Navigating Dhaka’s New Rental Reality

Navid Faruque

For Dhaka residents, the start of a new year has long been synonymous with “January anxiety". This is the season when tenants wait for a handwritten note or a phone call announcing an arbitrary rent hike, often accompanied by restrictive house rules. According to the Consumers Association of Bangladesh (CAB), middle-income families now spend up to 65% of their earnings on rent.


However, the tide began to turn when the Dhaka North City Corporation (DNCC) unveiled a 16-point guideline intended to breathe life into the long-dormant Premises Rent Control Act of 1991. While this law has existed for decades, it remained largely ineffective due to a lack of practical enforcement. These new mandates represent a serious attempt to formalise a massive rental market worth billions.


The catalyst for this intervention was a matter of life and death. In the wake of tragedies like the Bailey Road fire—where locked rooftop exits turned buildings into traps—disaster preparedness became a municipal priority. The DNCC now mandates that tenants be provided with keys to both the rooftop and the main gate. This transforms access from a discretionary privilege into an essential safety right.


The Legal Knot
Despite these proactive steps, the guidelines face a steep climb in the legal system. The 1991 Act, which these guidelines rely on, is currently being challenged in the High Court. Furthermore, a clash exists between these rules and the Transfer of Property Act of 1882, the primary legislation for property in Bangladesh.


Mohammed Naser Alam, a Barrister-at-Law in the Bar of England and Wales and an Advocate in the Supreme Court of Bangladesh, points out that while the guidelines are "administrative recommendations", they cannot easily override national law. For instance, the 1882 Act allows a landlord to end a monthly lease with just 15 days’ notice, whereas the DNCC guidelines request two months. Additionally, the rule suggesting rent should not exceed 15% of a property’s market value is problematic. In expensive areas like Gulshan, 15% of a property's value could actually justify a rent hike much higher than what tenants currently pay, effectively giving landlords a legal reason to demand more.


The Security Paradox
The mandate to provide rooftop keys remains a major point of contention. While the DNCC views this as a non-negotiable safety measure for fire or earthquake escapes, landlords argue it creates unmanageable liability. Landlords, like Hasan Tariq, who owns a property at Dhanmondi, worry that giving every tenant a master key makes common spaces harder to secure, potentially leading to illicit activities for which the owner might be held responsible. Furthermore, with rising holding taxes and utility costs, landlords argue that a rigid two-year rent freeze makes it difficult to maintain building standards when expenses spike unexpectedly.


The Maintenance Struggle
Beyond base rent, service charges are a frequent source of friction. Tenants often feel essential repairs are ignored once a contract is signed. Mr Mahruz Nirjhor, a tenant in Badda, emphasises that maintenance is a paid service, not a courtesy. There is a growing concern that the mandated rent freeze might drive landlords to inflate "hidden fees", such as generator or lift charges, as a back-door method to increase monthly costs.

Illustration: Adrin Sarwar


Roadmap for Dispute Resolution
The DNCC has outlined a clear hierarchy for settling conflicts:
1.    Local Mediation: Ward-based associations consisting of representatives from both sides are designed to settle minor fee disputes or key access issues.
2.    Official Reporting: If mediation fails, the matter can be escalated to the DNCC’s Zonal Executive Officer (ZEO).
3.    Legal Action: For formal matters like illegal eviction or fixing "Standard Rent", a petition must be filed with a Senior Assistant Judge acting as the Rent Controller.


Smart Moves for a Secure Tenancy
To ensure a professional relationship, both parties should follow these steps:
•    Sign a Written Contract: Never move in without a document that explicitly mentions the rent amount, the two-year freeze, and the notice period.
•    Collect Receipts: Under Clause 5 of the Premises Rent Control Act (1991), landlords must provide a signed receipt by the 10th of every month. This is a tenant’s primary defence against "non-payment" eviction claims.
•    Verify Safety Access: Test your keys on day one. If a landlord refuses access to the roof, cite the DNCC’s disaster management mandate.
At its heart, Dhaka’s rental conflict is about a breakdown in communication. These guidelines are a starting point for a professional relationship, moving away from hidden fees and locked gates toward a system of clear expectations. True stability will only come when landlords see tenants as partners in property upkeep, and tenants feel secure enough to call their rented space a home.