Riyadh: The Real Estate General Authority (REGA) launched the second edition of its Regulatory Sandbox, one of the initiatives of the Saudi PropTech Hub (SPH), as part of its efforts to enable technological innovation in the real-estate sector and enhance market readiness to adopt modern operating models. The launch coincides with the approval of the sandbox's regulatory framework.
According to Saudi Press Agency, the Regulatory Sandbox allows companies to test innovative real-estate models under regulatory supervision for a limited period, balancing innovation and compliance. It supports startups in meeting regulatory requirements before market launch while enhancing consumer protection and sector efficiency.
REGA stated that participating models undergo four main stages: application, readiness assessment, a testing phase ranging from 6 to 24 months based on defined performance indicators, and an exit phase that may culminate in launching the model in the open market after fulfilling regulatory requirements.
It further confirmed that the second edition includes multiple tracks, including the fractional ownership track within the real-estate tokenization framework, aimed at testing innovative investment and financing solutions that support the growth of real-estate supply and enhance asset efficiency. The first batch included nine digital platforms that developed the fractional ownership model and are now operating officially after meeting regulatory requirements.
The authority invited interested companies and entrepreneurs to register and review track details and eligibility criteria via the following link, noting that applications are open until April 30.