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Service Charges
Property Measurement
UAE Property Measurement —
3 Key Terms
In the UAE, property listings reference three distinct area measurements. Understanding each one before you sign prevents costly surprises.
The space inside your apartment walls — where you place furniture and live. Measured inner wall to inner wall. The most accurate number for assessing livability and comparing true cost per sq.ft. across listings.
Governed by RERA / DLD
NFA plus the thickness of all external and internal walls, balconies, terraces, and covered utility areas. The standard figure in Dubai property brochures, SPAs, and Title Deeds registered with the DLD.
Governed by DLD / RERA
The total floor area of an entire building, measured from external walls. Defined by Dubai Municipality for building approvals and Floor Area Ratio (FAR) compliance. Applies to the whole building — not individual units.
Governed by Dubai Municipality
* Percentages are indicative. Actual NFA as a share of BUA varies by developer, project, and balcony/terrace size. Always request NFA in writing from the developer.
DLD = Dubai Land Department | RERA = Real Estate Regulatory Authority | FAR = Floor Area Ratio | GFA excludes open terraces, uncovered parking, and external ramps unless otherwise specified under Dubai Municipality’s Building Code.
In Depth
NFA & BUA — In Depth
NFA — Net Floor Area
The space you actually live and work in
(measured inner wall to inner wall)
What’s Included
- Bedrooms, living room & dining space
- Kitchen & bathrooms / toilets
- Internal hallways & circulation areas
- Maid’s room (if within unit walls)
What’s Excluded
- External walls & their thickness
- Balconies, terraces & covered parking
- Staircases, lobbies & common areas
BUA — Built-Up Area
The number in your Title Deed & brochures
BUA is the total covered area of your individual unit, including all wall thicknesses, balconies, terraces, and utility spaces. It is the standard figure in Dubai property brochures, Sales & Purchase Agreements (SPAs), and Title Deeds issued by the DLD.
BUA Adds to NFA
- Thickness of all external walls
- Internal partition walls & columns
- Open or covered balconies / terraces
- Utility areas, maid’s room corridor, ducts
BUA is typically 10–20% larger than NFA. An apartment listed as 1,200 sq.ft. BUA may have only 960–1,080 sq.ft. of usable NFA.
Gross Floor Area
GFA — Gross Floor Area
Dubai Municipality & DLD Compliance Measure
GFA is not a per-unit measurement — it applies to the entire building. Regulated by Dubai Municipality, it determines the maximum construction permitted on a plot through the Floor Area Ratio (FAR).
GFA Includes
- All enclosed, air-conditioned interior spaces
- Internal corridors, lobbies & lift cores
- Internal walls & structural columns
- Covered balconies & enclosed terraces
- Covered parking (per Dubai Municipality regulations)
- Mechanical & utility rooms
Floor Area Ratio (FAR)
FAR = Max GFA allowed ÷ Plot Area
Dubai Municipality uses FAR to control building density. Developers cannot exceed the approved GFA without prior DM approval.
Example: Plot 10,000 sq.ft. | FAR 2.0 → Max GFA = 20,000 sq.ft. across all floors.
Side-by-Side
UAE Area Measurements — Compared
| Feature | NFA — Net Floor Area | BUA — Built-Up Area | GFA — Gross Floor Area |
|---|---|---|---|
| What it measures | Usable living space only | Total unit footprint | Whole-building area |
| Walls included? | No | Yes | Yes |
| Balconies included? | No | Yes (covered) | Yes (where applicable) |
| Common / shared areas? | No | No | Yes (lobbies, cores) |
| Typical size vs BUA | ~70–80% of BUA* | Reference base | Larger than BUA |
| Primary purpose | Livability & furniture planning | Pricing & Title Deed | Planning & DLD/DM approvals |
| Governed by | RERA / DLD | DLD / RERA | Dubai Municipality |
* Percentages are indicative and vary by project. Always request NFA in writing from the developer.
Real-World Example
What the Numbers Mean in Practice
A 2-bedroom apartment in Business Bay, Dubai, listed at 1,400 sq.ft. Here is what each measurement tells you.
Service Charges
Service Charges in Dubai —
What You Pay Annually
Dubai’s RERA regulates all service charges through the Service Charge Index (SCI), underpinned by Law No. 6 of 2019 on Jointly Owned Real Property. Charges are annual, calculated per sq.ft. of BUA, and vary by community, building type, and facilities.
How the Regulatory System Works
All service charge budgets must be submitted by Owners’ Associations or management companies through Mollak — RERA’s centralised digital platform — for review and approval before any charges can be collected. Once approved, rates are published in the DLD Service Charge Index and cannot be altered mid-year without DLD approval.
Legal obligation: Under Article 25 of Law No. 6 of 2019, all unit owners in jointly owned developments are legally obligated to pay approved service and usage charges. The owner remains liable even if a tenant fails to pay.
What Service Charges Cover
Upkeep of common areas — lifts, corridors, gym, pool, landscaping, and AC systems.
Reserved for major future repairs — façade, waterproofing, structural works. Mandatory under Law No. 6 of 2019.
Electricity and water for shared spaces: stairwells, lobby lighting, common area cooling.
Guards, CCTV systems, intercom, and access control management.
Common in Downtown Dubai and DIFC towers. Billed separately via DEWA or Empower. Can add AED 5,000–20,000+ per year — in addition to standard service charges.
Fees for the RERA-approved Owners’ Association (OA) management company overseeing the community.
Service Charge Rates
How Service Charges Are Calculated
Charges are set annually per sq.ft. of BUA and approved by RERA through the Mollak system. Rates are published in the DLD Service Charge Index. Always verify the specific rate for a building before committing to any purchase.
2025 Annual Rates — Apartments
| Category | Example Areas | AED / sq.ft. / yr |
|---|---|---|
| Affordable | International City, Dubai South, Dubai Investments Park | AED 7–13 |
| Mid-Market | JVC, JLT, Discovery Gardens, Business Bay (standard) | AED 13–22 |
| Prime | Dubai Marina, Downtown Dubai, Bluewaters | AED 22–30 |
| Ultra-Premium | Palm Jumeirah, DIFC, Burj Khalifa | AED 30–68 |
| Branded Residences | Armani, Bulgari, Six Senses, Ritz-Carlton affiliated | AED 35–80+ |
Villa Communities (for reference)
| Category | Example Communities | AED / sq.ft. / yr |
|---|---|---|
| Master community only | Arabian Ranches, Mudon, The Springs | AED 3–6 |
| Gated with amenities | DAMAC Hills, Tilal Al Ghaf | AED 4–8 |
| Premium | Emirates Hills, District One | AED 6–12 |
Figures are indicative based on published DLD Service Charge Index data and industry sources as of 2025. Rates are reviewed annually. Always verify the approved rate for the specific building before any purchase decision.
Worked Example
at AED 15 / sq.ft. / year
Monthly equivalent: AED 1,750
5% VAT may apply — confirm with the building’s management company.
Verify Your Building’s Exact Rate
- Visit dubailand.gov.ae → Services → Service Charge Index
- Use the DubaiREST app (mobile)
- Check Mollak at mollak.dubailand.gov.ae for the approved annual budget
- Search by Title Deed number, project name, or map selection
Buyer Guidance
Smart Tips for UAE Home Buyers
Brochures show BUA. Request the NFA (net usable area) in writing from the developer — this is the number that determines your true livable space and your real cost per sq.ft.
Divide the property price by NFA, not BUA. This gives you an accurate, apples-to-apples comparison across listings from different developers.
Use the DLD Service Charge Index at dubailand.gov.ae, the DubaiREST app, or Mollak (mollak.dubailand.gov.ae) to check the RERA-approved rate for the specific building — not just the community average.
In an off-plan Sale & Purchase Agreement, confirm BUA in writing. Under RERA regulations, you have rights if the final delivered size differs significantly from what was contracted.
Towers in Downtown Dubai, Business Bay, DIFC, and parts of Dubai Marina use district cooling (Empower or DEWA). These fees are charged separately and can add AED 5,000–20,000+ per year.
Under Law No. 6 of 2019, service and usage charges are a legal obligation — not optional. Even if you rent out your property and your tenant fails to pay, you as the owner remain fully liable.
Abu Dhabi
Abu Dhabi — Key Differences
The Abu Dhabi real estate sector operates under a separate regulatory framework from Dubai. The following applies to freehold and leasehold properties in Abu Dhabi.
| Topic | Abu Dhabi Details |
|---|---|
| Regulator | Abu Dhabi Real Estate Centre (ADREC), under the Department of Municipalities and Transport |
| Governing Law | Law No. 3 of 2015 on the Regulation of the Real Estate Sector in Abu Dhabi, and subsequent ADREC resolutions |
| Service Charge Approval | All budgets for jointly owned property must receive ADREC approval before charges can be levied |
| Tenancy Registration | Lease agreements must be registered through Tawtheeq — Abu Dhabi’s tenancy registration system |
| Property Registration | DARI portal (dari.abudhabi.ae) — separate from Dubai’s DLD system |
| Non-Payment | Owners who default may face restrictions on selling or transferring their property until all charges are settled |
2025 Indicative Service Charge Rates — Abu Dhabi
| Property Type | AED / sq.ft. / yr |
|---|---|
| Standard apartments | AED 9–20 |
| Luxury developments | AED 25–40 |
Abu Dhabi service charges have been broadly stable in recent years. ADREC recorded a 6% reduction in community and service charges in 2023 versus 2022, reflecting active regulatory oversight.
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