision

MIXED-USE

BUILDING

VOLUMETRIC

SUBDIVISION

PLAN

OFFICE

TOWERHOTEL SHOPS

Umbrella

Management

Agreement

(BMS)

LAND

AND

BUILDING

SUBDIVISION

PLAN

COMMERCIAL

OFFICES

COMPONENT

RETAIL

COMPONENT

Offices

Owner

Retail

Owner

RESIDENTIAL

COMPONENT

UMBRELLA

MANAGEMENT

AGREEMENT

(BMS)

Part-building stratasubdivision

SITE PLAN

COMMON

AREAS

DIRECTOR

or

BOARD

UNITS

MASTER

COMMUNITY

DECLARATIONOWNERS

ASSOCIATION

DEVELOPMENT

LAND

SITE

PLAN

HOTEL

PLOT

SHOPPING

VILLAGE

PLOT

RESIDENTIAL

DEVELOPMENT

PLOT

GOLF

COURSE

PLOT

MARINA

FACILITIES

PLOT

Hotel

Owner

Shops

Owner

Golf

Owner

Marina

Owner

SITE

PLAN

Master

Community

Declaration

Master

Community

Declaration

FIRST

LAYER

SECOND

LAYER

Resort style land subdivision

FREE-STANDING

HOUSES

DEVELOPMENT

PLOT

VILLA-HOMES

DEVELOPMENT

PLOT

SITE

PLAN

SITE

PLAN

UNITSCOMMON

AREASUNITS

COMMON

AREAS

Declaration

Master

Community

Declaration

Master

Community

Declaration

THIRD

LAYER

Owners AssociationsDEVELOPMENT

LAND

OWNERS

ASSOCIATION

HOTEL

OWNER

SHOPPING

VILLAGE

OWNER

OWNERS

ASSOCIATION

GOLF

COURSE

OWNER

MARINA

FACILITIES

OWNER

OWNERS

ASSOCIATION

(Houses)

OWNERS

ASSOCIATION

(Villas)

UNIT

OWNERS

UNIT

OWNERS

Development and management

mechanisms(Continued)

• 2 and 3 tier Association structures

• Umbrella management agreements (BMS) that run with the land (as an option to replace an

Association)

• Master community declaration • Master community declaration (to allow some

structuring flexibility)

• Staged development (using single or multiple

Associations)

• Long term management agreements (subject

to disclosure)


Session 4

OVERVIEW OF PROPOSED STRATA LAW


Structure

LAW

Owners

Association

Regulations

Development

Regulations

Survey

Regulations

Master

Community

Declaration

RegulationsRegulations

Orders/

Instructions/

Designated Forms

Master Community

Declaration

(Prepared by

Developer)

The Law

• Registration of Jointly Owned Property

• Ownership of Jointly Owned Properties

• The concept of a Master Community DeclarationDeclaration

• Rights of support and shelter

• The concept of Community Rules

• Disposal of Units

• Formation of Owners Association

The Law (Continued)

• Membership of Owners Association

• Funding of Owners Association

• Common Areas

• Key obligations of Developers• Key obligations of Developers

• Jointly Owned Property insurance requirements

• Closing provisions

Dubai Strata Title LawINFORMATION SESSIONS

COFFEE BREAKCOFFEE BREAK


Session 5

OVERVIEW OF PROPOSED

REGULATIONS


Owners Association Regulations

• Role of the Association

• Membership of the Association

• Representation of Unit Owners

• Management, including:• Management, including:– Powers and authorities

– Record keeping

– Detail on insurance requirements

– Annual service charges

– Settlement of disputes

Owners Association Regulations(Continued)

• Appointment of a manager

• Meeting procedures

• Finances

• Member’s rights and obligations (including • Member’s rights and obligations (including relating to Community Rules)

Development Regulations

• Disclosure of information to purchasers

• Form and content of Building Management Statements

• More detail on warranties• More detail on warranties

• Prohibition of certain types of arrangements

• Provision of utility services

• Other consumer protection matters

Master Community Declaration

Regulations• Description of the development

• Approach to development (i.e. staging, relationships to other parts of the project and other structuring arrangements)

• Architectural and Landscape Code (particularly • Architectural and Landscape Code (particularly where sub-development is being undertaken)

• Utility Services arrangements

• Any special Common Area arrangements

• Project specific easements and covenants

• Identification of Unit numbering

• Allocation of shares in Common Areas

• Community Rules

Survey Regulations

• Plan formats

• Plan and other numbering

• Description of plot(s)

• Delineation of unit boundaries

• Delineation of common property

• Delineation of easements• Delineation of easements

• Requirements for volumetric plots

• Use of sketch plans

• Staged subdivisions

• Correcting errors

• Registration process

• Amendment


Session 6

GUIDE TO PROJECT STRUCTURING


Volumetric Subdivision(With Owners Association as a component)


Session 7

DEVELOPERS’ RESPONSE


Session 8

LAWYERS’ RESPONSE


Session 9

FUTURE PROCESS


Session 10

SUMMING UP



INFORMATION SESSIONS(June 25-26, 2007)

dubai strata title law - an urbanise.com company · dubai strata title law session 2 assessment of...

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