Mohammed Rashid Al Nuaimi, chairman of the Committee for Settlement of Rental Disputes told the same to Khaleej Times in response to complaints by new tenants on paying exorbitant rates.

A group of new tenants told Khaleej Times that their landlord had signed new tenancy contracts with them at the value of Dh120,000 for a two-bed 
room flat but they discovered that the previous tenants had paid 
only Dh60,000.

The said the landlord told them that they are new tenants and that and he has the right to fix the rent he likes but he will be abided by the legal increase of five per cent per year.

One of the new tenants, Ahmed 
Nasr Al Din said, “We found this flat
 after a three-month long painful 
search as Abu Dhabi is facing a crisis of residential units for medium earners. I signed a contract with the landlord at Dh120,000 a year. I paid the money and lived in the flat but I discovered that the previous tenant had paid 
only Dh45,000. When I asked the landlord, he told me you had signed a contract and you have two options - accept or leave.”

“I didn’t complain because I didn’t want to start looking for another flat. I am afraid of getting kicked out by the landlord,” he added, noting that others were facing the same problem.

Al Nuaimi said tenants should educate themselves about the new tenancy law in Abu Dhabi which orders the owner not to increase the rental value over five per cent a year even to a new tenant.

He called on new tenants to have a look at the last tenancy contract as it will set the principle for determining the new rental value which should 
not be raised over the five per cent 
of the old contract.

adel@khaleejtimes.com

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