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Real estate developer licence, from plot to escrow

The trade licence makes you a company. DLD registration, a project escrow account and a 30% guarantee let you sell off-plan.

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New residential buildings with wind-tower details under a clear sky in Dubai
Usual route
Usually mainland
Extra approval
DLD registration
Timeline
Weeks
AML
Not a DNFBP activity
At a glance

A real estate developer licence in Dubai starts with a DET or free zone trade licence listing real estate development, then entry on the Dubai Land Department (DLD) developers register. Each off-plan project then registers on its own, with an escrow account and a guarantee for 30 percent of construction value unless that much is already built.

Covers
Building homes, offices and mixed projects to sell, off-plan or complete
Not covered
Brokering other developers' units, building works and design supervision
Premises
A company office, with a sales office where buyers visit
Timeline
Weeks for the company, months for each registered project

What a development licence covers

The licence covers the projects you build and sell. Selling for others, building on site and running towers afterwards each sit elsewhere.

Covered

Not covered

Many developers add a sister brokerage or management company later. We map the group first, so each company carries the right activity.

Mainland or free zone for a developer

DLD registration and escrow follow the project, whichever authority licenses the company. The plot and the sales office usually settle the route.

Likely route by where most of your clients are
If most of your clients areLikely routeWhy
Off-plan buyers on mainland freehold landMainland (DET)A DET licence with DLD registration is the usual base for off-plan sales
A project inside a free zone master planEither routeThe zone can issue the licence. DLD still governs off-plan sales
Investors funding a partner's projectEither routeThe company that sells the units carries the licence and the DLD entry

A free zone company can serve the mainland through a DET branch licence or permit (Executive Council Resolution 11 of 2025). DLD rules still apply, and mainland income can affect QFZP status.

Several free zones license this activity; we match the zone to your visas, office and banking. Compare free zones

Developer registration in Dubai, in order

DET or the free zone authority issues the trade licence. DLD then adds the company to its developers register, and each off-plan project registers on its own once the land, approved plans and building permit are ready.

  1. Before the licence

    • Trade name and initial approvalDET or the free zone authority

  2. The licence

    • Licence for real estate developmentDET or the free zone authority

  3. Alongside the licence

    • Title deed or development agreementDLD

  4. After the licence

    • Entry on the developers registerDubai Land Department (DLD)
    • Approved plans and building permitThe plot's planning authority and master developer
    • Project registration and guaranteeDLD
    • Project escrow account openedAn escrow agent bank accredited by DLD
    • Written approval to advertiseDLD

Marketing starts after the advertising approval, never with the launch plan.

The 30% line before off-plan sales open

DLD registers an off-plan project once a 30 percent condition is met. Move the marker to the share of construction already built.

Each project registers separately with its own escrow account, so the 30% condition comes round again on every launch.

30% of construction works completed

Below the lineThe project registers with a bank guarantee or cash deposit equal to 30% of the construction value.

At or above itCompleted works meet the 30% condition, so no separate guarantee or deposit is lodged for it.

Escrow, guarantees and the bank file

Bank viewEscrow agent bank and a 30% guarantee come before sales

Banks sit inside a development from the start. The escrow agent is a bank accredited by DLD, and any project loan is paid into that escrow account. A bank guarantee often covers the 30% condition. Funding draws the closest look. Banks ask where the land money and the equity came from, so we put the title deed, the certified cost and revenue statement and the funding plan into one file.

AMLNot a DNFBP activity; the bank's own customer checks still apply.

Where development plans stall

  1. Marketing the project before DLD approves it

    Off-plan advertising and exhibition stands need written DLD approval first. DLD has fined developers for promoting projects early. A paused campaign costs more than a late one.

  2. Land held on a preliminary sale contract

    DLD approves the development activity only with land owned by the company or one of its partners. Project registration then refuses a preliminary sale certificate, and a landowner's plot needs a registered development agreement.

  3. Selling first and starting construction late

    Once DLD allows off-plan sales, construction has six months to begin, and a developer without an acceptable reason for the delay can be struck off the register. We appoint the contractor before launch.

Questions about a real estate developer licence

A question about your plan? Describe your real estate developer plan and an advisor replies on WhatsApp.

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Do real estate developers need a licence in Dubai?

Yes, two in fact. The company needs a trade licence from DET or a free zone listing real estate development. It also needs an entry on the DLD developers register, because nobody may carry on development in Dubai without both. Off-plan projects then register one by one, each with its own escrow account.

What are the real estate development licence requirements in Dubai?

At company level, a trade licence and the DLD register entry. At project level, DLD looks for a title deed or registered development agreement, approved plans, a building permit and a guarantee for 30 percent of construction value. Completed works of that size count towards it. We check the land position before the plot is bought.

Can a real estate developer use a free zone licence in Dubai?

Yes. A free zone can issue the company's licence, usually for a project inside its own master plan. Off-plan sales of units in Dubai still fall under DLD rules, so the register entry, project registration and escrow account apply on both routes. Mainland freehold plots usually sit better on a DET licence.

How does an escrow account work for off-plan projects in Dubai?

Buyers pay into an account opened in the project's name with a bank accredited by DLD. The money is kept for building that project, and the developer's creditors cannot attach it. After completion, the bank holds back 5 percent for a year from the date units are registered in buyers' names.

How to start a real estate development company in Dubai?

Start with the land and the group structure, then the licence. The company needs a trade licence listing development and a DLD register entry before any project is registered or advertised. Each launch adds its own registration, escrow account and 30 percent guarantee, so we plan the first project with the company.

Related pages

Is your first project ready for DLD registration? Check the plot before the launch

Thirty minutes on your land, your partners and the first project. You leave with the activity wording, the route and the order of the DET and DLD steps.

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On the call

  1. The activity wording that fits your plan
  2. The route, and the approvals in order
  3. A written scope, agreed before any work starts
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