a) These Regulations aim at regulating the real estate investment funds that the units of which

are offered publicly in the Kingdom, with regards to offering, registration of its units,

management and protection of its unitholders’ rights.

b) These Regulations shall not have any prejudice to the provisions of the Capital Market Law

or its Implementing Regulations, the Market Conduct Regulations, the Capital Market

Institutions Regulations the Securities Business Regulations and the Rules for Special

Purposes Entities.

a) Any reference to the “Capital Market Law” in these Regulations shall mean the Capital

Market Law issued by Royal Decree No. M/30 dated 2/6/1424H.

b) Expressions and terms in these regulations have the meaning which they bear in the Capital

Market Law and the Glossary of Defined Terms Used in the Regulations and Rules of the

Authority.

a) A person who intends to offer units of a real estate investment fund publicly in the Kingdom must

comply with these Regulations, and the provisions of the Rules for Special Purposes Entities (where

applicable).

b) A fund manager, custodian, distributor and any member of the fund board of a real estate investment

fund in the Kingdom shall comply with these Regulations, and the provisions of the Rules for

Special Purposes Entities (where applicable).

The Authority may waive a provision of these Regulations in whole or in part as it applies to a person

either on an application from such person to whom the relevant provisions of this Article would

otherwise apply or on the Authority’s own initiative.

The Authority may impose a fee on the fund manager and the distributor as the Authority may prescribe.

Any person subject to these Regulations may appeal to the Committee in respect of any

decision or action that the Authority takes under these Regulations.

a) The applicant, seeking the Authority’s approval to offer units of a real estate investment

fund must be a capital market institution authorised by the Authority to conduct managing

investments and operating funds activity.

b) Units of real estate investment fund shall not be offered by way of a public offer unless the

Authority has first received and approved the information referred in the annex (3) of these

regulations.

c) The applicant must provide any other requirement the Authority requests in accordance

with the Capital Market Law and its Implementing Regulations.