The practice of selling or leasing any real estate units on the map - regardless of their purpose, or method of development or construction - whether residential, commercial, investment, office, service, industrial, tourism, or others, or announcing them in local or foreign media, or marketing them in the Kingdom, or presenting them at exhibitions; is prohibited except after obtaining the necessary license to practice the activity from the committee specified in item (Second) of these regulations.

A committee shall be formed within the Real Estate General Authority with the participation of: the Central Bank, the Ministry of Commerce, the Ministry of Justice, the Saudi Authority for Industrial Cities and Technology Zones, and two members from the private sector, appointed by the Board of Directors of the Real Estate General Authority. Its tasks shall include the following:

1- Reviewing the claims for licenses to practice the activities covered by these regulations, ensuring that the claim is decided upon and the license is granted within a maximum period of ten days from the date of the claim's completion.

2- Establishing the conditions and requirements necessary for licensing to practice the activities of selling or leasing real estate units on the map, which shall include the following:

• A- The commercial register for individual institutions or companies.

• B- A membership certificate from the Chamber of Commerce and Industry.

• C- A certificate of credit record safety from a licensed credit services company.

• D- A valid electronic deed of ownership for the real estate to be developed.

• E- A copy of the agreement concluded between the real estate developer and the landowner or the owner of its benefit.

• F- A copy of the contract concluded between the main developer and the sub-developer (if any).

• G- The architectural designs and engineering plans approved by the relevant authorities.

• H- A model sales contract between the developer and the buyer, with delivery dates specified by the day.

• I- A copy of the contract concluded between the developer and the real estate marketer (if any).

3- Establishing the conditions and requirements necessary for licensing to practice the activities of advertising, marketing, and displaying real estate units on the map.

4- Establishing the technical and financial qualification conditions for developers, marketers, real estate brokers, and practitioners of the activities covered by these regulations.

5- Establishing the conditions and regulations for disbursement from the project guarantee account and supervising it, defining the responsibilities and tasks of the account custodian, the engineering supervision office for the real estate development project, the legal accountant, and the inspection companies.

6- Establishing mechanisms for quantity calculation and its role in disbursing payments related to project expenses.

7- Establishing specific conditions for consumer and buyer rights, and mechanisms to protect them from manipulation, fraud, or procrastination.

8- Establishing operational conditions for common benefits, and conditions for managing owners' associations in the real estate development project for selling or leasing real estate units on the map.

9- Establishing a register that includes the arrangement and documentation of the sale or lease of real estate units on the map in any real estate project.

10- Establishing the conditions and mechanisms for disclosing statistics and information related to the activities covered by these regulations.

Notwithstanding paragraph (2) of item (Second) of these regulations, the Committee shall establish the minimum requirements and conditions necessary for real estate development projects for the sale or lease of real estate units on the map, whether small, medium, or cooperative.

The Real Estate General Authority shall establish a register within the Authority called (Developers Register) in which the names of qualified real estate developers are recorded, after the Committee approves their registration and grants them a certificate to that effect, and coordinates with the relevant authorities in this regard.

The committee may charge a financial fee for the licenses it issues or for the services, works, or consultations it provides under these regulations, and the Board of Directors of the Real Estate General Authority shall determine that fee and the payment procedures.

The Committee shall open an account in one of the local banks, into which it will deposit its revenues (including what the state allocates). Funds will be disbursed from this account for the Committee, its activities, its trust, and its employees in accordance with administrative and financial regulations approved by the Committee and endorsed by the Board of Directors of the Real Estate General Authority.

1- The Real Estate General Authority requests the Ministry of Justice to annotate the property deed record intended for development with a restriction on the ownership of the real estate.

2- The record of the property deed intended for development is annotated - after the approval of the license application and before its issuance - and the annotation shall only be lifted upon request from the Real Estate General Authority, which specifies the cases in which the annotation can be lifted.

3- The committee may exempt the property deed intended for development from the annotation according to alternative mechanisms it establishes, and the exemption shall be granted after verifying the developer's financial capabilities and providing alternative guarantees to the annotation that are legally documented, based on a reasoned decision approved by the Board of Directors of the Real Estate General Authority.

1- The employees of the Real Estate General Authority and any other governmental entity that the Real Estate General Authority deems necessary to assist its employees shall be responsible for monitoring any violations of the provisions of these regulations. A decision shall be issued by the Board of Directors of the Real Estate General Authority to name these employees after obtaining the approval of their respective entities. These employees shall have access to the sites and projects related to the activities covered by these regulations, and they are required to document violations and seize documents, papers, and evidence related to them. They may, if necessary, seek assistance from the police.

2- If any of the practitioners of the activities covered by these regulations violates any of its provisions, the Committee shall issue a decision to temporarily suspend their activity while considering the rights of depositors or buyers, request the correction of the violation, provide the credit services company with the incident of the violation, and report to the Board of Directors of the Real Estate General Authority regarding the actions to be taken against them.

3- In the event that the Committee discovers any fraudulent activity or concealment thereof, or delays in fulfilling the rights of depositors or buyers in the activities covered by these regulations, or if the violation continues without correction; it shall request from the relevant authorities to impose provisional seizure on fixed or movable assets, including securities and investment portfolios, and refer the violator to the Public Prosecution to consider filing a lawsuit before the Criminal Court to apply the penalty against them.

Subject to the provisions established by the Committee regarding medium or small or cooperative projects covered by the provisions of item (Third) of these regulations, the provisions of these regulations shall apply to all real estate development projects for the sale or lease of real estate units (residential, commercial, investment, office, service, industrial, tourism, or others) on the map, in which amounts are received from buyers or project financiers, including the aforementioned real estate development projects that have not been fully developed.