Dar Al Arkan receives white land fees invoices of SAR 201.2M

Dar Al Arkan said the invoices relate to three land plots within Shams Ar Riyadh project, which is licensed under the Wafi program

Dar Al Arkan Real Estate Development Co. has received three invoices related to white land fees to date, totaling SAR 201.2 million.

According to the company’s statement on Tadawul today, Feb. 12, the invoices relate to three land plots within the Shams Ar Riyadh project, which is licensed under the Wafi program.

The three individual invoices amount to SAR 48.32 million, SAR 108.10 million and SAR 44.73 million, respectively.

The Shams Ar Riyadh project is still under development and licensed by the Wafi program under the Off-Plan Sales Committee framework.

The company said that the project units have been sold to customers under contracts documented with the Wafi program affiliated with the Real Estate General Authority (REGA).

It informed the relevant authorities that these lands are not owned by Dar Al Arkan, as the entire project has been sold, confirming there is no material impact on the financial statements.

Last September, Dar Al Arkan disclosed that 2.83 million sqm of its land portfolio fall under the scope of the newly-introduced White Land Tax Law. Nearly 2.65 million sqm of these land areas, located in northern Riyadh, are subject to a 5% levy. Another 181,000-sqm plots are classified under a 10% levy, according to Argaam data.

The Ministry of Municipalities and Housing, represented by the White Land and Vacant Properties Fees Program, issued more than 60,000 invoices in Riyadh at the beginning of last month.