Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum ordered the creation of a committee to study the needs of the real estate market, evaluate all future projects and control the pace of projects, a statement by Dubai's Media Office said.
The newly formed real estate oversight body will be chaired by Sheikh Mohammed and will ensure new projects are innovative and add value to Dubai's economy.
It "will assess the state of the real estate sector, study the needs of the market, evaluate all future real estate projects, develop an integrated plan for the real estate sector to regulate and control the pace of projects, and achieve a balance between supply and demand," the statement said.
"It will also direct real estate entities to develop new innovative projects focused on quality rather than quantity," it added.
The property sector accounted for 7.2% of the emirates’ gross domestic product in 2018.
Dubai property shares rose following the announcement, led by a 3.4% jump in Emaar Properties.
A number of state-owned developers, such as Nakheel, and semi-government owned developers like Emaar will also be part of the new body, known as the Higher Committee for Real Estate Planning.
“Controlling supply and demand will be the key to real estate sustainability for the coming years,” Dubai Land Department’s (DLD) Director General Sultan Butti bin Mejren said in a statement.
The DLD, which is already involved in regulating the sector, would work with the new body, he said.