Saudi Arabia is preparing to designate approximately 170 geographical zones where non-Saudi individuals and foreign entities will be permitted to own real estate or acquire real property rights, according to official clarifications issued by the Real Estate General Authority (REGA) through the newly launched Saudi Properties platform.

This initiative forms part of the Kingdom’s broader real estate reform agenda, aimed at attracting foreign investment, enhancing market transparency, and aligning ownership regulations with Vision 2030 objectives, while maintaining clear regulatory and national safeguards.

What Are the 170 Geographical Scopes?

The planned 170 geographical scopes represent defined, regulated zones where foreign ownership of real estate will be allowed once formally approved.

According to REGA, these zones are expected to include:

• Major cities, such as Riyadh and Jeddah

• Additional cities and governorates across various regions of the Kingdom

Each zone will be precisely mapped and governed under a forthcoming Geographical Scopes Document, which is currently under regulatory review.

Once finalized, this document is expected to outline:

• Approved locations for non-Saudi ownership

• Ownership limits and percentage thresholds

• Types of real estate and property rights permitted

• Duration and conditions of ownership

• Regulatory and compliance requirements for foreign owners

REGA has emphasized that no final scope boundaries or ownership conditions have yet been published, and investors should rely only on official announcements once approvals are completed.

How Will Foreign Ownership Be Determined?

REGA clarified that the eligibility of each geographical zone will be determined through a Council of Ministers decision, based on:

• Proposals submitted by REGA’s Board

• Approval by the Council of Economic and Development Affairs

Key factors influencing eligible zones include:

• Economic priorities

• Security considerations

• Population density and urban planning requirements

This framework ensures that foreign ownership expansion remains structured, controlled, and aligned with national interests.

Ownership Rules in Makkah and Madinah

Special provisions will continue to apply to the holy cities of Makkah and Madinah.

Under the upcoming framework:

• Property ownership will be restricted to Muslim individuals

• Ownership will be permitted only within approved geographic scopes

• Non-Saudi companies will be subject to strict regulatory conditions

These measures reflect Saudi Arabia’s commitment to balancing religious, cultural, and economic considerations within its real estate policies.

A New Phase for Foreign Real Estate Ownership

This announcement builds on reforms that officially entered into force in January 2026, enabling non-Saudi individuals, residents, non-residents, and foreign companies to apply for property ownership through the Saudi Properties digital portal.

Under the updated system:

• Applications are processed digitally

• Eligibility is verified through official government integrations

• Ownership rights will be managed within designated geographic zones

This approach replaces older, more restrictive frameworks and introduces greater transparency, predictability, and investor confidence.

Why This Matters for Investors

The designation of 170 geographic scopes represents a significant expansion of foreign ownership opportunities in Saudi Arabia’s real estate market.

Once the official zones are announced, investors will gain clarity on:

• Where non-Saudi ownership is permitted

• Which property types are eligible

• Ownership duration and transfer conditions

• Regulatory obligations and compliance standards

These reforms directly support foreign direct investment (FDI) goals, stimulate development across residential, commercial, tourism, and industrial sectors, and strengthen the real estate sector’s contribution to the non-oil economy.

What’s Next?

REGA has confirmed that detailed regulations and maps will be released once the Geographical Scopes Document is formally approved by the Council of Ministers.

Until then, prospective buyers and investors are encouraged to:

• Monitor updates on the Saudi Properties platform

• Rely on verified regulatory guidance

• Seek professional advisory support before making investment decisions

Ready to Explore Saudi Property Opportunities?

Understanding the new ownership zones, eligibility requirements, and investment pathways can be complex.

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