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Regulations for the Allocation, Recovery, and Transfer of Real Estate between Government Entities

Article (1): Definitions

  • The following words and phrases - wherever they appear in these regulations - shall have the meanings specified next to each, unless the context requires otherwise:

    • Authorized Entity: The Government Agency that has the right to allocate and recover in accordance with the regulations, orders, decisions, or instructions, which are: (State Properties General Authority, Ministry of Municipal and Rural Affairs, and Ministry of Environment, Water, and Agriculture).

    • Competent Authority: The relevant Minister or their equivalent.

    • The Authority: The State Properties General Authority.

    • State Properties: All lands and buildings owned by the state inside and outside the Kingdom that are detached from private ownership, confirmed by a title deed, except for what is excluded by a regulatory text.

    • Allocation: Placing any of the state properties at the disposal of a Government Agency to achieve a public service or benefit.

    • Recovery: Cancellation of the allocation and returning it to the authorized entity.

    • Transfer: The transfer of the authorized entity's allocation of the real estate from one entity to another.

    • Requesting Entity for Allocation: A Government Agency that submits a request for allocation.

    • Allocated Entity: A Government Agency that has been allocated by the authorized entity.

    • Allocation Decision: A decision issued by the competent authority in the authorized entity regarding placing a state property at the disposal of the allocated entity.

    • The Committee: The Allocation and Recovery Committee.

    • Regulations: Regulations for the allocation, recovery, and transfer of real estate between government entities.

Article 2: Objective of the Regulations

  • The purpose of these regulations is to organize matters related to the allocation of state properties, their recovery, and their transfer between entities, without prejudice to the relevant laws, orders, decisions, and agreements.

Article 3: Scope of Application of the Regulations

  • 1. The entities authorized to allocate state properties to government entities and to recover and transfer them shall implement the regulations.

  • 2. All entities requesting allocation and the entities allocated to are obligated to comply with the regulations.

  • 3. These regulations apply to all allocation operations, except for the following:

    • A. Allocations issued by a royal decree shall be implemented directly, by completing the handover procedures.

    • B. Allocations issued by the Ministry of Municipal and Rural Affairs through the approval of urban planning schemes, including facilities designated for government entities.

  • 4. The authorized entity must obtain the approval of the Prime Minister when allocating to non-government entities.

Chapter 1: Allocation

Article 4: Prohibitions on Allocation

  • The authorized entity may refrain from allocating any real estate that meets any of the following conditions:

    • 1. It is designated for the activity of another entity, as long as it is fully utilized in accordance with the provisions set forth in the regulations.

    • 2. There is an ongoing dispute between two government entities or in the judiciary, prior to the issuance of the allocation decision.

    • 3. The use of the real estate is not in accordance with the strategic and urban plans.

Article 5: Conditions for Allocation

  • It is required for the Real Estate under consideration for allocation to meet the following conditions:

    • 1. The Real Estate must be vacant.

    • 2. In the case that the Real Estate is occupied by another party, an agreement must be reached with them and the approval of the authorized person must be obtained for the Waiver to the requesting entity.

    • 3. Compliance with the specific conditions of urban planning and the requirements of the authorized supervising entity overseeing the location of the Real Estate intended for allocation.

    • 4. The requesting entity must submit an allocation request that includes the following:

      • أ. A letter from the authorized person that includes the allocation request.

      • ب. Completion of the allocation request form.

      • ت. A brief report on the targeted activity and estimates of the employees and beneficiaries of the activity, along with the preliminary plan for the project elements and the required area, according to the approved form.

      • ث. A statement of other Real Estates allocated to the requesting entity in the same city or governorate.

      • ج. In the case of requesting a specific Real Estate for allocation, the following is required:

        • - Attach a report on the requested Real Estate and its specifications, along with the reasons for its selection.

        • - An aerial photograph, including the geographical coordinates of the location.

Article 6: Obligations of the Requesting Entity for Allocation

  • The entity requesting the allocation of real estate is obligated to do the following when requesting the allocation of real estate for itself:

    • 1. Provide the information and documents requested by the authorized entity, according to the approved forms and mechanisms.

    • 2. Commit to not constructing on the allocated real estate until obtaining a copy of the deed, completing the necessary licenses, and conducting the required studies.

    • 3. Commit to returning the real estate to the authorized entity in the event of not commencing the project within three years from the date of receipt, or providing an excuse accepted by the authorized entity, explaining the reason for the delay in benefiting from the real estate.

    • 4. Commit to not utilizing the real estate for purposes other than those designated, in accordance with the instructions issued in this regard.

    • 5. Commit to maintaining the real estate, and providing teams for operation, maintenance, cleanliness, and security throughout the duration of the allocation, and submitting an annual technical report to the authorized entity.

    • 6. Commit to returning any surplus from the allocated area after completing the project.

Article 7: Study of Allocation Requests

  • 1. The authorized person in each competent authority shall designate the relevant departments to study the claims for allocation before presenting them to the Committee.

  • 2. Claims for allocation of sites subject to the supervision of the competent authority shall be studied as follows:

    • A. Ensuring the completeness of the information and documents required from the requesting authority for allocation. Additional information or documents may be requested during the study of the claim.

    • B. Ensuring that there is a deed for the site in the name of (State Properties) before presenting it to the Committee. If it is not available, the procedures for issuing the deed shall be completed before approving the allocation.

Article 8: The Committee for Privatization and Recovery

  • 1. A Committee for Allocation and Recovery shall be established in each authorized entity, chaired by the supervising authorized entity over the Real Estate intended for allocation, and including the other authorized entities for allocation, the Ministry of Finance, and the Center for Achieving Spending Efficiency.

  • 2. The Committee's task is to consider all matters related to allocation and recovery affairs.

  • 3. The Committee may invite anyone it deems necessary to attend its meetings, and may invite a representative of the requesting entity for allocation to discuss matters as needed, without having the right to vote.

Article 9: Registration and Notarization

  • 1. The authorized entities are obligated to register all deeds for the designated sites under the name (State Properties) in favor of the designated entity.

  • 2. The authority is obligated to preserve the original deeds of ownership of state properties and provide the designated entity with a copy of the deeds that pertain to it.

  • 3. In the event of a change in the name of the designated entity, its merger, or its cancellation, the authority shall implement the provisions of the order issued in this regard and amend the deed accordingly.

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