What is a Joint Property/OA Escrow Account?
A joint property/OA Escrow Account is a government mandated account based on Law no. 6 of 2019 which serves as a collection account for service charges from unit owners. The fund in this account may only be disbursed as per the RERA approved budget and be used mainly for the purpose of facilitating and maintaining the jointly owned common areas.
What are the requirements for opening Joint Property/OA Escrow Account?
• Existing and Active Corporate Account of the Property/Community Manager with CBD
• Undertaking non-personal, multi account form
• Signed Escrow Agreement
• Signed Proposal- for pricing and/or interest
• Letter from RERA appointing the property/community manager to manage the property or appointment thru Mollak system
What are the requirements for releasing payment from Joint Property/OA Escrow Account within Dubai?
RERA registered Vendor
• Within RERA Approved Budget
• LPO/Contract specifying work requested (except for government agencies)
• Invoice specifying the work done (except government agency or cooling services)
Vendor not registered with RERA
• Within RERA approved Budget
• Dubai Trade license (should be in line with the services rendered in the property)
• LPO/Contract Agreement (except for government agencies)
• Original invoice (except government agency or cooling services)
• Work done report (approved by the management company)
What is the process for releasing payment from Joint Property/OA Escrow Account?
Step 1: Submit request for release of payment thru smartforms (please refer to procedure for filling-out smartforms) or iBusiness hybrid (please refer to procedure for applying payment transfer in iBusiness hybrid)
Step 2: Submit the supporting documents thru email and/or submit to CBD’s Service Desk