Council of Representatives adopts timeshare bill to regulate property ownership and boost tourism

TDT | Manama
The Daily Tribune – www.newsofbahrain.com

The Council of Representatives, upon the recommendation of its Committee on Services, yesterday unanimously adopted a 36-article draft law that aims to regulate the activities associated with property timeshares.

In simple terms, a timeshare is understood to be a type of holiday abode whose proprietorship is fractioned amongst a consortium of purchasers.

Under this arrangement, the property’s cost is apportioned between the owners, granting each a guaranteed period of occupancy annually.

Timeshares are typically comprised of smaller accommodations within a more extensive resort complex.

The principal aim of the proposed legislation is to bolster the economic and commercial milieu within the Kingdom of Bahrain.

It endeavours to stimulate investment within the realms of real estate and tourism.

The bill further introduces greater latitude in contract issuance and offers enhanced versatility in contractual dealings amongst stakeholders.

In addition, it institutes legal safeguards to uphold the rights of all involved parties and delineates their obligations with precision.

Moreover, the legislation aspires to sow seeds of trust in the hearts of consumers, encompassing citizens, residents, and visitors of the kingdom, as they engage with firms specialising in timeshares.

Trust

This trust is envisaged to germinate into societal benefits, yielding a harvest of reliability and openness within the industry.

MP Dr. Ali AlNoaimi, expressing great enthusiasm for the proposal, said, “This law will significantly contribute to our economy and serve the interests of investment.

We also urge the Ministry [of Tourism] to include Southern Governorate tourism sites in their initiatives.”

MP Muneer Seroor cautioned, “We are obligated to safeguard the interests of both transactional parties, particularly as this bill may inadvertently unlatch the gates to fraudulent sales.”

Feasibility

MP Eman Showaiter queried, “Does Bahrain truly need a law allowing timeshares, especially considering the lack of feasibility observed in the implementation of timeshares in other Arab countries?”

She also raised concerns about compensation mechanisms in cases where a beneficiary receives property negatively impacted by a previous occupant.

In retort, Her Excellency Fatima Al Sairafi, the Minister of Tourism, asserted, “The introduction of this law is imperative, for it aligns with the burgeoning tapestry of our tourism infrastructure, as well as the liaison between investors and the Bahrain Tourism and Exhibitions Authority (BTEA), alongside the Bahrain Economic Development Board.

Enterprises

“These entities have closely collaborated and observed the instrumental role of this legislation in magnetising further investments into the tourism sector.

A multitude of enterprises have signalled their eagerness. It falls upon us, as the Ministry of Tourism, to formulate explicit guidelines to strengthen both beneficiaries and developers.”

MP Dr. Hisham Al-Ashiri acknowledged the established nature of the timeshare system but stressed the need to address potential loopholes that could be exploited by investors.

“We must carefully consider the potential impact of these laws on our country and provide guarantees to prevent misuse for purposes other than promoting tourism,” he stated.