Sunday, January 29, 2012
Palm Jumeirah Dubai: RERA approves Oceana community service charge
RERA approves Oceana community service charge
Stakeholders of Oceana Residence agree after a thorough internal process and commitment to transparency - AED17.50 per square foot
As issues concerning the transparency and breakdown of service charges across the emirate’s property market continue to fuel debate amongst owners and developers, Asteco Property Management reports that Dubai’s Real Estate Regulatory Authority (RERA) has approved the 2012 service charge budget for its Oceana residential and resort community on The Palm Jumeirah, Dubai.
Commenting on the announcement, John Stevens, Director, Asteco Property Management, said: “This is not the first complex in the city to receive approval, but as a mixed-use resort community with multiple facets, naturally we are pleased to conclude this issue with the full cooperation and involvement of the Interim Owners Association Board.
“In order to reach the final budget figure we had to detail the expenses for all of the buildings within the development, calculate the applicable fees for the communal areas and also the proportion of services utilised by the hotel and commercial elements, compared to the residential units,” he added.
To ensure that owners across the different asset classes of the community are being treated with parity, Asteco Property Management retendered all building services, which included detailed negotiations with the relevant sub-contracted companies, in order to present a mutually acceptable budget figure of AED17.50 per square foot. Compared to the previous figure there is a 30% reduction and the budget figure is in line with similar developments on the Palm Jumeirah.
“Our commitment to supporting transparency across the emirate’s real estate sector, particularly in the high profile area of service charges, saw us engage with Oceana’s developer, the Interim Owners Association and building management group through each stage of this comprehensive exercise,” said Stevens.
“The meticulous Asteco budgetary process is in line with the stringent requirements and spirit of the jointly owned property law, and is a model that we apply throughout our property portfolio,” he added.
Asteco, a major regional and international real estate services firm and the largest property services company in the United Arab Emirates, was founded in Dubai in 1985. Asteco offers independent market analysis, design development consultancy and valuation services, sales and leasing services, as well as asset management and property management services.
Oceana is a mixed use beachfront hotel, commercial and residential resort community with 644 residences, centrally located on the trunk of The Palm with private beach access. The development also offers the popular West 14th New York style steakhouse.