RIYADH March 30, 2025 — Crown Prince and Prime Minister Mohammed bin Salman has directed a series of reforms to stabilize land and rental prices in Riyadh, following an extensive study by the Royal Commission for Riyadh City and the Council of Economic and Development Affairs.
The reforms address the sharp rise in property prices and aim to balance the real estate sector while enhancing access to affordable housing.
As part of the initiative, restrictions on land transactions—including sales, purchases, subdivisions, and construction permits—have been lifted in two key northern areas of Riyadh.
The first area spans 17 square kilometers, bordered by King Khalid Road and Prince Mohammed bin Saad Road to the west, Prince Saud bin Abdullah bin Jalawi Road to the south, Asmaa bint Malik Street to the north, and Al-Arid District to the east.
The second area covers 16.2 square kilometers north of King Salman Road, bordered by Abi Bakr Al-Siddiq Road and Al-Arid District to the east, Prince Khalid bin Bandar Road to the north, and Al-Qirawan District to the west.
These newly opened areas add to previously released zones totaling 48.28 square kilometers, bringing the total land available for development to 81.48 square kilometers.
Additionally, the Crown Prince has instructed the Royal Commission for Riyadh City to provide between 10,000 and 40,000 fully planned and developed residential plots per year over the next five years, based on market demand.
These plots will be offered at prices not exceeding SR1,500 per square meter to eligible Saudi citizens—specifically, married individuals or those aged 25 and above who have never owned property.
Conditions include a ten-year restriction on selling, renting, or mortgaging the land—except for loans to build on it. If construction is not completed within the decade, the land will be reclaimed, and its value refunded.
Further measures include the expedited amendment of the White Land Tax Law within 60 days to increase real estate supply and new regulations within 90 days to ensure fair and balanced relationships between landlords and tenants.
Lastly, the General Real Estate Authority and the Royal Commission for Riyadh City will monitor market trends and submit regular reports to promote transparency and stability in the real estate sector.