Palm Jumeirah residents who are being denied access to the beach, pools, and gyms by Nakheel have been urged to report incidents to the Real Estate Regulatory Agency (Rera).
The announcement came following Rera's statement saying residents may enjoy the beach, pools, and gyms with no additional costs.
Earlier this month, Nakheel, the property developer of the palm-shaped island, started naming and shaming homeowners who it said had not paid service charges that would allow them access.
Lists posted at the entrance of each apartment building at the Shoreline complex contained the names of 90 per cent of the homeowners, along with the amount of money owed. A spokeswoman for Nakheel, Dubai's largest developer by assets, declined to comment.
According to Rera, it is illegal for the property developer to charge an additional Dh5,000 per household for access to its facilities.
"By law, no one can stop an owner or a registered tenant from using the communal areas once they have paid service fees," Rera's chief executive officer Marwan Bin Galita told Bloomberg. He went on to say changes could not be made to agreements already reached.
The statement came after the property developer and the homeowners association met with the agency to resolve the dispute.
According to the report, Rera also said that payment of the service charge is the responsibility of the property owners and not the tenants.
Communal areas on the island will also be determined once all blueprints from Nakheel and other developers have been submitted for review.
Because of the global economic downturn in 2008, property developers in Dubai have been having problems funding construction projects.
Even Nakheel was severely hit, recording around Dh78.6 billion in losses since the crisis began.
Developers are looking at new ways of generating income after the downturn forced them to shelve projects across the emirate.
Residents of the Palm Jumeirah, meanwhile, welcomed the resolution.
"I'm quite happy if they will allow us access without charging us additional service fees," said Linda, a Russian resident, who has been living in the Shoreline apartments for two years. "Charging extra is not fair to us. We selected this property because of the beach and the facilities. They lured people with beach access. But by Nov-ember to December, there were two big men standing near the entrance of the pool and beach and they would not allow us entry unless we have some sort of an ID saying we've paid, like an entrance pass."
She added that she might reconsider her earlier plan to move out of her apartment with the ruling.
Despite Rera's decision, some residents are still reportedly being barred from using the island's facilities.
"Some residents are still not being allowed to use the facilities," Marina, also from Shoreline apartments, said.
Rera said residents may seek the help of the regulatory agency by calling 04-2221112.
Many owners of homes on the man-made island haven't paid their service charges and Nakheel has introduced temporary security cards to prevent them from accessing the facilities.
Bin Galita said residents would continue to have access to gyms, pools and the beach provided they have paid their service fees.