Build trust to spur real estate growth

The real estate market is one of the most important sectors in the UAE economy and as such it is critical that laws and regulations are established, applied and pursued. Efficiency and transparency should be the framework of operations for both investors and developers.

Recently, Dubai's Real Estate Regulatory Authority (Rera) has been pursuing a developer to seek explanations for the cancellation of numerous contracts with its investors. Rera is commended for its promptness in communicating and attending to the complaint. But this case should be dealt with keeping in mind the larger context of the real estate market here. Rera as a regulatory body has achieved many targets since its establishment, yet more vigorous steps are still required as some developers are yet to abide by the rules.

In any market, conditions of what enables it to succeed or fail are clear and the real estate market is no exception. The most important elements are transparency, protecting the rights of developers and investors, and clearly identifying each party's obligations. All these aspects have to be fulfilled if the market is to be built on trust and growth.