Prime Highlights:
- Saudi Arabia’s updated real estate laws now allow non-Saudis to own property in most parts of the Kingdom, attracting international investors.
- Developers say the new rules are shaping large projects and drawing interest from buyers in Southeast Asia, North Africa, Europe, and beyond.
Key Facts:
- The regulations, effective Jan. 22, enable foreigners to apply for property ownership via the Saudi Real Estate digital platform.
- Major projects like Alma Destination and King Abdullah Economic City are adjusting strategies to benefit from increased foreign investment.
Background
Property developers in Saudi Arabia are seeing growing interest from international investors following recent changes to the Kingdom’s real estate ownership laws. Industry leaders said the new rules are already influencing market activity and investor decisions.
Speaking at the Real Estate Future Forum in Riyadh, developers said the updated regulations, which came into force on Jan. 22, now allow non-Saudis to apply for property ownership through the Saudi Arabia Real Estate digital platform. Under the new framework, foreign individuals, companies, and institutions can own property across most parts of the Kingdom, including major cities such as Riyadh and Jeddah. Ownership in Makkah and Madinah remains limited to Saudi companies and Muslim individuals.
Developers said the policy shift is shaping the planning of large projects. One example is Alma Destination, a waterfront mixed-use tourism project on the Red Sea coast near Jeddah. The development includes residential units, hotels, marina facilities and entertainment areas, creating new opportunities for global hospitality operators and investors.
Zuhair Bakheet, chief executive officer of Al Thuraya Al Omranya Properties and master developer of Alma Destination, said the project’s location makes it attractive to international buyers, especially from Muslim-majority countries. He noted that buyers from regions such as Southeast Asia and North Africa are drawn to owning property close to the holy cities.
Another developer adjusting its strategy is Emaar Economic City, the master developer of King Abdullah Economic City. Chief Investment Officer Ali Al-Khatib said the new ownership rules mark a turning point for the real estate sector.
He added that interest from overseas investors began even before the system launched, with inquiries coming from Southeast Asia, Africa, Europe and Western markets. Developers expect foreign participation to grow further as awareness of the new regulations spreads
