Index to provide a sliding scale for basic to premium service fees across the emirate
A service fee index is set to be released next month by Dubai’s Real Estate Regulatory Agency (RERA) to provide a sliding scale for basic to premium service fees across the emirate.
“While the implementation of the index would not compulsory, it will bring more transparency into the market and reduce the disputes about service fees,” Marwan Bin Galitah, CEO of RERA was quoted as saying by the Gulf News.
“This year we could decrease the service fees by 17% in different areas in Dubai to an average of $3.13 per square foot,” he said.
The service fees fund the upkeep of a building, from utilities to security to cleaning and should be regulated, said Bin Galitah.
“The goal would be to counter pressure to simply slash costs and possibly quality, especially as competition in the growing facility management industry intensifies,” he added.