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The Real Estate General Authority (REGA) confirmed that the newly issued law regulating off-plan sale and lease will enhance clarity regarding rights, expedite the process of ownership and leasing for buyers, and help create a promising and investment-attractive market. The Off-Plan Real Estate Projects Sale and Lease Law takes into account various factors that support faster ownership and utilization of residential, commercial, tourism, industrial, and other property types in line with the objectives of Saudi Vision 2030.

 

REGA clarified that the law contains several provisions scheduled to take effect ninety days after its publication in the Official Gazette. It also repeals all conflicting regulations, including those previously governing off-plan sale and lease activities. The law aims to boost the efficiency of developers and professionals engaged in property ownership, development, sale, or lease. It also seeks to minimize violations and visual pollution resulting from poor-quality development, and to address construction and development infractions by implementing engineering, accounting, and legal oversight mechanisms. Furthermore, it prohibits the collection of financial amounts without regulatory licenses and mandates that all collected funds be deposited into regulated real estate development guarantee accounts, from which disbursement is only permitted under established governance and documentation procedures.

 

With regard to supervision, off-plan project mechanisms, and the management of guarantee accounts, REGA emphasized that no party is allowed to engage in off-plan real estate sale or lease activities—or even promote or advertise them through local or international media, exhibitions, or invitations—without first obtaining an official license. Any violations of the Off-Plan Real Estate Projects Sale and Lease Law will be subject to the penalties outlined in the law, which serve as safeguards for ensuring market regulation and the protection of all contractual parties' rights.

 

REGA also noted that the law promotes reliability and procedural ease by allowing natural persons to register in the developers' registry and obtain licenses to practice off-plan sale and lease activities. The law obligates developers to begin construction work on their projects within six months of obtaining the license and authorizes the competent authority to amend or add licensing conditions as needed. Additionally, the law modifies the decision period for license applications: the competent authority must issue a decision within thirty days of receiving the complete documentation, and if no decision is made within that period, the application is considered approved. In case of rejection, the authority must provide a justified explanation.

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Beneficiary support services represent a fundamental part of a unified and integrated system aimed at achieving beneficiary satisfaction by enhancing the efficiency of handling complaints, requests, and reports, while responding to inquiries effectively and efficiently. These services aim to strengthen online communication with officials at the Real Estate General Authority. This initiative aligns with the authority's commitment to improving the quality of services provided and enhancing the level of interaction with beneficiaries through official digital channels.

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Last modified date: 2025/07/10 8:17 AM

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