Rental prices for studio and one-bedroom apartments in Al Nahda have jumped by as much as 20%, following a sweeping crackdown by Dubai authorities on illegally partitioned units.
Since June, the Dubai Municipality and Dubai Land Department have intensified enforcement against unauthorized structural modifications in densely populated areas such as Al Rigga, Al Satwa, and Al Muraqqabat, citing fire and safety hazards. This has triggered a ripple effect across neighboring residential hubs, particularly Al Nahda and parts of Sharjah.
“The simple reasoning behind this is that previously four to five people were sharing a unit, but now those people will require individual units,” explained Ayman Youssef, managing director at Coldwell Banker, in a Khaleej Times report.
With many evicted tenants forced to relocate, the demand for legally compliant, affordable housing options has surged in Al Nahda, pushing rents upward. Property experts say the trend is most noticeable for smaller units like studios and one-bedrooms, which are increasingly being snapped up by former Dubai tenants.
“Reports suggest Sharjah’s Al Nahda saw 10 to 20 per cent rent increases in some buildings within months of the Dubai crackdown,” said Humaira Vaqqas, property consultant at Range International Properties. She noted that budget-friendly apartments near the Dubai border are being rented out faster, largely due to commuting convenience.
Previously, many residential units in Sharjah were shared by multiple tenants, but this model is also shifting. “Following the crackdown, many of these units are now being rented out to single tenants, contributing to an overall increase in rental prices,” said Swapna Tekchandani, consultant at Property Zone Real Estate.
As the supply of shared and partitioned units shrinks, more landlords are raising rents to offset renovation costs and missed income, according to experts.
Despite the short-term strain on tenants, Vaqqas noted that the clean-up effort is improving rental transparency and elevating living conditions. “There is a market adjustment over time… the crackdown has had a positive effect for both landlords and tenants, encouraging legal rental practices and improving living standards,” she said.
