DED launches drive to regulate timeshare business practices in Dubai

The seminar will target Timeshare companies operating in Dubai, real estate developers and hospitality representatives to provide guidance on the implementation of an appropriate regulatory framework in the Emirate. The objective of the seminar is to generate awareness of issues related to Timeshare practices and to safeguard consumer interests while permitting further growth in Dubai's fast-growing shared ownership real estate and hospitality sectors.

Key industry figures, including Piaras Moriarty, Vice President of Marketing, The Palm Vacation Club, Dubai, Robert Lee, Director Development, Nakheel as well as Preben Vestdam, CEO, RCI Europe & Middle East will address the half-day event.

'Dubai's position as a premium tourist destination in the region has also enabled the growth of the timeshare industry in the Emirate. A significant number of international companies have begun to operate here, to market timeshare resorts and destinations across the world,' said Mr. Ali Ibrahim, Deputy Director General, Executive Affairs, DED. 'In addition, we are also witnessing the birth of the local timeshare market with companies coming forward to set up timeshare projects in Dubai and the UAE,' he added.

'This projected growth needs to be channeled and regulated to ensure that timeshare operators continue to function within an appropriate legal and commercial environment and that investment from all parties is adequately protected. This seminar will explore international best practices of the timeshare industry in order to customize and modify their usage within the local environment,' said Mr. Ibrahim.

According to current estimates, over 35,000 Middle East residents own timeshare, of which 67 per cent own at resorts located within the region. Estimates also suggest that the current penetration rate for resort timeshare ownership among all income-eligible households in the Middle East is below 1.5 per cent.

'Looking at the Middle East timeshare picture, Egypt, Lebanon and Syria currently have more timeshare resorts than the UAE, but the recent development surge in premium waterfront development should give it a larger share of the region's estimated US$483 million industry.' As an established destination that is attracting significant international investment from both the tourism and real estate industry, Dubai is the ideal platform for this seminar,' said Vivienne Noyes-Thomas, Managing Director, RCI Middle East.

'The best indicator for estimating potential demand in the Middle East, as in any region, is the number of eligible inbound visitors and Dubai is currently receiving the bulk of the region's 3.3 million holiday arrivals each year that are income-eligible to purchase shared ownership,' said Noyes-Thomas.

'The seminar will propose guidelines on the way vendors conduct their business, by examining their marketing methods, off-premises contacts, cancellation procedures, contracts and other issues relating to the industry's business practices,' she added.

Other issues to be covered during the event include an introduction to the various forms of shared leisure real estate ownership, an overview of the world's most mature markets and how they are regulated, plus a close look at workable options for Dubai.

Hosted at the DED's conference suite from 9 am to 2 pm, the seminar will also be supported by the Tourist Security Department of Dubai Police, in addition to RCI.