Saudi Arabia Tightens White Land Rules With Penalties of Up to Full Land Value
New regulations aim to curb land hoarding, boost housing supply and accelerate urban development under Vision 2030
Saudi Arabia has introduced updated White Land Rules that significantly strengthen penalties on owners of undeveloped urban land, with fines that can reach up to one hundred per cent of a plot’s assessed value if it remains unused.
The revised framework is designed to accelerate development, discourage speculative land hoarding and expand the supply of serviced plots and housing across major cities.
Under the new rules, authorities have broadened the scope of land subject to the levy, tightened compliance timelines and enhanced enforcement mechanisms to ensure that designated land within urban boundaries is either developed or released to the market.
Officials said the measures form part of a wider strategy to improve housing affordability, optimise land use and support balanced urban growth.
The Ministry of Municipal, Rural Affairs and Housing explained that escalating fines will be applied progressively, reflecting both the size and location of the land and the length of time it remains undeveloped, with revenues directed toward infrastructure and housing initiatives.
The updated system also introduces clearer assessment criteria, digital monitoring tools and more transparent procedures for valuation and appeals.
Policymakers stressed that the reforms align with Saudi Arabia’s Vision 2030 goals of stimulating private sector participation, enhancing quality of life and ensuring sustainable city planning.
By making it increasingly costly to hold land idle, the Kingdom aims to unlock significant tracts of urban land, encourage timely development and create a more dynamic and responsive real estate market.