Quick answer: what does a KEZAD industrial land lease cost?
A KEZAD industrial land lease is the main way manufacturers and logistics operators take serviced plots in Khalifa Economic Zones Abu Dhabi (KEZAD Group, part of AD Ports Group). KEZAD’s published standard use fee for serviced industrial plots in Abu Dhabi (Domestic and Free Zone) is AED 32–38 per m² per year; serviced logistics plots are AED 36–45 per m² per year. A common-area maintenance (CAM) levy of AED 3 per m² per year also applies, with annual escalation and possible premiums on strategic allocations. These figures are published indicative tariffs on undated KEZAD pages — reconfirm with KEZAD before budgeting or signing. See the Abu Dhabi hub and our Abu Dhabi land market report 2026 for emirate context.
This guide is for information only. It is not a quotation, valuation, legal advice or an offer of land. Lease terms, deposits, escalation, utilities and permitted use are set in the individual offer and contract. UAE Land Deals is a land-only portal.
Land types and locations
KEZAD describes itself as an integrated industrial, logistics and trade hub spanning about 550 km², with zones and parks including areas such as Al Ma’mourah (KEZAD A), Musaffah / former ICAD areas, Rahayel, Al Ain and others. Serviced land plots are offered for development on a long-term lease. The product is plot + infrastructure access — not a residential master community like Yas or Saadiyat.
| Product (as published) | Typical use framing | Jurisdiction note | Source |
|---|---|---|---|
| Serviced industrial plots — Abu Dhabi | Manufacturing / industrial development | Domestic and Free Zone tariff band published together | [1][2] |
| Serviced logistics plots — Abu Dhabi | Warehousing / distribution / logistics | Domestic and Free Zone tariff band published together | [1][2] |
| Temporary industrial plots | Shorter / temporary industrial use | Domestic Zone (as labelled) | [1][2] |
| Serviced industrial plots — KEZAD Al Ain | Industrial in Al Ain zone | Separate lower published band | [1][2] |
| Temporary laydown area | Laydown / staging | Temporary use | [1][2] |
Free Zone vs Domestic Economic Zone (company benefits as published by KEZAD — confirm for your licence type) [2]:
- Free Zone: 100% foreign ownership; 0% customs duty (as stated); capital/profit repatriation; designated zone for VAT exemption context; no minimum capital; hiring foreign employees without the restrictions stated for mainland setups.
- Domestic Economic Zone: Direct access to UAE/GCC markets; “Made in UAE” certification path for goods; 100% foreign ownership in a large set of activities (KEZAD cites 1,100+); profit/capital repatriation; potential duty-free trade in the GCC for qualifying goods.
Choose the zone for market access and customs, then confirm the land use fee and lease instrument for the specific plot — the published Abu Dhabi industrial/logistics bands cover both Domestic and Free Zone on the tariff table [1][2].
Published lease tariffs (AED / m² / year)
Figures below are copied from KEZAD’s live tariff and serviced-land pages. Pages are undated. Treat as indicative published ranges, not a binding quote. All prices are subject to the CAM levy, annual escalation, general lease T&Cs, and any premium on strategic land [1][2].
| Standard use fee per annum (land plots) | Published range (AED / m² / year) | Period / date on source | Source |
|---|---|---|---|
| Serviced industrial plots — Abu Dhabi (Domestic and Free Zone) | 32–38 | Undated live page; accessed 28 Oct 2026 | [1][2] |
| Serviced logistics plots — Abu Dhabi (Domestic and Free Zone) | 36–45 | Undated live page; accessed 28 Oct 2026 | [1][2] |
| Temporary industrial plots (Domestic Zone) | 15–20 | Undated live page; accessed 28 Oct 2026 | [1][2] |
| Serviced industrial plots — KEZAD Al Ain | 15–20 | Undated live page; accessed 28 Oct 2026 | [1][2] |
| Temporary laydown area | 10–12 | Undated live page; accessed 28 Oct 2026 | [1][2] |
| Common-area maintenance (CAM) levy | 3 (adjusted annually) | Undated live page; accessed 28 Oct 2026 | [1][2] |
Also stated on the tariff pages: annual escalation applies; further premium levy may apply on strategic land allocations [1][2]. Escalation percentage is not published on the standard tariff table (see auction-listing note below).
Worked example: illustrative 10,000 m² serviced industrial plot
This is not a quotation. It multiplies published tariff ranges by an illustrative plot size so buyers can see order-of-magnitude recurring charges before other costs.
Assumptions: 10,000 m² Abu Dhabi serviced industrial plot; use fee AED 32–38/m²/year; CAM AED 3/m²/year; no strategic premium; no rent-free period; no rebate; VAT and connection charges excluded because not stated on the tariff pages [1][2].
| Line item | Low (AED / year) | High (AED / year) | Basis |
|---|---|---|---|
| Base land use fee | 320,000 | 380,000 | 10,000 × 32–38 |
| CAM levy | 30,000 | 30,000 | 10,000 × 3 |
| Combined indicative first-year recurring charge | 350,000 | 410,000 | Before escalation, premium, utilities, deposits, licence fees |
For the same size logistics plot at the published AED 36–45 band, base use fee alone would be AED 360,000–450,000/year, plus AED 30,000 CAM → about AED 390,000–480,000 before other costs [1][2].
Eligible rebates (Industrial Land Rent / rebate programme)
Separate from the standard tariff table, Abu Dhabi’s industrial strategy includes an Industrial Land Rebate / Industrial Land Rent Programme for eligible new manufacturing projects. KEZAD and ADDED/IDB describe scoring that can yield rent as low as AED 5 / 7.5 / 10 per m² (Categories A / B / C), with KEZAD stating up to an 80% rebate on land rent for qualifying ventures [3][5][6].
| Category (programme) | Published rent (AED / m²) | Source |
|---|---|---|
| A | 5 | [3][5] |
| B | 7.5 | [3][5] |
| C | 10 | [3][5] |
Targeted subsectors (as published): chemicals, pharmaceuticals, food processing, machinery and equipment, transportation, electrical, electronics — new manufacturing establishments [3][5]. FAQ eligibility includes a valid industrial licence (under construction, or production licence ≤ six months) and a valid musataha with an Abu Dhabi industrial developer [6].
Do not assume the AED 5–10 rates replace the AED 32–38 table automatically. Rebate access is application- and eligibility-gated through ADDED/IDB processes; confirm stacking with KEZAD’s plot offer in writing.
Permitted uses and development approvals
KEZAD markets sector clusters (metals, polymers, food processing, automotive, logistics and others) and states that serviced plots support development at scale with utility corridors and road/rail access design [2]. Construction and land-use permission still depend on:
- The plot offer / lease permitted use and any build obligations (contract-specific — not on the public tariff page).
- Industrial Project Application (IPA) or Logistics Project Application (LPA) via ATLP / KEZAD channels, with process flow, conceptual site plan (IPA), trade licence and related docs [7].
- Building and environmental approvals from the competent Abu Dhabi authorities for the specific facility — verify case by case.
- Plot density / GFA rules for what you can build — see our GFA / FAR plot density guide.
ATLP process (land leasing, high level) [7]: login → submit IPA/LPA with required documents → review → plot sketch → customer confirmation → plot offer → sign offer letter → pay any service fees → sign lease agreement within a maximum of 60 days from acceptance and pay lease amounts as agreed. ATLP lists an indicative service duration of 2 working days for the service workflow — that is not a construction or fit-out timeline.
Ownership vs lease rights
For most industrial and logistics operators, KEZAD’s public product is a long-term land lease (or musataha-style right on some investment/auction plots), not mainland freehold villa title. Recent KEZAD announcements frequently cite 50-year land leases for named projects [8][9][10]. Auction listings likewise advertise musataha terms up to 50 years [4]. The standard tariff page does not fix a single statutory term — confirm duration, renewal, assignment and reversion of buildings in the contract.
- Land: typically remains with the authority / lessor under the lease or musataha.
- Improvements: buildings and plant you construct are governed by the lease — check ownership during term, mortgageability, and what reverts at expiry.
- Sale product: AD Ports / market reporting also notes selective land sales (e.g. KEZAD Town Centre). That is a different instrument from the standard use-fee lease table — get the deed or sale SPA in writing. Emirate market numbers are in the Abu Dhabi land market report.
- For UAE lease instruments generally, see leasing land in the UAE and freehold vs leasehold plot laws.
Utilities and maintenance
KEZAD states that zones are planned with corridors for power, piped gas, potable water, telecom, sewage and special utilities (e.g. industrial water / feedstock), plus waste management alignment with Abu Dhabi waste authorities [2]. Connection charges, capacity allocations (MW, m³), lead times and tariffs for consumption are not published on the land tariff pages fetched for this guide — confirm connection charges and capacity with KEZAD for the specific plot.
CAM: AED 3/m²/year, adjusted annually [1][2]. Separate energy incentive programmes (electricity / gas rebates for scoring industrial companies) exist under Abu Dhabi industrial strategy messaging on KEZAD’s incentive page [3] — those are energy tariffs, not land rent.
Auction listing terms (examples only — not the standard tariff)
KEZAD’s auction page lists specific plots with musataha terms that include, on the samples reviewed: term up to 50 years; security deposit = one year of annual rent; rent increase 15% every 5 years; rent-free periods of 12 or 18 months; infrastructure/utilities “available” [4]. Those are listing-specific conditions for auctioned investment plots. Do not read them as the universal IPA/LPA lease template for every serviced industrial plot under the AED 32–38 table.
Due-diligence checklist
- Confirm zone (Free Zone vs Domestic) and that your activities are permitted on that plot.
- Get a written plot offer: area (m²), use class (industrial vs logistics vs temporary), annual use fee, CAM, any strategic premium.
- Reconfirm tariffs against the live KEZAD tariff page (or written commercial offer) — published pages are undated [1][2].
- Negotiate/record lease term, renewal, assignment, sublease, mortgage of improvements, and build-by / completion deadlines.
- Clarify escalation formula and any rent-free period (auction examples are not automatic for all leases) [4].
- Ask for security deposit and payment schedule in writing.
- Obtain utility capacity and connection cost estimates (power, water, gas, sewage, telecom) — not on the public land tariff table.
- If seeking rebate rates (AED 5 / 7.5 / 10), confirm ADDED/IDB eligibility and how the rebate is reflected in the KEZAD invoice [3][5][6].
- Complete IPA or LPA documentation via ATLP and calendar the 60-day agreement signing window after acceptance [7].
- Check GFA / height / setbacks against your plant layout — see the GFA/FAR guide.
- Do not confuse a Town Centre sale or other freehold-style sale with a standard industrial land lease [11].
FAQ
What does industrial land cost in KEZAD?
Published standard use fees for serviced industrial plots in Abu Dhabi are AED 32–38 per m² per year, plus AED 3/m²/year CAM, subject to escalation and possible premiums. Logistics plots are published at AED 36–45/m²/year. Reconfirm — source pages are undated [1][2].
Can foreign companies lease KEZAD plots?
KEZAD Free Zone materials state 100% foreign ownership of companies; Domestic Economic Zone materials also cite foreign ownership across a large activity list [2]. Land rights are still lease/musataha (or a separate sale product where offered) — nationality rules for company licensing and land instruments should be confirmed with KEZAD and counsel for your structure.
What is included in “serviced” land?
KEZAD describes infrastructure networks and utility corridors (power, water, gas, telecom, sewage and special industrial utilities) and ready primary/secondary roads with port connectivity [2]. Exact connection capacity and fees for your plot are not listed on the land tariff pages reviewed for this draft.
Who approves construction on a KEZAD plot?
Land allocation runs through KEZAD / ATLP (IPA or LPA). Building permits and other approvals sit with the competent Abu Dhabi authorities for the project type. Start from the plot offer’s permitted use and ATLP document list [7].
What happens when the lease expires?
Not spelled out on the public tariff pages. Recent deals often announce 50-year terms [8][9][10], but renewal, compensation for buildings, and handover rules are contract-specific. Treat expiry/reversion as a mandatory legal review item before signing.
Sources
Access / retrieval for this guide: 28 October 2026. Prefer KEZAD Group and ADDED/ATLP primary pages over secondary summaries.
- KEZAD Group — Tariffs (standard use fees, CAM levy, escalation/premium caveats). Undated page. Accessed 28 October 2026.
- KEZAD Group — Serviced land (long-term lease product, same tariff table, Free Zone / Domestic benefits, utilities). Undated page. Accessed 28 October 2026.
- KEZAD Group — Incentive (industrial land rebate programme, ETIP, customs exemption). Undated page. Accessed 28 October 2026. Note: land rebate rate table header on the page is mislabelled “Gas Price”; values match ADDED ILRP land rates.
- KEZAD Group — Plots auction (example musataha listing terms: deposit, escalation, rent-free). Accessed 28 October 2026. Listing-specific — not the standard tariff schedule.
- ADDED / IDB — Industrial Land Rent Program (Category A/B/C: AED 5 / 7.5 / 10 per sqm). Accessed 28 October 2026.
- ADDED / IDB — ILRP FAQs (eligibility: licence status, subsector, musataha). Accessed 28 October 2026.
- ATLP — Request for KEZAD Group Property Lease (IPA/LPA process, documents, 60-day signing window). Accessed 28 October 2026.
- KEZAD news — Galadari 50-year land lease (26 February 2026). Example term length. Accessed 28 October 2026.
- KEZAD news — Jotun 50-year land lease (15 January 2026). Example term length. Accessed 28 October 2026.
- AD Ports / KEZAD — Azizi large land lease (12 December 2025). Example 50-year lease. Accessed 28 October 2026.
- UAE Land Deals — Abu Dhabi Land Market Report 2026 (emirate market context; lease volumes vs Town Centre sales). Internal.
Still confirm with KEZAD before you sign: effective date of the tariff schedule; standard vs negotiated lease duration; deposits and escalation on non-auction leases; utility connection charges and power allocation; current plot availability and minimum sizes; VAT on land use fee and CAM; how any ILRP rebate appears on invoices; and build-by deadlines in the contract.
Last reviewed: 28 October 2026.
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