Govt measures to attract foreign investment and ownership likely to drive KSA property market

Govt measures to attract foreign investment and ownership likely to drive KSA property market

RIYADH — New, relaxed regulations as well as steps taken to attract multinational companies are likely to positively impact demand for commercial office space in the medium-to-long term, according to JLL's latest KSA Real Estate Market Performance report.Earlier this year, the Royal Commission for Riyadh announced a target to attract up to 500 multinational companies to set up their regional headquarters in Riyadh over the next 10 years. This is in addition to the new sponsorship system's announcement, as part of which expatriate workers will be able to have job mobility and the freedom to enter and exit the Kingdom without the need for an employer's permission.“Going forward, these initiatives are bound to increase foreign talent, accelerate economic recovery and create more opportunities, setting the Kingdom on a sustainable growth trajectory. We expect to see it positively drive demand in the office sector in the long run,” said Dana Salbak, head of research at JLL MENA.During the first quarter of 2021, the office sector saw the completion of two corporate office projects