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00:00 [Music]
00:13 Welcome dear viewers to a new episode of the weekly dialogue show
00:18 I am Atal Al-Shamri
00:20 In this episode we have Dr. Mohamed Suleiman
00:24 CEO of the National Real Estate Registration Service
00:31 Welcome Dr.
00:32 Welcome, first of all I would like to thank you for the wonderful invitation
00:35 and thank you Mr. Atal for this meeting and your valuable time and your dear viewers
00:40 Ok, in the process of registering real estate, tell us about the criteria you use to register these real estate
00:48 Of course, if we are going to talk about the company and its origin and where it originated from
00:56 The registration of real estate is not a new experience in the Kingdom of Saudi Arabia
01:01 There are previous experiences such as Huraymila which was done about 22 years ago
01:06 There are many lessons we learned about registering real estate
01:10 I was able to register my real estate in 2022
01:16 and the company was established in 2022
01:20 and it was established in August and September of the previous year
01:24 The company's business is an operating tool to implement the registration system of real estate in the Kingdom of Saudi Arabia
01:33 and it is a short form of all real estate owned by the beneficiaries as citizens or residents
01:40 or any kind in the near future, God willing, or the distant future
01:44 by registering their real estate and their origins with the company
01:47 as well as registering the state's real estate and the real estate of Islamic organizations
01:53 such as mosques and their Khilafah, as well as farms
01:56 and their different divisions in terms of warehouses, commercial, residential
02:01 The company is actually responsible for the role of registering and enabling all real estate in the Kingdom of Saudi Arabia
02:09 in a unified database to preserve this real estate and real estate wealth in the Kingdom of Saudi Arabia
02:15 Doctor, tell us about what you have done so far in registering real estate in the Kingdom
02:20 and also your directions in the near future
02:24 Of course, the criteria that are registered
02:27 The company is based on three centers
02:29 The first center is the geometric areas
02:31 and the criteria of these centers in the geometric areas
02:35 are in line with the specific conditions that the registration system of real estate
02:41 under the umbrella of the General Authority of Real Estate
02:43 as well as the conditions of the special geographical and real estate layer
02:47 which are in line with the requirements of the Saudi Authority of Space and Geometry as well
02:52 which is the GSA
02:53 These criteria apply to our work in determining the modernization and the specific limits in these real estate
03:00 The company is cleaning the areas in the subject of authorized aircraft, drones, or landscapers as well
03:08 with the use of special technologies in artificial intelligence
03:11 to match the specifications of these real estate from reality to the plans that we have today
03:17 These are the criteria, and as we have discussed previously, we also update the type of these real estate
03:23 As you know, the rights that we are talking about today are specific
03:28 so that it does not show what type of real estate is on this land
03:32 In the future, with the registration of real estate, these real estate will be identified
03:36 from the point of view of the specific and licensed criteria for this real estate
03:41 whether it is commercial, residential, or if it is a real estate with authorized apartments
03:48 or if it has commercial openings, or if it is a warehouse
03:52 For example, this will be shown in the titles or the rights that will be issued from the real estate registration, God willing
03:58 At the Bromptec exhibition, you recently launched the real estate registration platform
04:03 Tell us about this platform and also your directions and your work in the initiatives
04:09 related to the connection of technology with real estate in general
04:14 Of course, we are talking about a very important matter
04:17 Bromptec is a conference and a festival, thank God
04:19 For the first time in the Kingdom of Saudi Arabia, it is held in the real estate technology sector
04:24 This is related to real estate technology
04:27 This system strengthens and enables the rich real estate market in this precious country where we live
04:33 our precious kingdom
04:34 The real estate sector has a revolution coming, God willing, through the legislations that have been legislated
04:39 from the registration of real estate to the issue of real estate contributions
04:43 Many legislations have also begun to emerge for the people in fact in organizing this wonderful market
04:49 Therefore, what is contained today in Bromptec and what was launched, established, or announced
04:55 is the real estate registration platform
04:57 The real estate registration platform, God willing, will be a unified platform for all special operations in the real estate sector
05:03 from subsequent services such as deposit, merger, and debt removal
05:07 In addition to that, the documentation of the special rental contracts for these real estate
05:12 for a period of ten years and above
05:15 It will be documented and also engrossed in these areas
05:18 It will be a part of the company's business
05:21 One of the other things that we are really interested in is when we talk about real estate technologies
05:29 And since we are talking about technology, how do you use this technology in the real estate sector
05:35 if we do not add this question to the real estate registration and its latest platform
05:40 especially since technology is now being used in many real estate fields
05:45 Of course, the national company for the services of real estate registration
05:51 is a technical company in itself
05:53 since its basis is the basis of high technologies
05:56 Through the implementation of the innovation of these technologies from artificial intelligence
06:00 and the technologies that are used, for example, in geomercantial areas
06:06 as well as from the platforms that we export
06:09 The company's investments are considered a part of the real estate technology sector called PropTech
06:16 What was created today is a unified database
06:20 The real estate registration will be the reliable and transparent source
06:24 for all sectors that will benefit from the wealth of information in the real estate sector
06:30 Therefore, a specialized workshop was announced in the PropTech conference
06:37 where the companies of PropTech, the real estate technologies, and FinTech, the financial technologies, were invited
06:42 If we ask, for example, why FinTech?
06:45 The company also has a role in the disassembly and connection of the bonds in the real estate sector
06:50 which also gives it an active role in the financial transactions in the real estate sector
06:56 and enables these companies to participate in improving the mechanisms of the sector's ability to carry out its commercial activities
07:04 The other area that we will work on is what is called the sandbox, the experimental environment
07:12 We always have some special contracts in connection with our systems
07:18 which require some security precautions for information, such as cyber security
07:23 We also have a consensus that must be made in the field of infrastructure, especially in the technologies that we use
07:29 Here, these workshops and experimental environments come together
07:34 between the real estate and financial technology sectors
07:38 so that we can reach a high level of providing high quality services
07:43 that improve the quality of life of citizens and the end user, as our high vision has determined
07:48 You mentioned your role in the disassembly of the real estate, Doctor
07:52 What is this role that you play, in addition to the other significant aspects in this sector?
07:58 If we talk about the real estate bonds
08:03 The bonds are responsible for activating the real estate trade in the field of transactions
08:09 Today, we are in a world that relies heavily on real estate financing
08:16 If we talk about the figures from 2018 to our current time, for example, in the latest SADR report
08:23 more than 730 billion Saudi Riyals have been borrowed from real estate projects in terms of bonds
08:31 This is a large number, in fact, if we talk about simple years
08:34 Therefore, we see that there is still a large and complete expansion in this field in the field of real estate financing
08:40 Therefore, the role of the real estate record comes in the matter of linking and increasing the credibility of the transactions in this bond
08:48 The company will have the ability to establish what is called the collective accounts or the escrow accounts
08:55 for the matter of dealing with the preservation of the rights of the lender and the rights of the dealer
09:02 Therefore, at the end of the bond, these real estate bonds will be disconnected through the company
09:07 after the complete withdrawal of the conditions that guarantee the rights of all parties
09:11 Therefore, we look forward to this part being an integral part of the development process
09:16 and enabling the real estate sector to improve its quality, environment, transparency and financial security
09:22 These are also among the goals of the real estate record
09:26 Doctor, the information you get about the real estate record is certainly large and abundant
09:32 How can individuals benefit from it in this regard?
09:36 Of course, if I say it in general, let's say it in a calm way
09:42 We have successfully completed our work in 2023
09:46 and I am sure that we will come later to some points related to the announcements, areas and the record
09:52 What we do with it, in fact, if we talk about the Kingdom
09:56 more than 8 million real estate, for example, are known to us
10:03 We expect the record of these real estate, God willing, as a targeted plan for the company
10:09 in the next five years to record 80% of these real estate
10:13 either in urban areas or agricultural areas
10:18 This target is not a simple target
10:21 We are talking about real estate, its wealth may be in negligible numbers
10:25 in terms of private assets that are part of any part of the national economy
10:29 Therefore, the company is very concerned about the increase in the percentage of local products
10:35 in the real estate sector. We hope to be an influential, supportive and supportive worker
10:40 for this economy so that it reaches the required demand and reaches the highest levels of transparency and credibility
10:46 which is also welcomed by foreign investors, God willing, and the increase in the special deals in the real estate sector
10:52 You talked about the benefit from the real estate information you provide
10:56 Maybe for individuals or some parties, but for real estate owners in particular
11:01 or real estate companies, is there any information or privacy or superiority for them
11:08 in obtaining the private information from you?
11:12 Yes, we are talking about the company dealing with three parties
11:17 It deals with the direct beneficiary, which we call B2C
11:22 It also benefits the commercial beneficiary, such as developers, real estate developers and B2B financing companies
11:29 We also deal with government bodies in our private procedures and private deals in the government deals, which is B2G
11:37 These three deals give us a long-term view of what the commercial sector benefits from in real estate business
11:45 Of course, we have work and value projects with developers as well
11:49 We started to get to know what services they require
11:52 We discovered there, for example, the facilitation of private procedures, such as the issuance, integration and distribution procedures
11:58 We talk about private projects, such as the issuance of a loan
12:02 How will we issue these certificates or convert them into private loans, for example, to pay the full amount
12:10 There are many businesses, for example, we have the transfer of loans
12:13 We are talking, for example, between the companies that are funded
12:16 There is what is called hedging, which is the transfer of risks in the real estate loan
12:22 When we transfer it between some companies
12:24 The company is looking to do these businesses in a more efficient and faster way
12:28 To facilitate the procedures of transferring these real estate assets between the funding parties
12:33 To facilitate their daily work
12:35 There are many products
12:37 There is a great potential, God willing, that will depend on the issue of speeding up the procedures
12:45 The issue of facilitating the quality of life and adjusting it so that it is able to be cut at the end of the process
12:52 And by the grace of God, we have some targets after the special meetings with these sectors
12:58 And by the grace of God, there is a consensus
13:00 And you will see the light, God willing, in the coming years
13:03 Allow me, doctor, to stop you in this segment
13:06 Our viewers, a break, and then we will return to the second part of this episode
13:12 Do not go far
13:13 [Music]
13:40 Welcome, dear viewers, to this second part of our episode for today
13:45 In which we have Dr. Mohamed Suleiman, the Executive President of the National Company for Real Estate Registration Services
13:54 Doctor, before the break, we were talking about the great information you have in the company
13:59 And that you collect through the real estate registration
14:03 What are the impacts of this on the real estate sector today, on companies, on individuals who own real estate?
14:12 We talked briefly about what the real estate registration services offer to developers and the real estate sector
14:18 From individuals, sectors, or government agencies as well
14:22 What we will talk about now is what is the real estate registration
14:25 This is the focus of today's talk, and what are the benefits that will be reflected on this sector through the special regulations on the real estate registration
14:35 Everyone knows that there are some problems in the real estate sector
14:41 In terms of violations, for example, the lack of specific limits for real estate and its interventions
14:50 Or simple problems like some that occur in marital affairs
14:54 All these things are related to the work of the real estate registration
14:58 Which will increase credibility and transparency
15:01 And will trigger what is called absolute legitimacy, which the legitimate system has imposed on it
15:06 Ultimately, the company does its work to be able to achieve the specific goals of the real estate registration
15:13 The general benefit of the real estate sector is transparency, specific to the events that are not contrary to it, God willing
15:23 And also specific to the fact that there is no duplicity
15:27 Because the new real estate registration that will be issued from the real estate registration will have a specific identity
15:33 That does not change with the change of the owner
15:35 Rather, this identity will remain linked to the real estate until the real estate is finished, for example, its mechanism in terms of its division or division or integration
15:45 Until this number is changed
15:47 But in the event of any special problems in this real estate, it is specified in geomechanical areas
15:53 The 5 cm diameter is not exceeded in the matter of specifying the specific limits for the length
15:59 There is also the "mugtafara" ratio mentioned in the system, which is 2% of the areas and 1% of the length of urban areas and 5% of agricultural areas
16:10 This "mugtafara" ratio is of course under the umbrella of legislation and may change and may be amended
16:16 Or it may be proven as it is done today
16:19 It will help the company to do its work by registering the real estate that has no dispute with it
16:24 Until it gains absolute legitimacy according to the system after the names of the owners of these real estate in these areas are published
16:32 After a period of two months, as the system states today, absolute legitimacy will be issued on these real estate
16:38 Where there is no objection to it, it has its legitimacy
16:42 Your question is really about what will be the gain for the real estate sector
16:47 This is the most important gain, as this gain will encourage developers to work with all their might in their real estate as great and huge developments that they are doing today in our precious kingdom
16:59 As well as attracting foreign developers in the matter of the credibility of the investments that they will make in the lands of the Kingdom of Saudi Arabia
17:07 Doctor, are there any challenges that you face, for example, some real estate that does not have a specific ownership or that you face a problem as a result of this ownership
17:19 Whether they are for people who inherited or for people who died or something like that
17:25 Of course, the challenges are many, not just one challenge
17:29 We have challenges in the matter of proving the limits of real estate, what is the equivalent between the reality and what is on its plans or what are the areas in its trust, for example
17:41 This is a challenge
17:42 We have challenges, for example, in the matter of updating the trust as well
17:47 Therefore, we do not accept the new trust at the end of the round, which will support us in the matter of enhancing transparency and credibility
17:55 As the real estate wealth in which some governments are represented in the Ministry of Justice is a great and stable work in the matter of updating the trust to study the principles and interests
18:04 This is a matter that the company does not have the ability to do because of the experiences they have and what they excel in the matter of these updates
18:14 Other challenges that we face, and they are really big challenges, is the spread of awareness among society in the matter of the registration of real estate
18:21 I think your platform today is one of the solutions that we hope to be a support for the issue of increasing awareness in society in the matter of the registration of real estate
18:33 If awareness is high for all the beneficiaries of our services in the declared areas and what we will do to announce it in the future, God willing, it is a matter of putting them on the registration of real estate
18:43 Of course, it is a mandatory system for registration, God willing, to preserve the rights of the owners of these properties
18:49 This was one of the challenges that we faced with the beneficiaries at the end of the round, and the question is when they come and say, "Well, what do I benefit from the issue of the real estate registration?
18:59 Why do I go and come to you to register? Why do I, the developer, for example, register?"
19:03 If we say it this way, we respond by saying, "First, absolutely legitimate gain. Second, the issuance of a specific certificate of ownership with updates, God willing, on the limits of the land or property.
19:16 Third, you will have a certificate, a history and a real estate record with all the feedback that was obtained on this property, and it will also help you in the matter of selling in the future, in the matter of canceling the matter of mortgaging what was done in it and what was done on it from these special procedures in real estate.
19:34 So there is great and great benefit, and it will increase the ability of the sector in its work, God willing.
19:40 Dr. We also talked about your cooperation with other parties, especially that the real estate sector and the registration of real estate is linked to more than one party, and perhaps the Ministry of Justice is at the head of it.
19:50 I swear, I said we work as one body. I mean, for each party, there are capabilities and fundamentals to succeed in this project.
19:58 Without these parties, the project of the real estate registration will not succeed.
20:03 So, without God, then there is, for example, the ability of the Ministry of Justice in the matter of updating the rights and establishing them and managing real estate wealth during the past decades.
20:13 We have not reached this stage today.
20:15 The other thing is the Ministry of Municipal Development.
20:18 It has a great wealth of real estate wealth in the matter of licensing and licenses and what has been done to it from the areas and the areas through its trusts and municipalities.
20:29 We are working with it in the matter of updating these rights so that it is not a descriptive case, but a more accurate case, and we will provide it to the beneficiary at the end of the term.
20:39 The General Authority for Real Estate is the mind, in fact, in the matter of legislations and special legislation in the registration of real estate.
20:48 The General Authority has a role in managing real estate wealth in the Kingdom of Saudi Arabia. It is the authority that has a real issue of regulations and regulations and the three special obligations, which are the obligations of legislation, the obligations of monitoring and the obligations of favoring disputes.
21:04 These parties are part of our work.
21:07 In fact, we are considered as employees, we rely on them in many things, in the matter of technical connection, in the matter of consultations, as well.
21:14 But we do not hide from you that there are other parties that we deal with, and they are essential.
21:18 For example, we have the GeoSaa parties, which is the Saudi geospatial organization. It determines for us the specific framework for geospatial issues.
21:26 We, as a company owned, for example, by the General Investment Fund, have a framework and economic studies that we commit to in the matter of working with the Saudi Investment Fund.
21:39 We also have the issue of the services of the interest and the services of access to platforms, and it is all a matter of the Ministry of Interior.
21:50 These are all parties that are involved with us so that we can complete our work and issue the absolute certainty and the absolute certainty in these disputes.
21:59 Doctor, tell us about the difference between you and the Ministry of Justice in these divisions, since you have information and the Ministry has information on this side.
22:08 Of course, there is no difference. In fact, it is a technical matter, not a matter of business framework.
22:15 The trust of the Ministry of Justice is a real property certificate.
22:21 The trust is, of course, a description, mostly.
22:25 The issue and what is going on around it is that what will be different from the trust issued by the Ministry of Justice is the real estate certificate that will accompany the trust issued by the real estate registration company.
22:37 Of course, the Ministry of Justice's role is greater than just issuing the trust.
22:41 The Ministry of Justice has huge and large work in the matter of updating the trust, and this is something I welcome them to do in the matter of real estate wealth management.
22:50 I am grateful to the colleagues in the Ministry for reviewing the origins and branches of these trusts.
22:55 This is a significant work, and I visited the real estate trust in one of the previous visits, and I am proud to see our precious kingdom with some of the technologies that help in updating these trusts with properties and properties.
23:13 The differences are simple.
23:15 We are talking about the land that we will have on a specific geographical area and with a higher accuracy so that it has the specific needs of the land.
23:25 The trust will have specific information about this property, whether it is residential, commercial, if it is a tower, building, residential apartment, warehouse, for example.
23:36 It will also include the documents that have not been approved in the future, such as demolition, construction, maintenance, or land leveling.
23:45 These information will be available in the new trust, and these are the differences that exist between us and them.
23:51 The biggest difference is that the real estate registration system has not been documented according to the document that was approved by the Ministry of Justice,
24:00 and this is an absolute argument after 12 months of the announcement.
24:04 Dr. Al-Akassat, the real estate registration system on the economy, on the real estate sector in particular, how do you see it?
24:11 You may have talked about some of these reflections, but if we summarize them in general, do you see that this gives more clarity for the sector?
24:22 If we talk about investment, investment in general depends on several aspects.
24:27 First, investment depends on the operational ability, financial ability, and also on the legislative ability.
24:35 These three pillars have been achieved today in the matter of real estate registration.
24:40 If we talk about operational ability, you have a company called the real estate registry that runs this registry with high-tech and, thank God,
24:51 it facilitates the procedures of real estate transactions, which facilitates the acceleration of the trading transactions in this sector.
24:58 If we talk about financial ability, there is the issue of financial transactions in terms of cash flow, for example,
25:06 which is the cash flow in this sector, providing special products to increase awareness and invest money in this sector.
25:14 There is also the legislative ability, which is the ability, for example, to have a general body for real estate,
25:19 and special legislations for the administration of the real estate registry, its organizations, and its legislation.
25:23 The meeting of these three pillars will be the greatest means, God willing, to provide the shield that protects the investments of developers,
25:31 whether they are local or foreign, financial investments, as well as protecting the rights of the beneficiaries at the end of the process,
25:38 and to bless the issue of providing a service to improve the quality of life of one of the targets of the vision of our beloved kingdom,
25:45 in the matter of facilitating procedures, improving the issue of e-commerce services, the digital government as well,
25:51 and also improving the rating of the kingdom in the real estate sector in front of the world, God willing.
25:57 Dr. Mohamed Suleiman, the Executive President of the National Company for the Services of the Real Estate Registry,
26:04 thank you for your time and for the information you provided us today.
26:08 You are welcome.
26:10 You are our viewers, thank you for watching. Goodbye.
26:14 (Music)