How are service charges calculated per sq ft in the UAE?
Service charges are quoted per square foot per year and multiply out across your unit's area. A 1,000 sq ft apartment at AED 15 per sq ft costs AED 15,000 a year regardless of whether anyone lives there. Commonly cited ranges run from roughly AED 3 in basic buildings to more than AED 30 in amenity-heavy towers, and rates differ between emirates.
The charge funds the operation of common areas: security, cleaning, landscaping, pool and gym upkeep, pest control and the maintenance of building systems. In Dubai, approved rates for registered communities are published through the DLD service charge index, so owners can check what their community is charged. Abu Dhabi and other emirates apply their own regulatory frameworks.
What do service charges actually cover, and what do they not?
They cover the common property, not the inside of your unit. Repairs to your own air conditioning, appliances and interior finishes are yours, as are villa-specific costs like private pool upkeep in some communities. Chiller or district cooling consumption is often billed separately from the base charge in towers connected to district cooling plants.
A portion of well-run budgets goes into sinking funds for major works such as facade refurbishment or chiller replacement. When that reserve is underfunded, owners face special assessments or visible decline in the building. Before buying, ask for several years of service charge history and what the sinking fund covers — it tells you how the building will age.
Can you challenge a service charge increase in Dubai?
Yes, within the formal process. Dubai owners can review the approved rate in the DLD service charge index and raise objections through the prescribed channels when charges exceed approved levels or when services are not delivered. Documentation wins these cases: keep invoices, notices and photographs of maintenance shortfalls.
Prevention beats dispute. Owners' scrutiny at the community level, through owners' associations or tenant committees where they exist, tends to keep budgets realistic. If you are buying, unpaid service charges attach to the unit and can block an NOC for resale, so always confirm arrears during due diligence in every emirate.
Частые ошибки, которых стоит избегать
- Comparing charges across buildings without comparing the services each provides.
- Forgetting separate district cooling or chiller bills when totalling ownership costs.
- Assuming service charges pause when the unit is vacant or listed for sale; they do not.
- Leaving arrears unpaid, then hitting an NOC refusal during a resale.
- Treating the service charge quote in a brochure as fixed; rates are revised over time.
Часто задаваемые вопросы
What are service charges in Dubai?
Who pays service charges — landlord or tenant?
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