What is the Tanmia Initiative?
If you’ve been reading about the Dubai property market you’ll have come across some of the projects in the Emirate that have been shelved, abandoned and restarted. If you’ve not come across any of these you’ll find some news on Revived Dubai Property Projects here and a definitive list of Abandoned Dubai Property Projects here. If you have come across these you’ve probably seen references to both the Tanmia Initiative and the Tayseer Initiative. So What is the Tanmia Initiative? (follow the link to the Tayseer Initiative).
The Tanmia Initiative is a scheme launched by the Dubai Land Department (DLD), aimed at getting semi-government/private investors on board to get grounded property development projects completed. ‘Tanmia’ is the Arabic word for ‘Development. Under the scheme, property investors were also given the right to register their stalled projects with the department. In 2015 the scheme led to 12 projects with a combined value of AED2 billion (USD544.96 million) being restarted. The Tanmia scheme was launched in September 2011. As of October 2014, 39 projects valued at over $2.72 billion (10 billion dirhams) had been restarted.
Tanmia and Tayseer Schemes – What are the differences?
The Tanmia Initiative differs from the Tayseer Initiative in that it seeks to take over projects completely. The Tayseer Initiative, on the other hand, seeks to finance financially troubled projects directly from the state’s coffers via the Real Estate Investment and Promotion Centre (REIPC), the investment arm of the Dubai Land Department (DLD). Tanmia adopts abandoned projects without an investor or a developer whereas Tayseer offers assistance to developers that experience financial deficits.
Despite the Dubai Court system releasing a long list of names of Abandoned Dubai Property Projects, the names of projects to be revived under the Tayseer and Tanmia initiatives are not shared.
DLD summarises the objectives of the Tanmia Initiative as follows:
1- Contribute to driving real estate investment in Dubai.
2- Reduce the number of incomplete projects in the Emirate.
3- Settle all pending issues and revitalise real estate projects.
4- Generally revitalise the real estate sector.
5- Raise the attractiveness of investing in Dubai property.
6- Reactivate a developer’s investment portfolio.
7- Offer multiple options through the presence of projects in more than one geographical location.