Dubai Municipality publishes full list of districts where co-living is permitted

Dubai has introduced new regulations for shared accommodation, giving property owners and operators one year to bring their operations into compliance with the updated standards. According to a new circular issued by the Dubai Municipality, shared accommodation will be divided into two categories: individual and family accommodation.

Shared accommodation is only permitted in approved areas. Currently, the Dubai Municipality has designated over 44 such zones, including Al Suk Al Kabir, Al Ras, Al Warka 1, Al Barsha 1, Al Murakkabat, and Al Rigga; more zones will be announced later.

Properties located on major tourist and commercial streets, such as Bani Yas Road, Sheikh Zayed Road, Jumeirah Road, and Al Wasl Road, may be used exclusively for family accommodation, not for individual use.

To obtain a shared accommodation permit, owners and operators must meet a series of conditions. First, the owner must ensure that the building or villa is located in one of the 44 approved areas; otherwise, registration is impossible.

It is important that the entire building or villa is used for only one category of accommodation—either individual or family; mixing the two categories in one property is prohibited.

There are also area requirements: each person must have at least 5 square meters of sleeping space. In the case of family accommodation, each family must have a separate bedroom with its own bathroom.

Furthermore, kitchens must provide an area of at least 1 square meter per resident. Bathroom requirements depend on the configuration: if the toilet and shower are combined, there must be at least one bathroom for every four people; if they are separate, one toilet is required for every four people and one shower for every six people.

Parking spaces for bicycles must also be provided in a quantity of at least 10 percent of the total number of residents in the building.

After meeting all these conditions, owners must obtain a construction permit for shared accommodation. This requirement applies to both new and existing buildings or villas requiring modification. Applications are submitted through the Dubai Construction Platform with the assistance of an appointed engineering consultant.

These consulting offices will undergo training on electronic services related to issuing shared accommodation permits. The engineering consultant must provide all plans and information, including building, apartment, and room numbers, their areas, occupant categories, and occupancy rates. The consultant must also confirm the building's compliance with fire safety, sanitation, environmental, and security requirements.

Upon issuance of the completion certificate, the shared accommodation permit will be provided. This document contains all necessary information for the Dubai Land Department, allowing rental agreements to be drawn up for residents. The emirate previously announced the introduction of a special rental index for shared accommodation.

The permit is valid for one year and can be extended. Applicants can also request a two-year term. Owners and building operators must apply for renewal no later than 30 days before the expiration date. Applicants have until September 8, 2027, to legalize their status. This grace period does not cover violations of building codes or unauthorized changes in use. Violations may result in fines ranging from 500 to 500,000 dirhams.

A new co-living law in Dubai allows residents to terminate their lease before the contract expires and demand a refund of prepaid rent.

According to Law No. 4 of 2026, the tenant has the right to terminate the lease agreement at any time, provided they notify the landlord in a timely manner. The minimum notice period is 30 days, but if the contract specifies a longer period, that one applies.

This provision is part of Dubai's new regulatory framework for co-living, although detailed requirements and licensing procedures are still being implemented. Previously, the Dubai Municipality informed Khaleej Times that the law's details would be announced, and a new service would be added to the Service Guide to simplify co-living licensing.

The law grants residents who terminate the contract according to the notification terms the right to request a refund of prepaid rent. However, the law gives the landlord the right to deduct an amount equivalent to one month's rent from the prepayment before returning the balance.

This rule is particularly relevant for those who have paid rent several months in advance. Under the new co-living system, rent is defaulted to be paid monthly unless otherwise agreed upon by the tenant and landlord. Furthermore, utility bills for electricity and water are included in the rent unless the parties agree otherwise.

The law provides a special mechanism for residents who do not receive the due funds. If the tenant does not recover the amount within 30 days after notifying the landlord of the refund request, they can file a petition with the Enforcement Court to recover the rent.

The Rental Disputes Center has exclusive jurisdiction over disagreements concerning the rights and obligations established by the co-living law. The method of providing notice may also be significant in case of subsequent disputes.

The law stipulates that termination notices can be delivered via a notary, sent to the email registered in the lease agreement, handed over in person, or delivered by any other legally approved method. Therefore, residents should ensure that the notice is submitted using one of the recognized methods, rather than relying on an informal verbal conversation.

Another important protection for co-living residents is contained in the law: a change of property owner does not automatically terminate the contract. If the co-living property transfers to a new owner, the existing lease agreement remains valid, and the resident has the right to continue residing there according to the contract signed with the previous owner.

Co-living agreements must specify the lease term and remain valid until its end unless terminated in accordance with the law. These provisions are part of a structure that formalizes co-living in Dubai through permits, registered lease agreements, living standards, and specific rights and obligations for owners, authorized institutions, and residents.