The General Authority for State Properties revealed that The State Real Estate Leasing System allows the government entity to complete a lease-to-own contract after obtaining approval from the Authority and the Ministry of Finance.

The State Property Leasing System.

Flexibility in determining the duration of lease contracts

The Authority pointed out that the system has flexibility in determining the duration of lease contracts, which can be renewable for up to five years, and up to 25 years subject to the approval of the Authority, and up to 50 years for properties built on government lands that the Authority contracts with investors for investment projects, in addition to leasing one property to several government entities.

The Authority indicated that the system has flexibility in determining the duration of lease contracts.

Preparing the executive regulations of the system

The Authority confirmed, in a statement, that work is underway to prepare the executive regulations for the State Real Estate Leasing System, which was approved by the Cabinet session, in preparation for its approval by the Authority's Board of Directors.

The Authority confirmed in a statement that work is underway to prepare the executive regulations for the State Real Estate Leasing System.

The Authority explained, in a statement, that the State Real Estate Leasing System replaces the State Real Estate Leasing and Evacuation System and abolishes any conflicting provisions, noting that the system will become effective 180 days after its publication in the Official Gazette.

Develop an annual plan

The system also required government agencies to develop an annual plan in coordination with the General Authority for State Real Estate for the process of leasing real estate before the beginning of each fiscal year, and publish it on its website or any other means, and the State Real Estate Authority indicated that the system is a qualitative leap that came in a developed and updated form to keep pace with the development requirements for the next stage, and enhances the governance and automation of leasing procedures with high transparency, and unifies the reference of regulation, supervision and control of state real estate, including the lease of real estate by the state.

The system is a qualitative shift and came in a developed and updated form to keep pace with the requirements of the development of the next stage.

Raising the efficiency of spending financial costs

In addition to raising the efficiency of spending the financial costs of real estate leasing operations, contributing to the rationalization of real estate spending by leasing at fair value according to market prices, providing flexibility in developing sustainable real estate and financial solutions, reducing the expenses of the leasing portfolio, and increasing the utilization of the leased property by government agencies.

The Authority stated that the target parties of the system are ministries, public bodies and institutions and the like, in addition to the owner of the property or whoever has the right to lease it legally.

The Authority stated that the target parties of the system are ministries, public bodies and institutions and the like.