Work has officially begun on the procedural guide for the sale and lease of off-plan real estate projects. The guide includes 55 cases related to the real estate project, the developer, or other parties, and these are dealt with according to specific procedures.

The guide organizes the procedures for selling and leasing off-plan projects in several cases, including the mechanism for dealing with a request from a legal entity to register in the real estate developers register, a request from a natural person to register in the developers register, a request submitted by a registered developer to raise their evaluation points in the developers register, updating the developer’s evaluation points, suspending the registration of a real estate developer if they lose the minimum evaluation criteria, and removing the developer from the developers registration register after the corrective period has ended.

The guide stipulates the procedures for dealing with the request for accreditation of the consulting office with the General Authority for Real Estate, and the cancellation of its accreditation with the Authority, as well as the request submitted by the developer to change the appointed consulting office, the request of the legal accountant to be accredited with the Authority, and the cancellation of the accreditation of the legal accountant if he loses the minimum evaluation standards, the request submitted to change the legal accountant appointed to supervise the project, the request submitted by the real estate developer to change the bank appointed for the project, the request for a license to market the real estate project off-plan (without receiving amounts), the request to extend the license to market the real estate project off-plan (without receiving amounts), the request for a license to market the project off-plan (with receiving amounts), and the return of the funds of the reservation holder from the escrow account during the license period based on his request.

The guide also addresses how to deal with cases of returning funds deposited in the escrow account to their owners in the event of cancellation of the marketing license, failure to complete the sales license, or delays on the off-plan project after the expiry of 180 days. It also covers requests to cancel the off-plan real estate project marketing license, requests to license the off-plan project sale, requests to license its rental, requests to divide the project into several zones, requests to change the project plan after licensing, requests to increase or decrease the number of units in the licensed project, requests to change the approved buyer or tenant contracts for the project, and requests to change the approved agreements for the project parties (legal accountant, land owner, consulting office, bank).

The guide explained the regulatory procedures for dealing with other procedures and requests, which are: changing the specifications of the licensed project, notifying the Real Estate Authority of the cancellation of a sale or lease contract by mutual consent, the Authority’s approval of the termination of a sale or lease contract by termination, notifying the Authority of the resale or lease of the off-plan real estate unit, changing the name of the licensed project, updating the developer’s data, adding an authorized representative of the developer, consulting office or legal accountant to sign the disbursement document from the escrow account.

These cases include removing the authorized signatory for the disbursement document from the escrow account, lifting the endorsement for projects established on government lands or to complete the procedures for sorting, merging, modifying, transferring ownership or transferring to the buyer before the real estate unit is completed, submitting periodic reports from the parties related to the project, withdrawing the surplus of the actual cost to complete the project from the escrow account before the project is completed, the Authority paying - in emergency cases - the dues of government agencies on the project from the escrow account, returning amounts to buyers or tenants based on the decision of the committee responsible for supervising the handling of delayed or stalled projects, disbursing the dues of the parties to the project - in emergency cases - from the escrow account in the event of the developer's non-cooperation.

Project halt

Cancellation of the permit

Among the transactions and requests included in the guide are: transferring the assets of the escrow account to the escrow account allocated to the project from the alternative developer; notifying the developer to repair defects; disbursing funds from the escrow account to repair defects in the project; the developer's request to transfer amounts from sub-accounts in the escrow account without prejudice to the provisions for debtors; requesting the cancellation of the real estate project license, whether for sale or lease; suspending the licensed real estate project that violates regulations until the violation is removed; canceling the license after a decision is issued by the Supervisory Committee for Addressing Delayed and Stalled Real Estate Projects to return the funds in the real estate project, or through amicable liquidation, or by referral to the competent court; the real estate developer's request to approve the completion of part of the project, or the entire project; requesting to change the unit models in the real estate project; requesting to change the course of the licensed real estate project to the third course for properties not registered in title; requesting to activate the escrow account for a specific scope; and replacing the developer with an alternative developer in a stalled or delayed off-plan sale or lease real estate project.