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Under the revised regime, holding undeveloped land inside the urban boundary now carries an annual fee of up to 10% of its value depending on zone grading, alongside a vacant-property fee of up to 5%.
The question has changed. It is no longer when will this land appreciate? It is which route captures the most value before the fees close the gap?
Three routes. One of them fits your plot.
Develop it yourself
You keep ownership and the full return, and you carry the capital and execution risk. Right when the zone has proven demand and you have, or can raise, the funding and delivery capability.
Joint development
You contribute the land, a developer contributes capital and execution, and the return is split. The route many owners are taking: it stops the fee clock without requiring capital, and retains a share of the future value.
Sell
You exit completely and avoid future years' fees. Correct when the gap between market value and post-development value is smaller than the cost of capital, time and risk combined.
There is no universally right answer. There is a right answer for this plot, in this zone, at this grading, at this moment.
Engineering offices sell the drawing. Accounting firms sell the compliance filing. Both are necessary, and both come after the decision. We work on the decision itself.
The White Land Decision Study
- 01
Regulatory diagnosis
Zone grading, projected annual fee, and cumulative value impact over three to five years.
- 02
Highest and best use
What the plot genuinely supports — residential, commercial, office, hospitality, or a mix — and in what proportions, checked against municipal requirements and utility capacity.
- 03
Market and demand study
Existing and under-construction supply in the zone, absorption rates, price levels, and the underserved gap.
- 04
Financial modelling of all three routes
Full cash flows for develop, joint-develop and sell, with IRR, payback and sensitivity to cost and price movement.
- 05
Recommendation and roadmap
The recommended route, why, and the practical next step — including a proposed joint-development structure if that is the path.
Deliverables
- Highest and best use report
- Zone market and demand report
- Comparative three-scenario financial model (editable)
- Executive recommendation memo
- Presentation for owners or partners
- Timeline
- —
- Investment range
- —
Who this is for
- Owners of white land inside the urban boundary now receiving fee assessments
- Families and heirs holding land without agreement on its future
- Companies carrying land on the balance sheet with no development plan
- Investors evaluating a land purchase who want the numbers before committing
Your numbers
- Land value
- 15,000,000 SAR
- Annual fee
- 750,000 SAR
- Cumulative fees
- 3,750,000 SAR
- Share of land value lost to fees
- 25.0%
Enter an expected uplift to see where fees overtake developing.
Send these numbers to your inbox, and we'll tell you what we'd look at first.
We reply within one business day.
Start with the numbers
We'll calculate the annual fee impact on your plot and tell you whether the full study is worth doing at all.
Book the session