MAG214 and the Disappearing Floor Space

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    MAG214 and the Disappearing Floor Space!
MAG214 and the Disappearing Floor Space!

During a recent property transfer of an apartment in the MAG214 building in JLT, the title deed not only changed in ownership but also the size of the unit was reduced by 5%. On transfer, some 5% of the sq ft area simply disappeared!

Having consulted with the DLD, it became apparent that the building had recently been re surveyed and the actual unit sizes were recorded as being some 5% less than that stated on the original SPA when the apartments were purchased.

Title Deeds that were issued early on in the development/handover phase will contain the original sq ft area as per the SPA.

What we do know is that as per RERA Law, the developer is permitted a 5% variation on floor space with no compensation payable to the owners of such apartments.

The purpose of this post, and part of my remit as a professional real estate broker is that I feel it is my responsibility to alert and educate buyers and sellers in the market that this can happen at any building.

Some owners may not have been informed of the re-survey or that they needed an updated title deed, should they decide to sell.  The updated title deed is by no means a requirement; should an owner decide to sell BUT in terms of clarity, I would suggest this is only a good thing in order to avoid the potential sale falling through when the buyer finds out that the apartment is in fact smaller than what was advertised by some 5%.

I guess this is where it pays to be well informed when it comes to purchasing in Dubai as this situation will surely not be a one off case.  Always enlist the help of a specialist agent who is an expert in the area you are looking at. 

As the expert specializing in JLT I would be delighted to hear from you and be of assistance should you have any questions or indeed wish to sell or invest in this highly sought after area of Dubai.

Susan Reader (MSc)
Exclusive Links Real Estate Brokers, Dubai

 
26th April 2018

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