Ajman plans Rera-like body

The Ajman Government will establish a real estate regulatory body, which will be similar to Dubai’s Real Estate Regulatory Authority (Rera), in the first quarter of 2009 to streamline the sector in the emirate, a top government official said. « The new real estate regulatory body will be similar to that of Dubai’s Rera and will be established in the first quarter of next year. The government agency will be a separate entity and will not be a part of the Ajman’s Department of Land and Property, » Mohammed bin Ahmed bin Omeir, Director of Planning and Survey Department of the Ajman Municipality, told Emirates Business. In June this year, the Ajman Government issued Emiri Decree No7 and No8 to regulate the emirate’s land and properties sector. The government will, however, enforce the escrow account law by first quarter of next year with the new agency ensuring implementation of the law. « The escrow account law is on similar line of the trust account law in Dubai. It is currently being drafted, » said Bin Omeir. Rera CEO Marwan bin Ghalita told this newspaper earlier that other emirates in the UAE and the Gulf Co-operation Council (GCC) countries were looking to create a body similar to Rera in order to regulate their property markets. « Many GCC country officials have come to us to discuss the blueprint of Dubai’s Rera and understand how they can establish a body similar to Rera in their respective countries, » said Bin Ghalita. Rera, which is part of the Dubai Lands Department, is a nodal agency established in July 2007 that formulates, regulates, manages and licenses various real estates related activities in the emirate. Ajman opened up its freehold property sector to foreign nationals in 2004. The law allows non-GCC developers and buyers to own freehold land and property in designated areas determined and approved by the emirate’s ruler. Robert McKinnon, Managing Director of Research at Al Mal Capital, said: « It is a good time for Ajman to enforce regulations in the emirate. The success of the new body will depend on the type of regulations it will bring into force. » Anjana Kumar business24-7.ae