Ajman is all set to codify its freehold property law immediately after Dubai announces its decree on the condominium law, a top government official said.
"The freehold property law for Ajman is almost ready.
"Since most of the projects coming up in the emirate are apartments rather than villas, we are just waiting for Dubai to pass its condominium law," Rami M Dabbas, Ajman Investment and Development Authority's Head of Real Estate Development, told Emirates Today.
In anticipation, Ajman has witnessed a spurt in freehold real estate development with estimates pointing to projects worth between Dh20 billion and Dh25bn launched in 2006.
In January, the Government of Ajman announced the Dh50bn Al Zorah project in partnership with Beirut-based firm Solidere Management Service.
Developers such as R Holdings, Tameer, National Center for Real Investment and Khoie Properties have been selling their projects in Ajman as freehold properties.
A similar situation in Dubai before the freehold decree was announced early last year has resulted in a real-estate boom.
"We have framed the property law on the same lines as those announced by other emirates to bring in homogeneity," Dabbas said.
Crown Prince Sheikh Ammar bin Humaid Al Nuaimi, however, said his emirate was not like other emirates.
Rather it is framing its own roadmap for growth in various sectors, he told Emirates Today last month.
"We are doing our own thing, and we are not following any other emirate.
"Though, obviously, we are studying the market in other emirates and we are learning from their models of growth," said Sheikh Ammar. He rejected the notion that Ajman's market will be in competition with Dubai and Abu Dhabi.
"We are not competing, but are complementing them. Though we are targeting the same people, we offer them more choice. It is for the people to decide," he said.
Sheikh Ammar said Dubai's efforts to market itself as a destination had helped all other emirates attract invest ment in the realty sector.
"Brand Dubai is to our advantage as they are promoting the whole country, not just Dubai. And we are taking advantage of this," he said.
Airport ruled out
Sheikh Ammar bin Humaid Al Nuaimi said Ajman would not construct its own international airport, nor will it have its own airline. Dubai has Emirates, Abu Dhabi has Etihad Airways and Ras Al Khaimah recently said it will start RAK Airlines.
"We did consider building an airport in Ajman. Given the amount of land available to us, however, we thought it better to put it to other uses," said Sheikh Ammar.
Rent cap review
A cap on rent increases in Ajman may be reviewed and reduced from its current level of 20 per cent, Sheikh Ammar bin Humaid Al Nuaimi said. Dubai recently reduced the rent cap from 15 to seven per cent. Abu Dhabi imposed a seven per cent cap last year.
"I did issue a rent-cap decree of 20 per cent some time ago," the Crown Prince said. "We are looking at the market reaction this year and if people don't like it then we will be reducing the rent cap."
By Swarup Deol
© Emirates Today 2007
