Short answer
- Off-plan termination 25%/40%, Dubai, British buyers: the tier depends on how complete the whole project is, not on how much you have paid.
- Below 60% completion (work started), a developer may keep up to 25% of the unit value; from 60% to 80%, up to 40%; above 80%, it can choose among three options, including keeping up to 40%.
- If work has not started for reasons outside the developer's control, or RERA cancels the project, everything paid must be refunded.
- The source is Article 11 of Law No. 13 of 2008, as amended by Law No. 19 of 2020. Older versions, including the 2009 text, are no longer in force.
Off-plan termination 25%/40%, Dubai, British buyers: how do the tiers work?
The percentage a developer can keep is set by the project's completion stage. After a buyer defaults and the 30-day DLD notice period passes, the Dubai Land Department (DLD) issues a document stating the completion percentage, calculated under RERA standards for the whole project.
Maximum share of unit value a Dubai developer may keep after buyer default
Above 80%, the developer may instead keep the contract and claim the balance, or ask the DLD to auction the unit.
Article 11, Law 13 of 2008 (UK buyers): which version applies?
Only the 2020 wording counts. Article 11 has been rewritten three times: by Law No. 9 of 2009, Law No. 19 of 2017 and Law No. 19 of 2020, issued 24 November 2020 and in force now.
- Tiers are measured on the whole project's completion, not your unit
- Percentages apply to the unit value in the contract, not to what you paid
- Not-started or RERA-cancelled projects: full refund, with no deduction
- Article 11(g) keeps your right to go to court or arbitration
Al Tamimi (March 2021) confirms both 2020 changes: a full refund where work has not started, and completion measured on the whole project.
Law 19 of 2020, Dubai off-plan, from the UK: what do the numbers look like?
Here are three hypothetical cases on the same unit. Assume a contract unit value of AED 1,000,000 and a buyer who has already paid AED 300,000.
| Project stage | Maximum the developer may keep | Excess refundable to buyer |
|---|---|---|
| Not started or RERA-cancelled | AED 0 | AED 300,000 |
| Work started, 45% complete | Up to AED 250,000 | At least AED 50,000 |
| 70% complete | Up to AED 400,000 | None; the cap exceeds what was paid |
The excess must be refunded within one year of termination or 60 days of resale, whichever is earlier.
…and will I lose all the amounts I paid?
How do I find my project's completion percentage from the UK?
Use the DLD's own systems, not a broker's update. The DLD says the Dubai REST app shows off-plan investors the percentage of completion and project photos.
Log in from abroad
Dubai REST is in the UK App Store; foreign investors log in with UAE PASS or a title deed.
Record the percentage
Screenshot the completion figure in Project Status (Mashrooi), with the date and both London and UAE times.
Ask for confirmation if needed
The DLD FAQ says RERA's technical auditor can produce a completion report for AED 15,000 per unit or villa.
What should UK buyers watch in the 30-day notice period?
The 30 days run from a dated DLD notice, which may arrive in person, by registered mail or by email.
Read the UK guide to a missed instalment for the notice stage, every exit route for alternatives, and checking construction before a payment. The global Article 11 guide and the UK buyers' hub have more, or check the project's completion record.
Is the 25% or 40% calculated on what I paid or on the unit price?
The 25% and 40% limits in Dubai's Article 11 are calculated on the unit value stated in the contract, not on what the buyer has paid. If a developer's maximum retention is higher than the amount paid, there is no excess to refund. If it is lower, the excess must be refunded within the legal deadline.
Does Article 11 of Law 13 of 2008 apply to UK buyers?
Article 11 of Law No. 13 of 2008, as amended by Law No. 19 of 2020, applies to off-plan units registered in Dubai's Interim Property Register, whatever the buyer's nationality or home country. UK buyers are covered by the same tiers, notice period and refund rules as UAE residents.
What happens if my Dubai project has not started construction?
If construction of a Dubai project has not started for reasons beyond the developer's control and without its negligence, or RERA cancels the project, the developer must refund all payments made by buyers. Law No. 19 of 2020 removed the older rule that allowed a developer to keep up to 30% in that situation.
How fast must a Dubai developer refund the excess after termination?
A Dubai developer must refund any excess above its permitted retention within one year of the termination date or within 60 days of reselling the unit to a new buyer, whichever comes first. This rule comes from Article 11 of Law No. 13 of 2008, as amended by Law No. 19 of 2020.
Related guides
Sources
This guide is general information, not legal advice. Laws and procedures change; check the official source before acting. Published 12 October 2026, last updated 12 October 2026.