Legal update
Riyadh rents frozen for five years
Residential and commercial rents within Riyadh's urban boundary cannot rise for five years, in existing or new leases, and every lease must be registered on Ejar.
Measures approved by the Council of Ministers took effect on 25 September 2025, freezing increases in residential and commercial rents within Riyadh's urban boundary for five years. The freeze applies to existing and new contracts alike.
For vacant units, rent is fixed at the value of the last registered contract; units that have never been leased are priced by agreement between landlord and tenant. All leases must be registered on the Ejar platform. Either party may submit a contract, and the other has 60 days to object before it is treated as valid.
Breaches carry fines of up to twelve months' rent for the unit concerned, together with correction of the breach and compensation for the injured party. The Real Estate General Authority may extend the framework to other cities with the approval of the Council of Economic and Development Affairs.
Landlords and investors should model Riyadh income at current rents for the full period, confirm that every lease is registered and review rent review clauses across portfolios and acquisition targets. Tenants and corporate occupiers can rely on the freeze in renewal negotiations.