How to Start a Vacation Home Rental Business in Dubai With Meydan Free Zone

Dubai’s tourism story is entering a new phase—one that’s setting the city on course to become one of the world’s top three travel destinations by the end of 2025.
Hotel occupancy is soaring, new attractions continue to redefine the skyline, and more visitors are choosing luxury short stays and holiday homes over traditional hotels. From waterfront apartments in the Marina to private villas on the Palm, travelers are seeking stays that feel like experiences, and entrepreneurs are turning those experiences into thriving businesses.

At the heart of this opportunity is Meydan Free Zone, where transforming your property into a profitable venture can take less than an hour. With 100% ownership, a fully digital setup, and access to more than 2,500 business activities, Meydan Free Zone provides everything you need, from trade licensing to ongoing business support, to enter Dubai’s fastest-growing tourism sector.

This growth aligns with the UAE Tourism Strategy 2031, a national initiative to attract 40 million hotel guests annually and boost the tourism sector’s contribution to GDP to AED 450 billion by the next decade.

As Dubai cements its status as a global tourism hub, short-term accommodation is becoming more than a business opportunity, it’s a cornerstone of the city’s next decade of growth.

Hotel Apartments Rental (5510.93)

This business activity covers the provision of fully furnished spaces—such as hotel apartments, serviced suites, and holiday homes—for short-stay guests, typically rented on a daily, weekly, or short seasonal basis.

These properties are designed to offer comfort, privacy, and flexibility, catering to tourists, business travelers, remote workers, and families seeking a home-like experience during their stay in the city. Accommodation may come with or without additional hospitality services, such as housekeeping, concierge support, food and beverage options, parking, or leisure facilities.

In simple terms, this activity allows businesses to provide temporary homes for travelers, transforming furnished properties into unique, short-stay experiences. It encompasses a wide range of property types, from family-friendly holiday homes, luxury villas and city-center apartments to compact studios and serviced residences suitable for digital nomads, all equipped with essential amenities like kitchens, Wi-Fi, laundry access, and recreational spaces.

Hotel Apartments Rental falls under short-term accommodation activities, alongside hotels, resorts, motels, guesthouses, bed-and-breakfast units, and holiday homes. The key qualifying factor is that these establishments provide furnished, temporary accommodation—often with optional hotel-type services—for visitors and transient guests, rather than long-term residents. They are operated as part of the tourism and short-stay hospitality industry, not as real estate leasing ventures.

This business model is ideal for property owners, investors, and entrepreneurs who wish to monetize furnished spaces without managing a full-scale hotel operation. It allows for scalable, flexible hospitality ventures that deliver memorable guest experiences and contribute to Dubai’s reputation for world-class short-stay accommodation.

Exclusions: This activity does not include the long-term leasing or management of residential properties, whether furnished or unfurnished. Activities such as monthly or annual rentals, real estate brokerage, or property management for permanent tenants fall under separate classifications and are not covered by this license. The distinction lies in the duration and purpose of occupancy.

Third-party Approval

This business activity needs a pre-approval from TD (Tourist Department).

Anti-Money Laundering

This business activity is exempt from AML requirements.