A Dubai court has ordered a property developer to cancel a sales contract and fully refund a buyer in the Heart of Europe phase two project, after the developer failed to complete the sale and register the unit in the buyer's name.

Court documents show the buyer paid a Dh100,000 down payment on April 16, 2025, and settled the remaining balance the following day, bringing the total price of the unit to Dh1,651,377. Despite full payment, the developer did not finalise the transaction or transfer title.

The court ordered the developer to repay Dh1,805,040, which includes the purchase price plus Dh5,040 in administrative fees, along with Dh150,000 in compensation for the delay. The ruling also carries 5 per cent annual interest from the date the lawsuit was filed until the amount is paid in full, plus Dh1,000 in legal costs.

The case adds to a string of recent Dubai court rulings favouring buyers in stalled or delayed residential projects, reinforcing how seriously the emirate's judiciary treats developers' failure to meet contractual deadlines.

Heart of Europe is a cluster of man-made islands off Dubai's coast designed around European-inspired hotels, villas and leisure facilities, and has faced several delivery delays in recent years.

The ruling comes as Dubai's residential market shows signs of cooling: sales transactions for the first nine months of 2026 fell 23 per cent year-on-year to 112,580 deals, with total values down 27 per cent to Dh292 billion, as regional uncertainty made buyers more cautious.

The case is a reminder for property buyers in Dubai to examine a developer's delivery record and title-registration timeline closely before signing, so they know their legal options if a project falls behind schedule.