Commercial real estate transactions, lease agreements, and construction contracts each carry their own risks, from drafting and reviewing commercial lease agreements to reviewing construction contracts and their technical appendices, through to handling disputes arising from delays or non-conforming work against agreed specifications.
A few situations come up repeatedly. A company leasing new commercial or office space that needs the lease reviewed before signing. A developer contracting with a builder to execute a project who needs a construction contract that clearly defines responsibilities. A party facing a delay in project delivery who needs their legal position assessed regarding a compensation claim. Or a company disputing a property owner over renewal terms or vacating a commercial location.
These transactions fall under the Real Estate Ownership Law and related regulations issued by the Ministry of Municipal, Rural Affairs and Housing, alongside general contractual provisions in the Civil Transactions Law governing lease and construction agreements. Real estate and construction disputes are heard before the commercial court when both parties are commercial entities.
Engagements begin with a review of the proposed contract before signing, focusing on liability terms and compensation for delay along with dispute resolution mechanisms. In construction projects specifically, we review the payment schedule against actual completion milestones to ensure a balanced allocation of risk between the parties.
For long-term lease agreements specifically, renewal terms and the rent review mechanism deserve as much attention as the initial rent figure, since a reasonable initial rate with a poorly considered renewal formula can cost more over the life of the contract.
Quality-of-execution disputes in construction projects often need an independent engineering opinion alongside the legal opinion to determine liability accurately, and we coordinate this when needed.
We help parties in disputes over delay or execution quality reach a fair settlement before escalating to full litigation, in coordination with independent technical experts when an objective assessment of each party's position is needed.
For long-term lease agreements specifically, renewal terms and the rent review mechanism deserve as much attention as the initial rent figure, since a reasonable initial rate combined with a poorly considered renewal formula can cost more over the life of the contract. When the property serves as financing collateral, this relationship deserves a parallel review under our real estate mortgage service, and for units sold off-plan, the transaction falls under our off-plan sales and Wafi service rather than being treated as an ordinary completed sale.