The Abu Dhabi Real Estate Centre (ADREC) has frozen rent increases across the emirate, instructing landlords and property managers to renew tenancy contracts with no rise in rent. The measure took effect immediately after it was announced on Tuesday, 2 June 2026, and applies until further notice.
Under the decision, all tenancy renewals must be processed at a zero per cent increase. New tenancy agreements for previously rented units must also be offered at the same rental value as the preceding contract, closing a route landlords might otherwise have used to reset prices between tenants.
What the freeze covers
The freeze applies to residential, commercial and industrial properties. Communities that fall under Abu Dhabi Global Market (ADGM) jurisdiction, including Reem Island, are excluded from the measure.
The decision temporarily suspends a provision of Abu Dhabi's rental rules that allows landlords to raise rents by up to five per cent a year, provided tenants receive at least two months' notice before renewal. With that mechanism paused, tenants on renewal will see their rent held at the current level rather than stepped up.
Why it matters for residents and businesses
Abu Dhabi has been one of the region's most active rental markets, with strong demand from new residents drawn by job growth, long-term visas and a widening cultural and leisure offering. Rising demand has pushed rents higher in popular districts, and the freeze is aimed at easing cost pressures on households and companies while keeping the wider market stable.
ADREC said it would continue to monitor market conditions, housing demand and rental trends before deciding on any future change to the policy. For tenants, the immediate effect is certainty: anyone renewing a contract now does so without an increase. Landlords, meanwhile, retain their existing rental income but cannot raise it for the duration of the suspension. The regulator framed the step as a temporary stabilisation measure rather than a permanent change to Abu Dhabi's rent rules.