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Buying property on the name of an Offshore Company in the UAE

Article image: Buying property on the name of an Offshore Company in the UAE

One of the advantages of the offshore companies in the United Arab Emirates is a possibility to purchase a real estate on the name of a company.

An active development of the UAE economy attracts to the country tens of thousands of businessmen from all over the world. Besides, they open not only offshore, but also local companies that require availability of a real office or working area. Therefore, the purchase of the UAE commercial real estate, demand for which is growing steadily, always remains to be a profitable investment. Moreover, you can rent out commercial properties for a few percent more than the residential one.

What Commercial Properties are most in demand in the UAE?

The following types of commercial premises are the most popular in the United Arabic Emirates:

  • Office premises. The number of companies in the United Arabic Emirates is growing annually alongside with a demand for offices. In the case of buying commercial premises for an offshore, in the future you will be able to sell it with profit or to rent out.
  • Hotel premises. The amazing, ultramodern conditions for having a holidays in the UAE are known all around the world. Every year millions of tourists come to Dubai, Sharjah, Abu Dhabi and other emirates to see a futuristic architecture of the country first-hand, and to swim in the warm waters of the Persian Gulf. Many entrepreneurs, likewise the tourists, come to the Emirates and they also need temporary accommodation. That is why the hotel business is one of the most popular and profitable in the country.
  • Shopping centres. The United Arab Emirates is the heaven for shopaholics. Some of them are not even interested in local sights as they immediately rush to the stores and shopping malls where they can buy brand clothes, cosmetics, electronics, etc. at the attractive prices. If the shopping mall also offer entertainments, the number of its visitors also increases significantly.

Clarify the cost of opening company, corporate or personal bank account, obtaining a residence visa, or another question regarding business in Dubai, UAE:

Specific Features of Purchasing Commercial properties by Offshore companies in the Emirates

The owners of the offshore companies in the UAE have a right to buy commercial premises on the name of a company. The purchase of real estate on the name of a company makes it possible to evade the Sharia laws, in according to which the assets of the company are distributed in certain shares between the relatives. If one of shareholders (founders) dies, the inheritance of shares he owned is based on the laws of the country whose citizen the deceased was.

However, there is one nuance — an offshore company must be registered in Jebel Ali Free Trade Zone. The offshore companies, which are registered in other Free Trade Zones, have no right to purchase properties in Dubai. The offshore company registered in Ras Al Khaimah may be suitable for buying property in Abu Dhabi.

The following documentation must be provided by the offshore company representative in order to execute the agreement of purchase and sale of commercial premises: passport, a memorandum and a certificate of company registration, resolution of the board of directors about the real estate purchase. The seller, in his turn, must provide a contract that specifies the location, price, size and other characteristics of the property. The contract and the certificate of ownership certify the ownership, and give the right to conduct any operations with real estate.

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