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New law prohibits erratic rent hikes

SHARJAH — Sharjah Municipality has clarified that although no rent cap was announced in the new tenancy law announced by the Sharjah government recently, landlords will be prohibited from effecting erratic rent hikes.

Dr Salah Al Haj, director-general of Sharjah Municipality, told Khaleej Times that a technical and financial committee had been set up to evaluate the fairness of rent hikes by landlords. He stressed that the new law protects the tenants in two ways. “One, there will be no annual rent hike, and two, the landlords will be curtailed from effecting erratic rent hikes.”

Al Haj was speaking to Khaleej Times following a recent report published in the newspaper. In this report, some residents had expressed concern that the new tenancy law may result in steep increases in rents in the absence of a specific rent cap.

Al Haj pointed out that the law stipulates that landlords shall not increase the rent before the lapse of three years since the commencement of the contract, and every two years afterwards.

Al Haj said the law aimed at providing security to the tenants as their rents wouldn’t be hiked for a three-year period. “This law is the most advanced initiative compared to other tenancy laws in the country as it protects the rights of both the tenants and the landlords,” he asserted.

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