The high level of advanced technologies in Dubai is known to almost everyone. The leadership in the real estate sphere is also the result of implementation of high-tech. Moreover, the developers do not intend to stop and continue to create new, even more sophisticated projects. For this reason, Dubai has presented a rating for buildings with a number of “stars” from 1 to 4 on various parameters, including energy efficiency 4 plus. All the developments from villas in Palm Jumeirah to apartments in Damac Hills in 2022 will undergo the examination. Dubai is forcing its developers and landlords to think seriously about quality and sustainability. And the new star rating system for buildings is designed to ensure that this task is accomplished.
Star-rating system of real estate in Dubai
Dubai now has a one- to four-star building rating system, in which each building is rated on a set of clearly defined parameters. There is also a whole new level in this rating that developers and landlords can aspire to – it is “4Plus”. It is awarded to buildings that meet all other criteria as well as those related to environmental performance.
4Plus was introduced in line with the UAE’s commitment to meeting global climate change and emission reduction goals. Currently, only about 1% of Dubai’s buildings qualify as 4Plus.
According to informed sources, the star rating system encourages building owners to strive for a higher category. Right now, about 20 percent of existing buildings have a 4-star rating.
The number of houses rated
There are currently 18,000 buildings rated in Dubai. These include residences, offices and other types of real estate. But villas and government buildings are excluded from the assessment, as are hotels, because the latter have their own classification. (In all, about 10,000 buildings are excluded from the rating, including DEWA substations.) The specialists say that such an approach aims at improving the quality of old buildings, renovating them, and making them live up to modern standards.
The importance of star rating
The star rating was introduced not for pure desires of the government, but because of several important reasons.
- It is based on technical efficiency and design parameters will help property buyers and tenants determine what the price of a property should be.
- It helps to explain price differences between buildings in the same neighborhood.
- It provides a clear understanding of what should be improved to increase the quality of buildings.
- It gives the opportunity to decide on appropriate housing options judging from objective criteria.
App to see the results of the rating
To view a building’s rating, you must log in to the Dubai REST app and download the report for free. If the data related to the building needs to be updated, you can send a request at a cost of AED 500. The authorities interested in promoting the real estate will update the news and a new report will be released two days later.
The newly updated rating gives potential house owners the opportunity to see a clear picture of what they are buying. The Dubai Land Department has established comprehensive benchmarks that will give developers more incentives to improve quality.
All-encompassing study of 150,000 parcels of land
The full-scale investigation subjected 28,835 buildings, 102,523 villas, 61,321 vacant lots, 773 parking spaces and 6,943 buildings under construction to undergo classification in Dubai. The results were added to the app.
Reasons of the popularity of real estate in Dubai
The phenomenon of the Dubai real estate market will puzzle economists for years to come. Incredible projects built in a short time, billion-dollar investments, skyrocketing prices and unprecedented profits – all this will still require serious analysis by scientists. But investors cannot ponder too long – they need to make a decision quickly and accurately, and the competent opinion of professionals can provide invaluable assistance. The above-mentioned rating was developed on the basis of high demand on all types of Dubai`s real estate. Such popularity of property is forced by the following advantageous issues:
- Regardless of the neighborhood the property is located in, the metropolis features comfort and developed infrastructure.
- Absence of annual taxes.
- High investment return regardless of the type and location of real property.
- High level of tourist sphere featuring constant flow of potential tenants.
- Abundance of job opportunities.
- Possibility to choose from a wide selection of luxury options.
Professional help in choosing real estate
4Plus rating works in the best way in cooperation with the professionals from a trusted real estate agency. Ax Capital offers a wide selection of beneficial housing options at affordable prices. Do not hesitate to ask for qualified help to get aware of all the important details of a deal.
