Subleasing, renting out a property you are already renting yourself, is a popular concept in Dubai, especially with the rise of holiday homes and shared accommodation. However, it is also one of the quickest ways to get evicted if done incorrectly.
If you do not have the right paperwork, you are in breach of your contract. This guide breaks down the legalities of subleasing for tenants and the rights of landlords.
TL;DR
- Permission is Key: You absolutely cannot sublet without the landlord’s written consent.
- Eviction Risk: Illegal subletting is grounds for immediate eviction for both you and your sub-tenant.
- Expiry: The sub-lease expires the moment the main lease expires.
- Liability: The sub-tenant can sue the main tenant for compensation if they are evicted due to the main tenant’s lack of authorisation.
The Golden Rule: Written Consent is Mandatory
The most critical rule regarding subleasing is found in Article 24 of the tenancy law. It states clearly:
“Unless otherwise agreed by the parties to the Lease Contract, the Tenant may not assign the use of or sub-lease the Real Property to third parties unless written consent of the Landlord is obtained.”
This means you cannot simply rent out a spare room on a short-term basis or hand over your apartment to a friend while you travel, unless you have a specific paper trail approving it.
What Counts as “Written Consent”?
A verbal “it’s okay” from your landlord is not enough. You need:
- A Clause in the Contract: Ideally, your main tenancy contract should state that subleasing is permitted.
- Separate Written Approval: If the contract doesn’t mention it, you need a formal letter or email from the landlord explicitly granting permission to sublease to a specific party.
The Risks: Immediate Eviction
If you decide to sublet without this written approval, the consequences are severe. Under Article 25, a landlord can demand your eviction before your contract expires if you sublet the property without their approval.
The “Domino Effect” on Sub-tenants
If the main tenant is evicted for illegal subletting, the eviction applies to the sub-tenant too.
- For Sub-tenants: If you are renting a room from someone who didn’t get permission, you can be kicked out alongside them.
- The Right to Compensation: The law reserves the sub-tenant’s right to claim compensation from the main tenant. This means if you sublet illegally and your sub-tenant gets evicted, they can sue you for damages.
How to Sublease Legally: A Checklist
If you want to become a “head tenant” (someone who rents a property and then sublets part or all of it), follow these steps to stay compliant.
1. Check Your Main Contract
Review your tenancy agreement. Most standard Dubai contracts have a boilerplate clause explicitly forbidding subleasing. You will need to negotiate this with the landlord.
2. Get Official Approval
Obtain a No Objection Certificate (NOC) or written approval from the landlord. This document should ideally state:
- The landlord consents to the sublease.
- The duration of the sublease.
- Who the sub-tenant is.
3. Contract Validity
Remember that the term of the sub-lease contract cannot extend beyond your own lease. Article 8 states that a sub-lease contract expires automatically when the main lease contract expires, unless the landlord expressly agrees to extend it.
4. Continued Liability
Even if you sublet the entire apartment, you (the main tenant) remain liable for the property. If the sub-tenant damages the walls or fails to pay rent, the landlord will come after you, not them.
Subleasing and “Holiday Homes”
Many tenants wish to sublet their apartments on platforms like Airbnb. Be aware that this requires two layers of approval:
- Landlord Approval: As per the Tenancy Law.
- DET Permit: You must register the property as a “Holiday Home” with the Department of Economy and Tourism (DET). Doing this without the landlord’s NOC is illegal and can result in heavy fines.
What If the Main Tenancy Ends?
A common fear for sub-tenants is what happens if the main tenant (who they pay rent to) gets into a dispute with the landlord.
- Standard Expiry: The sub-lease ends when the main lease ends.
- Early Termination by Tribunal: If the Tribunal terminates the main contract (e.g., due to a dispute), but the sub-tenant occupies the property legally (with landlord approval), the sub-tenant may be allowed to continue occupying the property under the terms of their sub-lease.
FAQs
Is subletting legal in Dubai?
Yes, subletting is legal in Dubai, but only if the tenant obtains written consent from the landlord. Without this written approval, subletting is considered a breach of contract and grounds for eviction.
Can a landlord evict a sub-tenant in Dubai?
Yes. If the main tenant did not get permission to sublet, the eviction applies to both the main tenant and the sub-tenant. However, the sub-tenant reserves the right to claim compensation from the main tenant for the damages suffered.
Does a sub-lease contract need to be registered with EJARI?
While the main tenancy contract must be registered, the regulations for registering sub-leases (especially for individual rooms) can vary. However, the law states that all tenancy contracts subject to the law should be registered with RERA. For commercial sub-leases or whole-unit sub-leases, registration is standard practice to protect legal rights.
What happens to the sub-tenant if the main lease expires?
The term of a sub-lease contract expires automatically upon the expiry of the main lease contract between the landlord and the main tenant, unless the landlord expressly agrees to an extension.
