This is expected to further accelerate the Abu Dhabi government's aims of encouraging all businesses to operate from designated commercial premises and to protect the privacy of residential neighbourhoods. 

Abu Dhabi Law No. 1 of 2011 (“Law No.1”) provides that buildings constructed for residential use may only be leased to families or such other occupants as the Department of Municipal Affairs may approve. Law No. 1 also provides that properties for which demolition licences have been issued may not be leased or occupied and utilities to such properties should be disconnected. Fines of up to AED 200,000 can be imposed for repeated violations of Law No. 1. Abu Dhabi Administrative Resolution No. 203 of 2013 (“Resolution No. 203”) has now provided some further detail to supplement these provisions.