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| Activating registration of contracts in Saudi Arabia through Ijar |
The Kingdom of Saudi Arabia started activating the registration of lease contracts, both commercially and residentially, through a unified “lease” contract for the trade and housing sectors that was launched yesterday in the Ministry of Municipal Affairs building by the Minister of Housing Majid Al-Hugail and Minister of Trade and Investment Majid Al-Qasabi, and thus documentation through “rent” became a mandatory issue In the Kingdom of Saudi Arabia .. It is a step similar to what was taken before in the Emirates through the documentation of contracts through "lease" or "Tawtheeq" and other services that are poured in this regard.
Registration of contracts through the rental services network
With the activation of "Ijar" and the establishment of his obligation The Kingdom of Saudi Arabia has implemented Resolution No. 405 issued by the Council of Ministers, and it stipulates that all rental contracts, whether residential or commercial, be registered via an electronic network for rental services.
The minutes were signed to activate the linking of two related programs, which are a residential program and a municipal program, and it became conditional on the existence of a commercial rental contract documented within the network in order for work to be issued on the issuance of any license by the municipality, as well as when renewing the licenses. Consequently, the various agencies working in the field of real estate brokers were obligated to have contracts for leases of the commercial sector, which are executed by them, documented through the "lease" network, which was recently launched.
Flexibility and convenience for business
On the other hand, according to what has been circulated about the standard "lease" contracts for the commercial sector, which have become mandatory at the beginning of this week they are flexible and appropriate to the patterns of business and what they need. It also covers a large amount of the real estate sector and commercial units, and it includes many under its wing, such as tower buildings, or complexes for trade, as well as buildings and others. It also includes some types of subsidiaries such as offices or small and large stores and also exhibitions and sale stalls and warehouses.
The Saudi News Agency "SPA" has published some details on the subject, explaining the positive results of activating "rent" also, this program meaning "rent" is an organizational program that will have good effects in terms of organization and effectiveness on the sectors of trade and real estate in the Kingdom Therefore, it will be supportive in one way or another for the Saudi domestic economy.
Encourage those who can invest
In addition to the foregoing, Saudi officials in the relevant authorities have confirmed that the launch of the "rent" program falls within the framework of keeping pace with the "housing" program. It is one of the programs that fall under the umbrella of the Kingdom of Saudi Arabia 2030 and sixteen of the agencies are working for it Government. They also indicated that the Saudi Ministry of Housing, through more than one program, went to establish a regulation of real estate and to encourage those who are able and experts to invest in this sector, which would positively affect urbanization and develop from its reality for the better all of this is accompanied with the provision of an interactive service that adds to the quality, and can transform the issue of rent from its typical situation into a new, different and distinct form of real estate customer experiences, the organization will gradually benefit in finding the required balance situation anywhere between both supply and demand, so neither of them stands out at the expense of the other .
Some specifications of commercial "lease" contracts
The signers of the commercial contract within the "lease" can work to install many of its clauses, and indicate within it what is binding and what is not binding, and indicate which party is committed to this part or that and all of that is being done in a simple and easy way and the "lease" remains with all Status: An official document that takes the executive status when it is submitted to any relevant government or judicial authority.
The parties can also register a "lease" as a contract with conditions, and the start of its implementation will be upon the entry into force of one of the conditions according to what the parties agreed upon. The commercial activity may be adjusted according to the agreement after the contract, and the tenant can also be given authority to do many things with the consent of the lessor, and within "rent" also flexibility in coordinating the status of financial payments to the satisfaction of both parties. There is also an outlet for agreeing to a contract that does not fall within the unified contract, allowing the two parties to set their own clauses and paragraphs according to what is required by the work interest.
Continuous development of the rental services network
Finally, There is a continuous development of the electronic network for rental services, in order to provide each potential beneficiary in the sector related to real estate rents the best services and previously, an optional period has been applied to conclude the contracts, more than thirty five thousand contracts were documented during it, between a residential rental contract or Commercial. The average since the beginning of this year was more than one thousand seven hundred housing contracts per day.
To that, the concerned authorities encourage all citizens and residents to document the contracts through "rent" to guarantee the rights and facilitate the work of the official authorities, especially since many authorities ask for a document pertaining to housing in order to achieve the required service, including the health sector, the education sector, and others.
