Source: ADREC, 3 June 2026
On 3 June 2026, the Abu Dhabi Real Estate Centre (ADREC) announced that the Government of Abu Dhabi had changed the permitted annual rent increase from 5% to 0% for residential, commercial and industrial properties across the emirate, for a temporary short period and until further notice. The release is dated 3 June 2026; ADREC's later H1 2026 market report gives 2 June 2026 as the date the measure took effect.
What the measure says
- All residential, commercial and industrial tenancy renewals are processed at a 0% increase for as long as the measure lasts.
- All renewals and new agreements reference the rent in the property's last registered Tawtheeq contract.
- ADREC oversees implementation and compliance across the emirate.
- Tenants and businesses who believe the directive is not being observed can contact ADREC through adrec.gov.ae, its customer service line or its official email address.
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Why ADREC acted
ADREC said demand had consistently exceeded supply over the past few years and occupancy had reached record highs. New lease prices, for all home types, had risen 15% across Abu Dhabi and 23% in investment zones compared with the previous year.
The status today
The 3 June release sets no end date. ADREC's H1 2026 market report, released on 18 August 2026, describes the freeze as a temporary measure in effect since 2 June: renewals capped at 0%, re-let contracts held at their preceding value, and ADGM communities excluded. In the same report, ADREC's Director General writes that ADREC will review the measure "against the data, not the calendar". As of 29 October 2026, ADREC's news centre shows no later announcement that changes or ends the measure.
Points to check for your property
- ADGM communities: ADREC's report says the freeze does not apply there, so check the lease rules that apply to your ADGM property.
- Homes never leased before: the measure ties rent to the last registered Tawtheeq contract, so if your home has none, confirm with ADREC how the measure applies before you set a rent.
- Commercial and industrial units: the 0% cap covers their renewals too.
What it means for owners
Outside ADGM communities, your renewal rent is your last registered Tawtheeq rent for as long as the measure lasts, and a new tenant in a previously let home starts at that same figure.
Plan renewals, re-lets and any sale around that rent, and follow adrec.gov.ae for any official change to the measure.
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Disclaimer: Content is for informational purposes only and does not constitute real estate, legal, or financial advice. Property details, prices, and market data are subject to change. Always seek professional guidance before making any property decision.
