تطبيق نظام رسوم الأراضي البيضاء والعقارات الشاغرة يعزز من وفرة المعروض في السوق العقارية

Enhancements in the White Lands and Vacant Properties Fees System: A Path to Market Stability

The Ministry of Municipal and Housing Affairs has affirmed that the recently approved amendments to the White Lands and Vacant Properties Fee System will significantly contribute to increasing the availability of real estate and achieving balance in the market. These amendments aim not only to elevate the efficiency of underutilized assets but also to foster fair competition within the sector.

The new regulatory framework is comprised of fifteen articles, which encompass essential definitions, annual fee details applicable to white lands as well as vacant properties. This system empowers the Ministry to delineate the scope of its application and identify the land areas subject to fees, ensuring that the minimum size of any land parcel or the total aggregated area covered is no less than 5,000 square meters, in accordance with the conditions laid out in the regulations.

The Ministry also indicated that the regulatory guidelines currently in preparation will elaborate on the criteria and standards necessary for the effective implementation of this system. These will include the definitions of subjection and exemption criteria, methods for calculating fees, and procedures for notifying property owners or their representatives. Additionally, measures will be established to prevent evasion and ensure equitable enforcement.

Responsibility for the payment of fees or associated penalties primarily rests with the property owner, unless another party assumes this financial obligation. The new system imposes penalties for violators, with fines not exceeding the amount of the owed fee. However, this imposition of penalties does not relieve violators from their obligation to pay. Furthermore, property owners or their representatives have the right to appeal any decisions regarding subjection or assessment within sixty days following formal notification, utilizing the procedures that will be outlined in the upcoming regulations.

To ensure transparency and fairness in the application of the fees, the Ministry emphasized that the system’s implementation will rely on accurate and unified databases. Importantly, revenues generated from these fees and fines will be allocated to support housing projects, which is a crucial aim of this initiative that seeks to promote urban sustainability and mitigate monopolistic practices.

The approval of these amendments is part of ongoing efforts to regulate the real estate sector and foster balanced, sustainable urban development that benefits citizens. The Ministry has announced that the revised list of fees for white lands will be published within ninety days of the system’s formal announcement in the official gazette. Meanwhile, regulations concerning vacant properties are expected to be issued within a year from the publication date of the system.

The decision to amend the White Lands Fee System was officially published in the Um Al-Qura newspaper on the previous Monday, following the Cabinet’s approval during its session held on Tuesday, 1 Dhu al-Qi’dah 1446 AH, corresponding to April 29, 2025.

This regulatory overhaul underlines the commitment of authorities to refine the real estate landscape and create a framework that not only maximizes land utilization but also ensures that housing remains accessible and sustainable for the population at large. By enhancing competition and reducing speculative practices, the Ministry aims to create a more dynamic and robust market that adequately addresses the needs of its citizens while fostering long-term growth and development.

With these initiatives in place, stakeholders in the real estate sector are encouraged to adapt to the new regulations, engage in constructive dialogue with the Ministry, and actively participate in shaping the future of the housing landscape in a manner that is inclusive and sustainable. The forthcoming guidelines will play a pivotal role in clarifying the implementation process and ensuring that all parties involved are aware of their obligations and rights under the new system. As these changes unfold, the Ministry remains committed to facilitating a smooth transition and monitoring compliance to uphold the integrity of the real estate market.