REGA Announces Start of Receiving Off-Plan Project License Applications Following Publication of Implementing Regulations

The Real Estate General Authority (REGA) announced today the commencement of receiving license applications for off-plan real estate projects through its electronic platform. This comes in accordance with the Off-Plan Real Estate Projects Sale and Lease Law, issued by Cabinet Decision No. (196) dated 04/03/1445 Hijri, and its implementing regulations, which have now been published on REGA’s official website.
REGA explained that licensing off-plan sale and lease activities contributes to regulating the sector, reducing violations in off-plan real estate development, and increasing the supply of real estate products across commercial, residential, industrial, tourism, and other categories.
REGA added that the law serves as one of the financing channels for real estate developers and acts as a key enabler of the real estate market by enhancing trust through governance mechanisms established in the legislation. REGA invited all real estate developers interested in benefiting from the law to apply for qualification—if not previously qualified—and obtain the necessary licenses to practice the activity through the designated electronic platform for qualification and licensing of all types of off-plan projects.
To obtain a license, applicants must pass REGA’s approved qualification program and submit a feasibility study for the project. This study should include projected financial, construction, and marketing data, expected financial and administrative costs, the unit delivery timeline, anticipated financing sources, and proof of compliance with building permit requirements, engineering plans, and architectural designs.
REGA clarified that the implementing regulations for the Off-Plan Real Estate Projects Sale and Lease Law comprise (49) main articles distributed across five chapters, which include definitions and general provisions of the law. The first chapter is dedicated to the "Developers Registration Record" and outlines the conditions for registering both natural and legal persons. It also sets forth the evaluation criteria for registration in the developers' record and the conditions for approving consulting offices that oversee real estate projects.
The second chapter addresses matters related to "Licensing and Implementing Off-Plan Sale and Lease Projects," including the mechanisms of off-plan sale and lease, the necessary requirements for licensing real estate projects, and provisions concerning the agreement templates between the relevant parties. Additionally, it includes the procedures governing the disbursement of funds from escrow accounts.
The third chapter contains provisions related to "Delay and Default in Implementing Off-Plan Sale and Lease Projects." It defines the additional time permitted for project completion in the event of delays and stipulates the consequences of default. The chapter also details the methods, procedures, and approaches to be followed in cases of delay or failure to complete the project.
The fourth chapter includes provisions under the title "Supervision, Inspection, and Control." It highlights the role of private sector specialists in the technical supervision of real estate projects, defines the responsibilities and duties of officials in charge of inspection, supervision, and control, and addresses the applicable penalties for violations during the implementation of off-plan sale and lease projects. The fifth and final chapter is titled "Final Provisions" and covers the mechanisms and procedures for reporting violations.
The full implementing regulations are available for review on REGA’s official website:  https://rega.gov.sa.
It is worth noting that REGA, through its legislative framework, is committed to strengthening the legal and regulatory environment of the real estate sector, enhancing transparency and reliability, and aligning with the Kingdom’s economic and investment objectives—ultimately increasing the sector’s contribution to the national economy.