Mixed-Use Projects in Jordan
Type
E-journal
Date
3 Oct 2016
Jurisdiction
Jordan
Taxonomy
Regulatory Compliance, Tenure, Estates & Interests in Land, Property Finance
Copyright
LexisNexis
Relevant company
Al Tamimi & Company
Legal reference
Ownership of Apartments and Floors Law No. 25/1968
Analysis
Jordan is becoming a major destination for real estate developers from all over the region. Over the past 10 years, real estate developers from the GCC have entered the market by either acquiring ongoing projects in Amman and Aqaba, or by establishing new projects in the Kingdom. However, the lack of legislation addressing mixed-use projects (a single project that has both residential units and commercial units) has hampered the progress of such projects.
The current legislation regulating the ownership of property in the Kingdom is the Ownership of Apartments and Floors Law No. 25 of 1968 as amended (the “Law”), which lacks the basic essential features for the proper regulation of mixed-use projects. Under the current legislation, every property owner has a vote at the owners' association, which is established pursuant to the Law. The Law provides that such an association must be established for every building that has more than 4 apartments/stories for the purpose of managing the property (an “Association”). Voting at meetings of an Association is by owners of individual units within the project, with each owner having one vote regardless of the total area he owns.