In a landmark shift, companies registered in select UAE free zones will soon be able to acquire freehold property in Dubai under their own business names—unlocking a new realm of opportunity in real estate and corporate strategy.
🔹 UAQ Free Trade Zone (UAQ FTZ)
On May 13, 2025, the Umm Al Quwain Free Trade Zone signed a Memorandum of Cooperation (MoC) with the Dubai Land Department (DLD), granting UAQ FTZ-registered companies the legal right to buy and register freehold property in Dubai under their corporate identity
🔹 Masdar City Free Zones
Following that, on July 24, 2025, DLD announced a similar partnership with Masdar City, enabling companies operating within its free zone ecosystem to acquire freehold land and properties in Dubai, guided by a robust regulatory framework and streamlined digital processes
🔹 Ajman Free Zones?
In parallel, DLD forged an agreement with the Ajman Free Zones Authority (AFZA), paving the way for AFZA-registered companies to more easily purchase real estate in Dubai as part of a coordinated UAE-wide initiative
Why This Matters: Strategic Impact on Investment and Business
âś… Broader Investment Access
Previously, free zone companies were barred from owning Dubai property outright and faced limitations conducting business beyond zone boundaries. These MoCs open the door for corporate real estate investment, allowing businesses to embed assets in Dubai’s highly liquid, tax‑free property markets—such as Dubai Marina, Downtown Dubai, or even plots along Sheikh Zayed Road and Al Jaddaf
âś… Alignment with National Vision
These moves are aligned with Dubai’s Real Estate Strategy 2033 and the Economic Agenda D33, aimed at diversifying investment flows, increasing transaction volume, and expanding the investor base—both domestic and corporate
âś… Efficiency through Digital Transformation
Masdar City’s collaboration with DLD includes a digital platform for application, tracking, and verification, reducing bureaucracy and enabling smoother registration. Meanwhile, blockchain-based title deeds via DLD’s XRP-ledger initiative further streamline transactions—with property tokenisation and fractional ownership now possible
âś… Legal Structure and Clarity
The new frameworks clarify eligibility criteria, valuation methods, fees, and legacy planning—making it easier for free zone entities to navigate property ownership, compliance and succession. This ensures corporate transparency and investor confidence
🏠Expanded Freehold Zones & Corporate Ownership
Freehold Expansion to Leasehold Areas
Dubai announced in early 2025 the conversion of 457 leasehold plots—128 along Sheikh Zayed Road and 329 in Al Jaddaf—to freehold ownership, allowing individuals or eligible owners to own the land outright after a 30% conversion fee based on valuation and GFA
This widens the pool of investable land and aligns with corporate property opportunities, as companies from free zones may now buy in these areas.
Strategic Areas for Investment
Key zones drawing investor interest include Dubai Marina, Palm Jumeirah, Downtown Dubai, Emirates Hills, The Greens, and Jumeirah Golf Estates, all of which offer strong returns and eligibility for Golden Visas based on property value thresholds (AED 750K–2M for residency or 10-year Golden Visa)
🏗 What Companies Should Know Before Buying Property
Corporate Eligibility & Types
Only companies registered in specific free zones (UAQ FTZ, Masdar City, AFZA and potentially more soon) currently qualify. Offshore shell structures may require pre‑approval from DLD and must meet due diligence requirements
Process & Costs
- Application via DLD with documentation verified by cooperating free zone authorities.
- Fees may include registration charges, legal/escrow costs, and property valuation charges.
- Visa benefits available based on property investment levels.
- Enhanced escrow and compliance rules for off‑plan transactions now apply; funds are placed in DLD-monitored accounts .
Business Use & Operational Limits
Some recent legislation now permits free zone entities to obtain dual licensing or mainland access via permits from Dubai’s Department of Economy and Tourism—though these operations must keep separate records and comply with local regulations, especially outside the free zone boundaries .
Estate Planning & Inheritance
New requirements in 2025 mandate legally registered wills for foreign owners to ensure properties can pass to heirs. Digital will registration with the DLD is now available, reducing disputes and enforcing clarity for corporate property holdings .
🌍 Investment Trends & Market Outlook
Record Transaction Volumes
Dubai recorded a staggering USD 117 billion in real estate deals in H1 2025, the highest ever, driven strongly by foreign investment from Europe, Asia, Russia, and India. The combination of new ownership rights, visa benefits, and continued infrastructure growth underpins this surge .
Free Zones: Investor Magnet
Dubai’s free zones continue to lure businesses due to 100% foreign ownership, tax exemptions, full repatriation, and sector-specific infrastructure. The launch of the “One Freezone Passport” extends cross‑zone flexibility—further boosting the appeal for global brands like Louis Vuitton and others seeking streamlined zone access .
âś… Key Takeaways & Action Suggestions
| Area | What’s New | Why It Matters |
|---|---|---|
| UAQ FTZ & AFZA | MoCs with DLD enable freehold ownership | Companies can now hold assets in Dubai |
| Masdar City | Digital framework for property deals | Streamlined processes, clear eligibility |
| Freehold Zone Expansion | Land conversions on Sheikh Zayed Rd & Al Jaddaf | More land entering freehold market |
| Legal Infrastructure | Escrow law, blockchain, inheritance update | Greater transparency, investor trust |
| Visa Incentives | Golden Visas tied to property thresholds | Attracts long-term corporate residency |
| Free Zone Policy | One Freezone Passport & mainland licensing | Businesses gain flexibility across zone boundaries |
For Companies Considering Expansion:
- Check your Free Zone status: Only entities registered in eligible zones currently qualify.
- Consult Legal & Real Estate Advisors: To understand valuation, compliance, and property types permitted.
- Explore Visa Eligibility: Property investments may unlock 3‑ to 10‑year residency for business leadership teams.
- Consider Tokenized Ownership: Fractional real estate investment and faster transactions via blockchain are viable options.
- Plan Estate & Succession: Register a valid legal will to ensure corporate assets are protected.
🎯 Final Thoughts
The expansion of freehold ownership rights to UAE free zone companies marks a significant leap in Dubai’s strategy to innovate real estate investment and corporate participation. It broadens access to one of the world’s fastest-growing markets, leveraging digital platforms, legal modernization, and inter‑emirate collaboration to lower barriers and accelerate business growth.
This initiative positions Dubai as not only an attractive residential market but also a thriving platform for corporate asset ownership—creating a hybrid ecosystem where businesses can simultaneously operate, invest, and reside within the emirate’s dynamic economic landscape. With property volumes soaring and investor interest peaking, smart businesses should be exploring how to position themselves strategically in this evolving paradigm.
If you’d like help evaluating which free zone your company belongs to—or guidance on eligibility, property zones of interest, or visa benefits—I’d be glad to assist further!
References
All data and quotes drawn from Dubai Land Department announcements, press coverage, and regulatory updates in 2025:
- UAQ FTZ & DLD MoC
- Masdar City & DLD MoC
- Ajman Free Zones & DLD MoC
- Freehold zone conversion along Sheikh Zayed Road & Al Jaddaf
- Legal & tokenisation enhancements
- Mainland expansion licences for free zone businesses
- Real estate volume record in H1 2025
- Free zones benefits and One Freezone Passport
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