Letting an office in Abu Dhabi follows the same tenancy law as a home, Law No. 20 of 2006, but several rules differ: the notice period, when the rent is due, the Tawtheeq fees and VAT. On Al Reem and Al Maryah Islands the lease falls under ADGM instead. Below is what a landlord should know, with the official page for each point.
Which rules apply to an office lease?
Abu Dhabi's tenancy law covers property let for living and for commercial, industrial, professional or vocational use, so an office outside ADGM falls under it. The points that matter most to a landlord:
- The lease is made in writing.
- Rent for commercial use is due within 30 days of the date agreed in writing, against a receipt, unless you agree otherwise. For a home it is 21 days.
- The tenant may not assign or sublet the office, in whole or in part, without your written permission.
- The tenant may not alter the premises without your written permission, unless the change causes no damage, so agree any fit-out in writing.
- If you sell the office, the lease carries on with the new owner.
- If you do not want to renew the lease, or want to change its terms, tell the tenant in writing three months before it ends. For a home the notice is two months. The notice does not by itself end a tenancy against the tenant's wishes: if the tenant stays, only the Rental Dispute Settlement Committee can order eviction, on the grounds listed in Article 23 of the law.
Office lease or home lease: what differs
| Point | Office | Home |
|---|
| Notice to change terms or not renew | 3 months before the end, in writing | 2 months before the end, in writing |
| Rent due | Within 30 days of the agreed date | Within 21 days of the agreed date |
| Tawtheeq fee, lease under 4 years | AED 50 a contract | AED 50 a contract |
| Tawtheeq fee, 4 years or more | AED 50 a year | 1% of a year's rent |
| Municipality fee on DARI's fee page | None | 5% of the yearly rent, at least AED 450, for tenants who are not UAE nationals |
| VAT on the rent | 5% | Generally exempt |
DARI's fee page was last edited in January 2024 and says fees vary with the contract type, so check the amount shown in your application before you pay.
Registering an office lease on Tawtheeq
Outside ADGM, an office lease is registered on Tawtheeq through DARI, the same service as for a home: you start the contract and the tenant accepts it. In the first step you choose the commercial contract type, and for a company tenant you enter its trade licence number. DARI notes that a contract longer than four years needs an official approval from the Department of Municipalities and Transport, and under the property registration law a lease of more than four years is registered in the property register.
If the building or unit is not yet enrolled in Tawtheeq, TAMM's Enrol and Register Units for Lease service comes first, at AED 900 plus AED 5 a unit for a building. The full steps are in our guide to registering a lease on Tawtheeq.
Why the tenant needs the registered lease
A business working from a mainland office holds an economic licence from the Department of Economic Development. TAMM lists an approved lease contract among the documents to renew a commercial licence, although some licence types do not need one. An instant licence can be issued without a lease, but the lease contract is then due within 30 days. Registering the lease early helps your tenant keep the licence on time.
Rent increases in 2026
Since 3 June 2026, ADREC has set rent increases at 0% for residential, commercial and industrial properties across the emirate, for a temporary period and until further notice. Renewals and new agreements reference the rent in the property's last registered Tawtheeq contract. More in our rent freeze guide for landlords.
VAT on office rent
The Federal Tax Authority's real estate VAT guide says the sale or lease of commercial property is subject to VAT at 5%, while the lease of a residential building is generally exempt. A landlord resident in the UAE has to register for VAT once taxable supplies pass the mandatory threshold of AED 375,000 over the previous 12 months. Check your own position with the FTA.
Offices on Al Reem and Al Maryah Islands
Both islands are inside ADGM, which has its own Real Property Regulations and register. An office lease there is registered on ADGM's AccessRP platform, not on Tawtheeq. The registration is usually started by the owner or landlord, and the tenant approves it.
- Fees: under ADGM's fee rules of October 2024, a residential or commercial lease under four years carries a service fee of AED 100 and an authority fee of 5% of the lease value. From four to 25 years the service fee is 1% of the average yearly rent, plus the same 5%. A renewal costs the same as a registration.
- Rent increases: ADGM said on 3 June 2026 that its existing 5% yearly cap continues across both islands. Ask ADGM how it applies to your office lease before you set a renewal rent.
- Disputes: real estate disputes in ADGM go to the ADGM Courts.
Where office lease disputes go
Outside ADGM, a dispute between a landlord and a tenant goes to the Rental Dispute Settlement Committees of the Abu Dhabi Judicial Department, which decide cases under Law No. 20 of 2006. A committee's judgment is final when the dispute is worth AED 50,000 or less; above that it can be appealed.
Official sources
Read on 31 October 2026. Rules and fees can change: check the official page before you act.
- ADREC Rules and Regulations: Law No. 20 of 2006 as amended (Articles 2, 3, 11, 13, 17, 18, 20, 23 and 28) and Law No. 3 of 2005
- DARI: Register Tenancy Contract (Lessor)
- DARI: Lease Registration Fees
- TAMM: Enrol and Register Units for Lease
- TAMM: Renew Economic Licence, Commercial
- TAMM: Issue Economic Licence, Instant Licence
- ADREC: Temporary update to Annual Rental Cap Increase in Abu Dhabi
- Federal Tax Authority: VAT Guide, Real Estate (VATGRE1)
- Federal Tax Authority: Cabinet Decision No. 52 of 2017 (VAT registration threshold)
- ADGM: Our Jurisdiction (Al Maryah and Al Reem Islands)
- ADGM: AccessRP and FAQs
- ADGM: Real Property Regulations (Fees) Rules 2024
- ADGM statement: existing 5% rental cap continues on Al Maryah and Al Reem Islands (Arabic)
- ADGM: Real Estate Services (real estate disputes go to ADGM Courts)
- Abu Dhabi Judicial Department: Rental Dispute Settlement Committees
Frequently asked questions
Does Abu Dhabi's tenancy law cover offices?
Yes. Law No. 20 of 2006 applies to property let for commercial, industrial, professional or vocational use as well as homes. On Al Reem and Al Maryah Islands, ADGM's own regulations apply.
How much notice must I give before an office lease ends?
Three months, in writing, before the lease ends, if you do not want to renew it or want to change its terms. For a home the notice is two months. The notice alone does not evict a tenant who stays; only the Rental Dispute Settlement Committee can order that, on the law's grounds.
What does it cost to register an office lease on Tawtheeq?
DARI lists AED 50 a contract for a commercial lease under four years and AED 50 a year for four years or more, with no municipality fee. Check the amount shown in your application.
Can I raise the rent when an office lease renews?
Outside ADGM, not for now: since 3 June 2026, renewals of residential, commercial and industrial leases are at a 0% increase until further notice. On Al Reem and Al Maryah, ADGM keeps its existing 5% cap; ask ADGM how it applies to your lease.
Is VAT charged on office rent in Abu Dhabi?
Yes. The Federal Tax Authority says the lease of commercial property is subject to VAT at 5%, while a residential lease is generally exempt. A landlord resident in the UAE registers for VAT once taxable supplies pass AED 375,000 over 12 months.
Can my tenant sublet the office?
Not without your written permission. Law No. 20 of 2006 bars assigning or subletting, in whole or in part, without it, and you can give that permission in the lease itself.
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