This resolution allows foreign nationals and companies owned by foreign nationals to own usufruct rights over vacant plots of land for a period of 100 years in Sharjah, and to register such usufruct right with the Sharjah Real Estate Registration Department (“SRERD”). The New Resolution also permits foreign developers to register projects and sell usufruct rights to investors subject to obtaining a special approval from the Ruler of Sharjah. 

Rules of Ownership in Sharjah

By way of background, Article 4 of Sharjah Law No. 5 of 2010 (the “Registration Law”) restricts the ownership of real property rights in the Emirate of Sharjah to UAE and GCC nationals, and companies fully owned by UAE and GCC nationals, or a combination of both.

The text of Article 4 of the Registration Law states that: