Annual fee paid by every property owner to maintain shared building or community facilities. Quoted per sqft per year.
Service charge is the annual fee charged by the building or community management to maintain shared facilities — gym, pool, lifts, security, landscaping, lobby, common air conditioning. It's quoted in AED per square foot per year and assessed against the property's BUA (built-up area).
Service charge is the second-biggest line item on any Dubai property's running cost, behind only the mortgage. Palm Jumeirah branded residences run 25-30 AED per sqft. Marina and Downtown are 18-25. Suburban villas are 4-8. The number directly affects net yield, so Mario pulls the current RERA-approved service charge for every building before any recommendation. A building with rising or disputed service charges is a red flag.
Mario walks every European investor through these mechanics on the first call. The diligence trail is what separates a clean deal from a regret.