Can Dubai villa owners legally rent each floor to a different family?

Renting each floor of a two-storey villa to a different family in Dubai may fall under both the emirate’s tenancy rules and its newer shared-accommodation law.

Dubai’s landlord-tenant relationship must be governed by a written lease contract. Under Article 4(1) of the Dubai Tenancy Law, the contract must clearly describe the leased property, state the purpose and term of the lease, specify the rent and payment method, and name the property owner if the landlord is not the owner.

Dubai Law No. 4 of 2026 defines shared accommodation as the joint residence of a group of individuals or families in a real estate unit, with space allocated to each and facilities such as kitchens, dining rooms, bathrooms and outdoor areas shared among residents. The law also defines a real property unit as a building or unit designated for shared housing after meeting the required conditions, controls and standards.

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The contractual relationship between a Landlord and a Tenant will be regulated by a Lease Contract which includes a description of the leased Real Property that leaves no room for uncertainty; the purpose of the lease; the term of the Lease Contract; the Rent and its payment method; and the name of the Real Property owner if the Landlord is not the owner.

The legislation provides for a unified emirate-wide digital platform to receive, assess and decide permit applications and other shared-housing requirements. The platform will also support monitoring and inspections.

Article 3 states that the law applies to all real estate units in Dubai, including properties in private development areas and free zones. It also covers owners authorised to allocate units for shared housing, residents of those units and licensed establishments involved in the activity. The applicable process therefore depends on whether the proposed arrangement qualifies as shared accommodation and whether the owner has the required authorisation.

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Shared Accommodation as Joint residence between a group of individuals or families, by allocating space to each of them in the real estate unit for the purpose of living, and includes sharing the use of the facilities and services shared in the real estate unit, such as the kitchen, dining room, bathroom and outdoor spaces.