Companies in select free zones can now own property in Dubai under landmark deal - pravasisamwad
August 4, 2025
2 mins read

Companies in select free zones can now own property in Dubai under landmark deal

Masdar City firms gain right to directly purchase property in Dubai freehold zones under new DLD agreement

PRAVASISAMWAD.COM

In a major policy shift, companies operating within Masdar City’s free zones can now directly own land and property in Dubai’s designated freehold areas. This follows the signing of a new memorandum of cooperation between the Dubai Land Department (DLD) and Masdar City. The agreement enables eligible businesses to bypass traditional ownership restrictions and register property through a new digital system designed for transparency and ease of access, reported timesofindia.indiatimes.com.

This development significantly alters the landscape for free zone companies—previously limited in their ability to buy property in Dubai without intermediaries or complex structures. Under the agreement, companies licensed in Masdar City will be able to directly purchase freehold property, a move that is expected to attract more international investors and tech-focused firms.

The digital platform developed for this initiative will streamline property ownership applications with features such as document verification, real-time tracking, and compliance support. The Dubai Land Department will coordinate directly with the Free Zone Authority to ensure a seamless and secure ownership process.

The DLD-Masdar agreement opens new real estate opportunities for innovation-driven businesses and aligns with Dubai’s 2033 Real Estate Strategy

“This partnership enhances the integration of Dubai’s real estate ecosystem and supports the emirate’s ambition to create a more business-friendly and transparent environment,” said Majid Al Marri, CEO of the Real Estate Registration Sector at DLD.

Ahmed Baghoum, CEO of Masdar City, added, “This move gives our companies the flexibility to grow without jurisdictional constraints while strengthening the UAE’s innovation economy.”

Why It Matters for Businesses

This reform is particularly relevant for tech, clean energy, and sustainability-focused firms already operating in Masdar City. It grants them physical expansion capabilities in Dubai without relocating or restructuring under mainland rules. The change also aligns with Dubai’s Economic Agenda D33 and its Real Estate Strategy 2033, both focused on attracting sustainable investments and boosting regulatory transparency.

UAE Free Zones

UAE free zones offer 100% foreign ownership, zero corporate and income tax, and streamlined setup processes. Dubai alone hosts over 30 such zones catering to sectors like logistics, technology, design, and healthcare. These zones are vital in attracting global investment through business-friendly regulations and world-class infrastructure.

Complementary Reforms: One Freezone Passport & Housing Initiatives

The DLD-Masdar City deal follows the launch of the “One Freezone Passport,” which allows companies to operate across multiple free zones using a single license. It complements the “First-Time Home Buyer Initiative” aimed at boosting local property ownership through discounted pricing, faster loan approvals, and flexible mortgage terms.

Real Estate Market Remains Strong

According to official data, Dubai welcomed over 59,000 new investors in the first half of 2025. Knight Frank reported 51,000 residential units sold in Q2 alone, up 22.8% year-on-year. Total transactions are expected to surpass 169,000 by year-end, signaling continued investor confidence and robust sector performance.

FAQs

Q: Can any UAE free zone company buy property in Dubai now?

A: No, this applies only to Masdar City licensed companies for now.

Q: What does “freehold property” mean in Dubai?

A: It gives the owner full legal rights to both the property and the land indefinitely.

Q: What kind of properties are included?

A: Masdar City firms can buy in designated freehold areas if they meet eligibility rules.

Q: How can a company apply?

A: Through a new digital platform jointly operated by DLD and Masdar City.

Roma Ghosh

Roma Ghosh

Roma Ghosh has recently retired as Associate Professor for Media Studies from an international university. She was with the Times of India as a correspondent for many years. Her passion is cooking and she has been doing recipes and photo shoots for Women's Era for the last 15-odd years.

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