(MENAFN- The Peninsula) Many residents of Barwa City are planning to move out of the housing complex due to an unprecedented hike in rents announced by Tanween, a subsidiary of Barwa Real Estate Company which manages a portion of the residential complex.
In the high-end housing complex, which opened in 2013, apartments were rented out at relatively moderate rates to attract tenants. The rents were around QR6,500 for a two-bedroom unit and QR7,500 for a three-bedroom flat.
However, a tenant with a three-bedroom flat will now have to dole out nearly QR3,000 more. The sudden hike has led to an online furore from some tenants.
Social media forums are abuzz with reactions and comments against the move. Many believe that rents were increased after the openings of some new amenities, such as a hypermarket, a new school among other facilities which have created a high demand and long waiting list for apartments in the complex.
Rabia Rizwan, a tenant with a two-bedroom apartment, wrote on Facebook: "I have received a letter for renewal but have no idea if my rent would be increased by QR3,000 or less."
She added: "I intend to leave, and looking for a new place but deep down also wish that I don't have to vacate, and somehow Tanween comes to its senses."
Barwa City, located at Abu Hamour area (near the cemetery) comprises around 6,000 apartments in 128 buildings. The complex is managed by two subsidiaries of Barwa - Waseef and Tanween.
The affected tenants live in the 15-building Park Residences managed by Tanween, which comprises about 800 apartments.
According to a notice issued to a tenant with a three-bedroom apartment, his rent has increased by about QR3,000.
"I received a notice in the first week of February informing me that the renewal of my housing contract will be done with a 40 percent hike in the existing rent, which was about QR8,000," a local Arabic daily recently quoted a tenant as saying without naming him.
He added: "This is not only illogical and unjustified, but also very disturbing. I am confused about it as I don't know what to do. Neither I can afford the new rent nor do I want to vacate the property because my children are studying in a school which is very close."
Another tenant, who recently renewed his contract, said that after negotiations, the company agreed to give him a "discount" of QR500 on the new rent which is now about QR11,000. Yet another tenant, Majid Butt, wrote on Facebook: "I am planning to leave but it is tricky due to the problem of relocating and children's schooling."
Some tenants asked since Waseef has not increased rents, on what ground Tanween has taken the decision.
Contacted, a top official of Waseef, which manages a major portion of the property, denied having increased rents. "Neither Barwa nor we have sent any notices regarding any hike in rents," said Hassan Jummah Al Muhannadi, Chief Operating Officer, Waseef.
"However, there is another company which also manages a section of the asset. If they have hiked rents, I have no information and I can't speak on their behalf."
Another tenant wrote: "Unfortunately, this is the attitude of the authorities and companies here. Never mind all the trouble the families will go through moving out or lost savings if they stay."
Tanween, the development management arm of Barwa, could not be contacted for comment immediately.
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