Executive regulations of Real Estate Contributions Law to be out in 2 months: Official

Logo of the Real Estate General Authority (REGA) 

Real Estate General Authority's (REGA) spokesperson, Tayseer Al-Mufarrej, said the executive regulations of the Real Estate Contributions Law will be issued within the next two months.

The regulations are drafted in coordination with the Capital Market Authority (CMA). Public input will be sought to enhance these regulations, he told CNBC Arabia.

The law is a new financing channel that the real estate market and developers will rely on to build and sell projects. It aims to boost the real estate supply, particularly in the residential sector.

The regulations will detail the periods specified for contributions and their classifications based on the size, location or financing of the contribution, as well as the percentage owned by the shareholder, etc., Al-Mufarrej added.

The financing of projects will be decided by the CMA, while REGA will regulate and license brokerage practitioners.

The Cabinet recently endorsed the Real Estate Contributions Law, which aims to regulate real estate contribution activities, enhance transparency and protect the rights of related parties, Argaam earlier reported.