A new law regulating shared accommodation in Dubai came into effect on Wednesday, introducing permits and occupancy controls as authorities move to tackle overcrowding and informal housing.
Law No 4 of 2026 covers properties where individuals or families rent their own space while sharing facilities such as kitchens, bathrooms and dining areas.
Dubai Municipality will determine the maximum number of people allowed to live in each property, the amount of space that must be provided for each resident and the communal facilities that must be available.
Existing Dubai regulations require at least five square metres of living space for each resident in shared accommodation.
The law was issued by Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, in March and came into effect 180 days after its publication in Dubai’s Official Gazette. Existing landlords and businesses already operating shared accommodation have one year from the law coming into force to bring their properties into compliance.
The legislation is intended to curb overcrowding and unregulated shared housing while improving health and safety standards and protecting the rights of landlords and residents.
In July last year, a fire in a residential block in Dubai Marina that was home to more than 3,800 people exposed fire traps in illegally partitioned homes.
Authorities clamped down on illegal sublets and partitioned units across Dubai in 2025, warning that makeshift divisions within rooms were fire hazards.
What are illegal partitions?
It is illegal for a bedroom, living area or balcony within a home to be divided by wooden or non-fire-rated gypsum boards without a permit from Dubai Municipality.
These makeshift barriers enable more tenants to be accommodated in a residential unit. They are also used to provide additional office space.
New rules for landlords and tenants
Permits will be valid for one year and can be renewed, although authorities can issue a two-year permit at the owner’s request.
Dubai Municipality and other relevant authorities will have the power to carry out inspections to ensure properties comply with the rules.
Only property owners and licensed operators will be permitted to let shared accommodation. Residents will not be allowed to sublet their rooms or allocated spaces to another person, although the law gives residents greater flexibility to leave shared accommodation. A tenant can terminate an agreement after giving the required notice and can recover prepaid rent, minus the equivalent of one month’s rent.
Fines of up to Dh1 million
Violations of the law can attract fines ranging from Dh500 to Dh500,000. The penalty can be doubled when the same offence is repeated within a year, up to a maximum of Dh1 million.
Authorities can also suspend an operator for up to six months, cancel permits or commercial licences, disconnect utilities from offending properties and ultimately seek their eviction.