Sources reviewed
When does delay begin?
Identify the binding handover date in the unit contract and amendments. Examine who approved any extension and for how long. Delay beyond the due date for a reason within the developer’s control triggers compensation. Distinguish project completion from the date this particular unit became available. [1][2]
How is compensation measured?
For a unit, the floor is fair market rent assessed by an accredited valuer. Supply the location, size, finish and delay period so the valuer can select comparable lettings for those dates. For developed land, agreed compensation has an annual floor of 2% of sale value. On a SAR 1 million plot, one complete year of qualifying delay gives a SAR 20,000 floor. [1][2]
How strong is the developer’s explanation?
Request the external event record, affected construction stage and dates when work became possible again. Compare those dates with payment records and progress before the event. If handover was offered, retain the invitation, inspection outcome and reasons for any refusal. Calculate undisputed and contested days separately. The project licence application includes the model sale contract and delivery dates. Compare the model with the date agreed for your unit and any documented extension. [1]
Licence and temporal scope · 2026-10-30
The Law takes effect 90 days after publication and the Regulations take effect with it. Check the project licence, contract dates and authorised extensions before applying this calculation to a legacy project. Send the developer a quantified request with the licence number. Distinguish regulatory review of project distress from the individual compensation claim. [1][2]
Sources
- نظام بيع وتأجير مشروعات عقارية على الخارطة | Law of Selling and Leasing Off-Plan Real Estate Projects 6(1)(m), 20(1)–(2), 28, 30
- اللائحة التنفيذية لنظام بيع وتأجير مشروعات عقارية على الخارطة | Implementing Regulations of the Off-Plan Sale and Lease of Real Estate Projects Law 34–36
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