As the Kingdom of Saudi Arabia eyes a diversified and all-round economy under the “Vision 2030” agenda, the Gulf nation’s government is reportedly prioritising the real estate sector as a major non-oil growth machine, enacting over 18 pieces of legislation to drive its prosperity, apart from significantly boosting its GDP.
This initiative was highlighted during the recently concluded second edition of the Saudi Exhibition for Real Estate Development and Ownership, or SEREDO, held in Jeddah. The event was organised to raise awareness, explore development opportunities, and review investment potential in the sector.
According to Tayseer bin Mohammed Al-Mufarrij, spokesman for the Real Estate General Authority (REGA), over 18 legislations have been issued to date. These include real estate systems, executive regulations, and regulatory rules, reflecting the Saudi government’s commitment to this sector as part of “Vision 2030.”
Interacting with the Saudi Press Agency, Al-Mufarrij further emphasised the sector’s role and contribution to the Kingdom’s GDP, reaching 5.9% in the fourth quarter of 2023. He also noted that the property sector’s contribution to the Gulf country’s non-oil activities was 12.1%.
During the expo, Abdullah bin Saud Al-Duhaim, general supervisor of property development at REGA, also provided a detailed explanation of the new mechanism for selling and leasing off-plan real estate projects, along with its recently approved executive regulations.
In a workshop on the sidelines of the event, Al-Duhaim and other officials also, as per the Saudi Press Agency, outlined the procedural steps for applying for qualification, obtaining licenses to practice the activity, and the requirements for developers to register with the authority.
The officials also underscored the importance of complying with the regulations and legislation governing the sector, which aim to provide high-quality services, apart from enhancing reliability, increasing transparency, and protecting the stakeholders’ rights.
“REGA’s participation in SEREDO 2024 is part of its role in raising awareness about real estate, exploring development opportunities, showcasing investment prospects, and exchanging experiences with industry professionals,” Saudi Press Agency added further.
REGA is also aiming to engage the Saudi community in creating solutions to challenges, advancing toward future horizons that will enhance the Kingdom’s real estate market’s prosperity and sustainability in the long run.
REGA’s goal is simple: to make the sector dynamic and capable of adapting to rapid changes, which aligns with “Vision 2030” objectives.
“The real estate development and ownership field in the Kingdom is considered one of the largest growing sectors in the Middle East. Its volume is estimated at approximately USD 69.51 billion in 2024 and is expected to reach USD 101.62 billion by 2029, recording a compound annual growth rate of 8%,” SPA reported further.