08-Oct-17 1 Module 1 History and Development Objectives Introducing: Key UAE and Dubai rulers. S ome of Dubai’s r eal e state p rojects and developments. 08-Oct-17 2 "I had many dreams. I dreamt of our land keeping pace with the growth of the modern world.” HH Zayed bin Sulṭan A l Nahyan was the principal driving force behind the formation of the United Arab Emirates; the Ruler of Abu Dhabi and first President of the UAE, a post which he held for over 33 years. Our people have managed in 36 years to bring about achievements that went beyond conception and imagination: a model experience of federation, an outstanding human development, a modern infrastructure, basic modern services, great economic successes, educated man, prosperity, well - being, and security. HH Sheikh Khalifa bin Zayed bin Sultan Al Nahyan is the President of the UAE and Ruler of Abu Dhabi. He succeeded to the position of Emir of Abu Dhabi at the moment of his father's death, after a royal family meeting, thereby becoming the President of the UAE the next day. 08-Oct-17 3 One could talk endlessly of the UAE’s achievements, there are so many in all fields of life. However, the greatest of them is the deep - rooted sense of unity in the hearts and souls of our citizens, which is a unique and wonderful national achievement. HH Sheikh Mohammed bin Rashid Al Maktoum is the Prime Minister and Vice President of the UAE, minister of Defense and ruler of Dubai. He has held those positions since January – February 2006, when he succeeded his elder brother, HH Sheikh Maktoum bin Rashid Al Maktoum Development of real estate market in Dubai during past decades 1990 Today 08-Oct-17 4 Dubai has the largest population and is the second largest emirate after Abu Dhabi with an area of 4,114 km² (1,588 mi²). It took Dubai 11 years to accomplish what other countries did in 200 years. Insights into Dubai Projects 08-Oct-17 5 Business Bay Business Bay is part of the vision of His Highness Sheikh Mohammed Bin Rashed Al Maktoum , UAE Vice President, Prime Minister, Minister of Defense, and Ruler of Dubai Business Bay will have upwards of 240 buildings, comprising commercial and residential developments The infrastructure of Business Bay has been completed in 2008 , and the entire development is expected to be completed between 2012 - 2015 Business Bay is considered a “city” within the city of Dubai Burj Khalifa Burj Khalifa (Arabic : برج خليفة , Khalifa Tower), known as Burj Dubai prior to its inauguration, is a skyscraper in Dubai, United Arab Emirates, and is the tallest man - made structure in the world, at 829.8 m ( 2,722 ft ) 08-Oct-17 6 Palm Jumeirah It is one of three planned islands called the Palm Islands (Palm Jumeirah , Palm Jebel Ali and Palm Deira ) which would have extended into the Arabian Gulf, increasing Dubai's shoreline by a total of 520 kilometers ( 320 mi) The Palm Jumeirah is the smallest and the original of three Palm Islands originally under development by Nakheel It is located on the Jumeirah coastal area of the emirate of Dubai, in the United Arab Emirates (UAE ) Dubai Marina Dubai Marina is an artificial canal city, built along a two mile ( 3 km) stretch of Arabian Gulf shoreline When the entire development is complete, it will accommodate more than 120 , 000 people in residential towers and villas It is located on Interchange 5 between Jebel Ali Port and the area which hosts Dubai Internet City, Dubai Media City, and the American University of Dubai The first phase of this project has been completed Dubai Marina was inspired by the Concord Pacific Place development along False Creek in Vancouver, BC, Canada 08-Oct-17 7 Dubai World Central - Al Maktoum International Airport With a projected annual capacity of 160 million passengers and 12 million tons ( 12 , 000 , 000 long tons ; 13 , 000 , 000 short tons) of freight The new airport will cover an area of 55 , 000 acres ( 220 km 2 ) The airport is referred to as "the world’s first purpose - built aerotropolis “ Located in Jebel Ali, 37 km south west of Dubai, that opened on 27 June 2010 It will be the main part of Dubai World Central, a planned residential, commercial and logistics complex scheme World Central is the world's first truly integrated logistics platform, with most transport modes, logistics and value - added services, including manufacturing and assembly, in a single free economic zone Upon completion, DWC will become the world’s largest airport. The airport forms the heart of a greater project also called Dubai World Central. The World Islands A development by Nakheel , a collection of 300 private islands in the shape of continents located off the coast of Dubai, The World reinvents the earth and offers the ultimate in privacy and exclusivity Each island will range from 250 , 000 to 900 , 000 square feet in size, with 50 to 100 meters of water between each island It is 9 kilometers in length and 6 kilometers in width, surrounded by an oval shaped breakwater The only means of transportation between the islands will be by marine or air transport 08-Oct-17 1 Module 2 The Business of a Broker Objectives Introducing: Broker ’ s definition. U pdates on what broker s need to know. “ Trakheesi ” System overview. B rokerage offices r anking system. Categories of real estate broker cards. 08-Oct-17 2 What is a broker? A broker is a licensed person who, for a fee, acts to mediate between parties involved in a real estate transaction, being either owners/sellers, buyers, landlords or tenants. I am interested in becoming licensed to sell / lease real estate in Dubai. Where do I begin? • What do Brokers need to know? 08-Oct-17 3 • When you become licensed , what identification will you have? Certificate issued by DREI. RERA Smart Broker ID with your BRN. • How often should you renew the license? Annually. • When should you apply for renewal ? At least 30 days prior to expiry of your broker ID. • What is the procedure for renewal ? Register for renewal exam, pass the exam and renew your broker ID for another year. Renewal Examination Registration All brokers shall: • Register with DREI for the renewal examination a month prior to the expiry date of their broker ID. • Failure to do so shall result in re - payment and attending the Certified Training for Real Estate Brokers Course in full( 4 days) again 08-Oct-17 4 GRADING SYSTEM : • 60 % is the pass mark for the Owners or Sponsors mentioned on the Trade License • 86 % is the pass mark for all types of Brokers. • Any examinee who fails to meet the passing criteria will be given ONE free exam re - take within 10 working days. What happens if you don ’ t pass the re - take exam? • If you receive 70 %+ on exam – You shall pay a fee of AED 3020 , attend the Certified Training for Real Estate Brokers Course in order to receive a certificate on completion of the course. T aking the exam is not required. • If you receive a grade lower than 70 % on exam – You shall pay a fee of AED 3020 , attend the Certified Training for Real Estate Brokers Course, and pass the exam in order to receive a certificate. • You will receive your results immediately following the exam. • Your Certificate will be printed on the spot (if you pass ). • Through your employer; a registered brokerage office, a registered developer, ... etc , you may then sign up for RERA’s Smart Broker ID on Trakheesi System (E - Services - www.dubailand.gov.ae ) 08-Oct-17 5 What is the “ Trakheesi ” System? Trakheesi is a web application meant for Real Estate Offices for managing Real estate Broker operations. It enables the Real Estate Office Admin/Broker to perform operations/procedures such as : o Issuing a broker card, o Updating broker information, o Renewing a broker card, o Replacing a broker card with the new one o Cancelling broker card. 08-Oct-17 6 Trakheesi Contact Information: P.O. Box: 1166 Dubai, UAE Phone: 600555556 email: info@dubailand.gov.ae Brokerage Offices Ranking System 08-Oct-17 7 Objective of the Brokerage Offices Ranking Project • To enhance the efficiency of real estate service providers (brokers in particular) in accordance with set policies for the real estate sector based on RERA ’ s strategic plan. 08-Oct-17 8 Objective: Enhance efficiencies of real estate service providers (brokers) in accordance with set policies for real estate sector and based on the strategic plan of RERA by creating ranking for brokerage offices Gold Category From 91 % - 100 % Silver Category From 81 % - 90 % Bronze Category From 71 % - 80 % General Category From 0 % - 70 % Four criteria were adopted for ranking of brokerage offices RANKING CATEGORIES 08-Oct-17 9 Experience of the brokerage office Number of transactions (Sale) carried by the office Commitment to real estate regulations & laws Structure 15 % 30 % 40 % 10 % Community Service (Initiatives & Emiratisation ) 5 % Explanation Weight Years Standards The points are given from the date of obtaining the license The points are given according to the average years of experience of working brokers 1 Point 1 – 5 years Brokerage Office Experience 3 Points 6 – 9 Years 6 Points 10 years The points are given from the date of obtaining the license 1 Point 1 – 5 years Broker Experience 3 Points 6 – 9 years 6 Points 10 years 1 Point 1 – 2 Number of Branches 3 Point 3 – 4 15 - Total 08-Oct-17 10 This standard is based on number and value of sale transactions carried by the brokerage office in the LD ’ s database and on monthly basis Weight Total number of transactions 5% + 2 10% + 5 15% + 8 20% + 15 Weight Value of sale transaction 3% 2 Million 5 % 2 – 4 Million 10% + 4 Million The above sub - criteria represents 20 % The above sub - criteria represents 10 % This Criteria is calculated by the number of registered warning and irregularities committed by the brokerage office Warning 15 % 0 15 % 1 - 2 10 % 3 + 0 % Irregularities 25 % 0 25 % 1 - 2 10 % 3 + 0 % The above sub - criteria represents 15 % The above sub - criteria represents 25 % 08-Oct-17 11 Note: A survey of Quality Systems will be sent out to brokers via e - mail, once we receive a response we will decide the grade This criteria is based on four sub categories % Responsibility Explanation Sub - criteria 3 % Data and Statistics Section Documentation of sale records by the office Record of deals by the broker 1 3 % Dubai Real Estate Institute Director Quality Systems by the Office (ISO) Quality systems 2 2 % - Dedicated w ebsite for the office 3 2 % - Market case study 4 We propose to measure the ranking according to two sub - criteria % Responsibility Explanation Sub - Criteria 5 % Data and Statistics Section Number of Emirati nationals working in the office Emiratisation 1 Corporate Social Responsibility initiatives Initiatives 2 08-Oct-17 12 Categories Of Real Estate Broker Cards 08-Oct-17 13 Categories Of Real Estate Broker Cards: ● Blue card : Issued by Brokerage companies licensed by DED. Allows B rokers to transact in Dubai, Free zone and sell for Developers, but not T imeshare. ● Green card : Issued by Developers. Brokers can only sell D eveloper ’ s projects. ● Red card : only Timeshare properties. ● Yellow cards : Issued by Brokerage companies licensed by a FZ authority. Allows Brokers to transact only in the FZ. ● Navy card : Issued for National Brokers. ● Grey card : Issued for Registration Trustees.