Federal Decree- Law No. (16) of 2018 Concerning the Real Estate Properties of the Federal Government (finance and banking law)

Article (1) 
Definitions  
In application of the provisions of this Decree by Law, the following words and expressions shall have the meanings ascribed thereto unless the context requires otherwise:  
State:  : The United Arab Emirates . 
The 
Government  : The Federal Government of the State.  
Minister  : The Ministry of Finance.  
Federal 
Government : Ministries, government agencies, public bodies and institutions in the 
Federal State.  Federal Decree-  Law No. (16) of 2018  Concerning the Real Estate Properties of the Federal Government  2 
 bodies  
Federation 
Properties  : Real estate properties including the empty lands registered in the name 
of the Government or any other Federal government agency allocated 
for public interest or any right in rem in real estate properties.  
Disposition  : Creating a right in rem or personal  right for any of the Federation 
properties.

Article (2) 
Scope of Application  
This Decree by law shall be enforced on all properties of the Federation inside and outside the 
State, without prejudice to bilateral or international agreements applicable in  the State.

Article (3)  
Exception to the scope of application  
The following shall be excluded from the application of the provisions of this Decree by Law:  
1. Endowed real estate properties managed by the General Authority of Islamic Affairs and 
Endowments or any other federal Governmental agency.  
2. Any Federal body or properties of the Federation for which a Cabinet decision is issued.

Article (4)  
Federation Properties  
Properties of the Federation shall include the real estates including the empty areas of land as 
follows:  
1. Real estates granted by an Emirate to the Government or any Federal Government body.  
2. Real Estates owned by the Government or any Federal Government body.  
3. Real estates granted or assigned by a natural or legal person for the favour of the 
Government or any Federal Government body.  
  
 Federal Decree-  Law No. (16) of 2018  Concerning the Real Estate Properties of the Federal Government  3

Article (5)  
Disposition of the Federation's Properties 
1. Without prejudice to the provisions of article (15) of this Decree by Law, a Federal 
Government body shall not dispose any property owned by the Federation  unless a 
consent of the Ministry is given.  
2. The Ministry shall be the competent authority to determine the Government bodies to 
benefit from any of the federation's properties subject to the provisions of this Decree by 
Law and its executive resolutions.  
3. Notwithstanding the provision of clause (1) of this article, the Cabinet may, after taking 
the opinion and consent of the Ministry, appoint any Federal Government body to dispose some of the Federation's properties.

Article (6)  
Leasing  
The Ministry, upon the request of the Federal Government body benefiting from some 
properties of the Federation, may permit such body to lease an office, floor, space or any other 
part that is not used by that body pursuant to the policies and procedures of leasing 
Governmen tal buildings approved by the Cabinet.

Article (7)  
Registration of Federation's Properties  
1. Properties of the Federation shall be registered under the name of the Government at the real estate registers of competent local bodies or the State where the property is located.  
2. The Ministry shall keep a register of the Federation's Properties.  
3. Notwithstanding the provision of clause (1) of this article, the headquarters of 
Diplomatic commissions of the State overseas may be registered in the name of the 
Minis try of Foreign Affairs and International Cooperation subject to the provisions of 
applicable laws of the host country.  Federal Decree-  Law No. (16) of 2018  Concerning the Real Estate Properties of the Federal Government  4

Article (8)  
Without prejudice to article (6) of this Decree by Law, non -governmental Federal agencies 
may not dispose any of the Federati on's properties unless by the consent of the Cabinet. A 
third party shall not acquire a right in rem due to lapse of time.

Article (9)  
Competence of the Cabinet concerning the properties of the Federation  
The Cabinet may, upon a recommendation of the Minister:  
1. decide to demolish, rebuild, expand or change the specifications and descriptions of any 
of the Federation's properties,  
2. Dispose any of the Federation's properties owned by the Government through sale or 
substitution to a third party. The ownership of such properties shall be transferred to the 
alienee in its condition at the time of disposition with all its rights and liabilities and the 
alienee shall not be entitled to claim any indemnity against such rights.

Article (10)  
Documentation of Federat ion's Properties 
1. The Ministry or the competent Federal government body shall coordinate with the 
competent authority in the relevant Emirate in order to acquire its decision to give or 
grant the title of a government property in order to create community p roperties on such 
property or to dispose it. The Ministry shall fulfil all procedures and documents relevant to this matter.  
2. The Ministry shall coordinate with the Ministry of Foreign Affairs and International 
Cooperation to ensure that relevant bodies in the State, where the headquarter of the 
Diplomatic commission is located, issue ownership documents for the diplomatic 
properties and buildings in the name of the State of the Ministry of Foreign Affairs and 
International Cooperation. The Ministry shall re ceive a copy of such documents.  
  Federal Decree-  Law No. (16) of 2018  Concerning the Real Estate Properties of the Federal Government  5

Article (11)  
Title Deeds  
Federal Governmental bodies, occupying Federal properties at the time of enforcement of this 
Decree by Law, shall send the Ministry the title deeds of such properties with relevant maps 
and schemes. Such Federal government bodies may keep a true copy of these documents.

Article (12)  
Reclamation of the Federation's Properties  
The Ministry shall reclaim the Federation's properties pursuant to a written receipt report when the Federal governme nt body does not need such property it occupies. The Cabinet 
may, upon a recommendation from the Minister, allocate the benefit of those properties to 
any other Federal government body.

Article (13)  
Requirements to reclaim the Federation's Properties  
If the Emirate demands the reclamation of any property it granted to the Government or any 
Federal Government body, the Ministry shall coordinate with the relevant authority in the 
Emirate to confirm that reclamation request is made subject to the following p rovisions and 
conditions:  
1. The reclamation shall be for infrastructure purposes or public interest of the Emirates 
requesting to reclaim the property.  
2. The Emirate shall compensate the Government for the properties required for 
reclamation with similar prope rties or a fair compensation as agreed upon between the 
Government and the local Government.  
3. The request of reclamation shall be approved by a resolution from the Cabinet.

Article (14)  
Exception of the reclamation provision  
As an exception to the provisions of article (13) of this Decree by Law, the Emirate ranting the Federal Decree-  Law No. (16) of 2018  Concerning the Real Estate Properties of the Federal Government  6 
 empty land may reclaim it, without any material compensation if it was not exploited by the 
grantee. This shall be made in coordination between the Ministry an d subject to the approval 
of the Cabinet.

Article (15)  
Commitment of Provisions of Law in the Properties of the Federation  
A natural or legal person is prohibited to possess or seize or dispose any part of the 
Federation's properties except subject to th e provisions decided in this Decree by Law or the 
applicable laws of the State.

Article (16)  
Penalties  
Without prejudice to any more severe penalty stipulated by any other law, anyone who 
violates the provision of article (15) of this law shall be punishe d by imprisonment for a period 
that is not more than a year and a fine that shall not exceed AED (100.000) one hundred 
thousand dirhams or one of these two penalties. The court shall rule to remove the violation 
at the cost of the violator.

Article (17)  
Executive Resolutions  
The Cabinet shall, upon the proposal of the Minister, issue the resolutions necessary for the 
execution of the provisions of this Decree by Law.

Article (18)  
Transitional Governance  
Resolutions and instructions relevant to the properties of the Federation, issued before the 
enforcement of this Decree by Law, shall continue to apply to what is not contrary to its 
provisions until necessary resolutions to execute the provisions of this Decree by Law are 
issued.  Federal Decree-  Law No. (16) of 2018  Concerning the Real Estate Properties of the Federal Government  7

Article (19)  
Repeals  
Any provision contrary to or inconsistent with the provisions of this Decree by Law shall be 
repealed.

Article (20)  
Publication and Enforcement  
This decree by Law shall be published in the official Gazette and shall come into force one month from the d ate of publication.  
 
 
 
   
Khalifa Bin Zayed Al Nahyan  
President of The United Arab Emirates  
 
 
 
 
 
 
 
 
Issued by us at the Presidential Palace in Abu Dhabi : 
Dated: 13 Muharram, 1440 AH  
Corresponding to: 23 September, 2018