Erdoğan to Asharq Al-Awsat: Our Ties with Saudi Arabia Are Strategic for Regional Peace, Stability, Prosperity

Prince Mohammed bin Salman, Crown Prince and Prime Minister, and Turkish President Recep Tayyip Erdoğan meet in Jeddah. (SPA file)
Prince Mohammed bin Salman, Crown Prince and Prime Minister, and Turkish President Recep Tayyip Erdoğan meet in Jeddah. (SPA file)
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Erdoğan to Asharq Al-Awsat: Our Ties with Saudi Arabia Are Strategic for Regional Peace, Stability, Prosperity

Prince Mohammed bin Salman, Crown Prince and Prime Minister, and Turkish President Recep Tayyip Erdoğan meet in Jeddah. (SPA file)
Prince Mohammed bin Salman, Crown Prince and Prime Minister, and Turkish President Recep Tayyip Erdoğan meet in Jeddah. (SPA file)

Turkish President Recep Tayyip Erdoğan stressed on Tuesday that his country was prepared to mediate between Iran and the United States to ease tensions between them, warning against any step that may spark war in the region.

Erdoğan arrived in Riyadh on an official visit on Tuesday. In an interview to Asharq Al-Awsat, he said relations between Riyadh and Ankara have strategic importance for peace, stability and prosperity in the region.

He revealed that his visit aims to expand to bilateral consultations on regional issues, especially the situation in Gaza and Syria, as well as elevate bilateral ties to broader horizons.

Saudi-Turkish relations

Erdoğan said: “Türkiye and Saudi Arabia are two friendly countries with deep historical ties, strong state traditions, and a shared sense of regional responsibility. We have never viewed this relationship through a narrow lens confined solely to bilateral matters. This is because the valuable friendship between our two countries also carries a strategic significance for the peace, stability, and prosperity of our region as a whole.”

“As a natural outcome of this understanding, Türkiye-Saudi Arabia relations constitute a line of stability that goes beyond economic cooperation alone, encompassing consultation, coordination, and the strengthening of common wisdom. Indeed, in our previous meetings with Prince Mohammed bin Salman, Crown Prince and Prime Minister, we addressed not only bilateral relations but also regional and global issues, and reaffirmed our mutual determination to further deepen our cooperation in the period ahead,” he added.

Expanding consultations

On his visit to Saudi Arabia, he said: “We aim to both deepen consultation on regional issues and advance our bilateral relations in concrete areas. In this regard, the inclusion of the business community in the program clearly reflects our commitment to elevating economic cooperation.

“This visit brings consultation and a positive agenda together at the same table. Our agenda includes Palestine, a permanent ceasefire in Gaza, and Syria,” Erdoğan stated. “There is, of course, also an economic aspect, namely how we can expand our trade, investments, and joint projects, which we will address as well. Thus, we will strengthen consultation while also broadening the positive agenda.”

“Regarding new steps of cooperation, we do not view the matter solely through the lens of signing documents. What truly matters to us are sustainable and concrete projects that deliver tangible results on the ground and generate mutual benefit. We seek initiatives that will open new horizons for our business communities, create employment, and improve the lives of our people,” he went on to say.

“We see significant potential not only in the economy, trade, and investment, but also in fields such as energy, tourism, transportation, and logistics,” he noted. “We have no intention of leaving this potential merely on paper. Our objective is to expand this cooperation through concrete projects based on a mutual win-win approach and to elevate our relations to a more advanced level.”

“In the defense industry, our primary goal is to establish cooperation based on mutual trust that builds capacity and strengthens technological and production capabilities. I believe that steps to be taken in areas such as joint production, technology sharing, and training will not only strengthen the defense capacities of both countries, but also further consolidate the foundations of our strategic partnership,” he told Asharq Al-Awsat.

Iran

On the possibility of the eruption of a war between the US and Iran, he said: “Let me begin by stating that experience has proven that scenarios which fail to grasp the values, identity, history, and future of this geography have inflicted far greater suffering on the region than peace. The wounds inflicted by the implementation of such scenarios in Gaza, Iraq, Syria, and Afghanistan remain vivid in our collective memory.”

“For this reason, as Türkiye, we categorically oppose a new war or a new wave of destruction in our region,” he declared.

“We advocate resolving issues through dialogue, reason, prudence, and sound judgment. We have openly and consistently expressed our opposition to any military intervention against Iran on every platform. In this regard, we advise our counterparts to refrain from any steps that could escalate tensions, exercising due restraint.

“We informed our counterparts that we are closely following developments in Iran, attach importance to the country’s peace and stability, and do not support any external intervention that would bring suffering to the Iranian people,” he said.

“Moreover, we emphasize that Türkiye is ready to assume a facilitating role between Iran and the United States in order to de-escalate tensions and help resolve issues through diplomatic means. In this context, our diplomatic engagement continues. We stand against every step that would plunge the region into flames, and we stand with every step that strengthens peace,” he added.

“We view the consultations and coordination we are conducting with regional countries within this framework. Our contacts with friendly countries, including Saudi Arabia and Pakistan, are ongoing,” he remarked.

“We do not view the matter through the lens of bloc alignment or alliances. What our region needs is not new divisions, but a foundation for cooperation shaped by common wisdom and shared responsibility. Our aim is not to manage conflict but to jointly strengthen the diplomatic groundwork that will prevent it from arising in the first place. For this reason, the establishment of regional security mechanisms would be beneficial in preventing crises.”

Gaza and the challenges

On the challenges hindering the success of the second phase of the Gaza peace plan after the Israeli Prime Minister’s rejection of Turkish and Qatari involvement in Gaza, Erdoğan said: “The main issue in Gaza is to make the ceasefire permanent, to ensure the protection of civilians, to deliver humanitarian aid without interruption or obstruction, and to bring forced displacement to a complete end.”

“Any discussion held without securing these fundamental points would miss the essence of the matter,” he said.

“Moving on to the second phase of the Peace Plan is important; however, the greatest obstacle to this phase is, first and foremost, the continuing fragility of the ceasefire. At this point, it is essential that recovery and reconstruction efforts begin without delay, that urgent and basic needs in Gaza are met, that public services are provided, and that Israeli forces withdraw gradually from Gaza in line with United Nations Security Council Resolution 2803. As a member of the Board of Peace, Türkiye will actively contribute to these processes,” he added.

“Without establishing trust on the ground and ensuring lasting calm between the parties, it is impossible for this process to proceed in a sound manner. In addition, the destroyed infrastructure, the collapsed healthcare system, the water and electricity crises, the need for shelter, and the sheer scale of reconstruction all represent serious obstacles to the second phase. Therefore, success depends on establishing a framework that addresses both the security and humanitarian dimensions.”

Peacekeeping force

“As for the debates on a peacekeeping force or an international mission, our approach is clear. Such mechanisms only make sense if they serve to protect civilians, guarantee humanitarian assistance, and support lasting peace. Regardless of the label attached to it, any arrangement that fails to serve peace on the ground lacks real meaning,” he continued.

“Once the necessary conditions are in place, Türkiye is ready to shoulder responsibility in contributing to peace in Gaza, including the possibility of a military contribution. And let me repeat: reducing this matter to a debate over ‘which country should or should not be involved’ will not produce a solution. The solution lies in a peace architecture shaped by the right conditions, the right mandate, and the right objectives,” he stressed

“In any arrangement concerning Gaza’s future, the source of legitimacy is the will of the Palestinian people. A lasting solution cannot be established without taking into account the consent and expectations of the Palestinian people,” he stated.

“For Türkiye, our goal in Gaza is to contribute to establishing the conditions necessary for a lasting ceasefire, a just peace, humanitarian assistance, reconstruction, and a fair political solution,” he added.

Syria

On the efforts to reach an agreement between the Syrian government and the Syrian Democratic Forces (SDF), Erdoğan replied: “For many years, Syria has paid the heavy costs of war and fragmentation. The positive developments now emerging both on the ground and in diplomacy show that a new political horizon is possible.”

“This path seeks to preserve Syria’s territorial integrity, consolidating national unity, and re-establishing state authority across the country. The way towards a lasting and just peace lies in strengthening a partnership that nurtures common wisdom and common will and acts with a sense of responsibility.”

“The narrowing of conflict zones in Syria, along with the agreements reached and the steps taken toward integration, shows that progress can be made in the right direction. However, for these gains to become permanent, developments on the ground alone are not sufficient; social reconciliation must also be established by strengthening a shared sense of belonging around the central government. Whether in the northeast, the south, or the coastal region, the same applies across Syria,” he noted.

“Our benchmark is clear: a Syria that does not threaten its neighbors, denies safe haven to terrorist organizations, and embraces all segments of society on the basis of equal citizenship is essential for regional stability,” Erdoğan told Asharq Al-Awsat

“For Türkiye, we state that Syria’s future will be shaped by the will of the Syrian people. In this vein, alongside friendly and brotherly countries, foremost among them Saudi Arabia, we will continue to stand by every constructive step that strengthens Syria’s unity, integrity, and stability, both on the ground and at the negotiating table,” he stressed.

Sudan

On Sudan, Erdoğan noted: “The war there has reached its 1,000th day. Unfortunately, our Sudanese brothers and sisters are entering yet another Ramadan amid conflict. Sudan has suffered heavy losses due to this war. The brotherly people of Sudan are striving to survive under the devastating conditions brought about by the civil war.”

“We have supported every diplomatic effort to bring an end to this dire situation as soon as possible and to help Sudan achieve stability and prosperity. We have expressed our readiness to mediate between the conflicting parties,” he said.

“As a highly trusted external actor in Sudan, Türkiye has chosen not to launch separate diplomatic initiatives or add new tracks to existing efforts, but rather to strengthen ongoing processes and contribute to a peaceful resolution. However, I regret to say that, to date, no outcome has been reached that would put an end to the bloodshed and ongoing suffering,” he lamented.

“The Sudanese government and the brotherly people of Sudan have expectations from us. In response to these expectations, and with the participation of all relevant institutions, we have taken steps to restore peace and stability in Sudan and normalize daily life, ensuring the reopening of the Turkish Cooperation and Coordination Agency (TİKA) office and the Ziraat Bank branch in Port Sudan.”

“To strengthen our Sudanese brothers’ and sisters’ connection with the outside world, we have launched Turkish Airlines flights to Port Sudan. Since 2024, nine aid vessels that we have dispatched have delivered a total of 12,600 tons of humanitarian aid and 30,000 tents to our Sudanese brothers and sisters. Our cooperation in the fields of agriculture, mining, and energy continues. We are also conducting the necessary assessments regarding the reconstruction of destroyed cities, particularly the capital, Khartoum,” Erdoğan said.

“We undoubtedly value the constructive efforts of Saudi Arabia, the United States, and Egypt within the established mechanism, and Türkiye will stand by every step taken towards peace and prosperity and will do whatever is necessary in this regard,” he vowed.

“Furthermore, we will steadfastly continue to advance our concrete proposals and diplomatic initiatives in all international and regional organizations, including the United Nations, the Organization of Islamic Cooperation, and the African Union.”

“Africa’s problems should be solved by Africans. Türkiye will do its utmost under all circumstances to foster constructive dialogue. The people of Sudan can rest assured that Türkiye stands by them,” he added.

No to recognition of Somaliland

Commenting on Israel’s recognition of Somaliland, Erdoğan told Asharq Al-Awsat: “During President Hassan Sheikh Mohamud of Somalia’s visit to our country at the end of last month, we clearly and unequivocally expressed our views on this matter. We emphasized that preserving Somalia’s unity under all circumstances is a priority for us.”

“I would like to underscore that our position remains unchanged,” he added.

“Israel’s decision to recognize Somaliland is an illegitimate one and, in our view, null and void. Türkiye will continue to fully defend Somalia’s territorial integrity in accordance with United Nations resolutions,” he vowed. “Our stance on this matter is entirely principled. Decisions regarding the future of the Federal Republic of Somalia and the Somaliland region should be made in a way that reflects the will of all Somali people.”

“The Netanyahu Government, committing genocide in Gaza, and, after its attacks against Lebanon, Yemen, Iran, Qatar, and Syria, now intends to destabilize the Horn of Africa. This is a major threat not only to the Horn of Africa but to the entire continent,” warned Erdoğan.

“Any step that fails to contribute to resolving the disputes in the region only exacerbates the crisis. For this reason, I highly value statements by regional countries, foremost Saudi Arabia and Egypt, promptly rejecting this decision,” he added.

“Similarly, it is important to note that international organizations such as the European Union, the Organization of Islamic Cooperation, and the Arab League, as well as officials such as the Chairperson of the African Union Commission, have expressed their rejection of the decision. I would like to reiterate that we attach great importance to these statements, which highlight Somalia’s territorial integrity and sovereignty.”



Oman Opens Temporary Strait of Hormuz Shipping Routes, Says No Tolls Will Be Charged

Vessels at the Strait of Hormuz, as seen from Musandam, Oman, June 15, 2026. (Reuters)
Vessels at the Strait of Hormuz, as seen from Musandam, Oman, June 15, 2026. (Reuters)
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Oman Opens Temporary Strait of Hormuz Shipping Routes, Says No Tolls Will Be Charged

Vessels at the Strait of Hormuz, as seen from Musandam, Oman, June 15, 2026. (Reuters)
Vessels at the Strait of Hormuz, as seen from Musandam, Oman, June 15, 2026. (Reuters)

Oman said it would keep the Strait of Hormuz open to shipping without imposing any tolls and had designated two temporary routes north and south of the existing shipping lane to facilitate the safe passage of vessels departing the region.

In coordination with the International Maritime Organization, Oman established temporary maritime corridors to help ships leave the area safely amid heightened security risks.

The Strait of Hormuz, a vital route for ‌roughly a fifth ‌of global oil and liquefied natural gas supplies before the ‌war, has ⁠been heavily disrupted ⁠since the United States and Israel launched a war against Iran on February 28, curbing commercial shipping and rattling global energy markets.

In a notice to mariners, Oman said the existing Traffic Separation Scheme in the strategic waterway was currently unsafe for use and that vessels departing through the strait could instead use temporary routes located to the north and south of the existing shipping lanes.

The scheme, adopted by the United Nations’ shipping agency ⁠in 1968, established routing lanes through Iranian and Omani waters in ‌the strait.

Oman said the measures ‌reflected its responsibilities towards the strait, its importance to the global economy and its commitment to ‌international law and freedom of navigation, citing understandings reached between the United States and ‌Iran.

Oman said navigational safety remained the overriding priority and that a gradual, controlled movement of vessel traffic was required because of an elevated risk of collisions.

Under a phased plan developed by the IMO in coordination with Omani authorities, vessels will be grouped and contacted individually with instructions on ‌when they may depart and which route they should follow.

Ships will be directed to a designated waiting area in international ⁠waters before being ⁠cleared to proceed.

Vessels using Oman's eastbound route will be required to maintain communications with coastal authorities and comply with all navigational instructions.

Oman said shipowners and masters remained responsible for conducting independent risk assessments before voyages.

Vessels were instructed to keep their Automatic Identification System activated during transit and to report any navigational hazards to the Oman Maritime Security Centre.

Oman's statement said that no tolls would be imposed on vessels transiting the Strait of Hormuz, in line with the outcome of recent talks between the United States and Iran.

Iran and Oman began discussions on the future administration of navigation and maritime services in the waterway on Tuesday.

While the interim US-Iran agreement provides for commercial vessels to transit without charge for 60 days, the talks are expected to address longer-term arrangements, including any costs associated with maritime services after that period ends.


Saudi Arabia Stresses its Support to Syria’s Sovereignty, Territorial Unity at Security Council

Saudi Arabia’s Permanent Representative to the UN Dr. Abdulaziz Al-Wasel. (UN file)
Saudi Arabia’s Permanent Representative to the UN Dr. Abdulaziz Al-Wasel. (UN file)
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Saudi Arabia Stresses its Support to Syria’s Sovereignty, Territorial Unity at Security Council

Saudi Arabia’s Permanent Representative to the UN Dr. Abdulaziz Al-Wasel. (UN file)
Saudi Arabia’s Permanent Representative to the UN Dr. Abdulaziz Al-Wasel. (UN file)

Saudi Arabia stressed before the United Nations Security Council on Tuesday its support for the unity, sovereignty, and territorial integrity of Syria, and its support for the efforts of the Syrian state to extend its sovereignty over its entire territory.

The council met for a session dedicated to discussing the humanitarian and political situation in Syria.

Speaking on behalf of the Arab Group, Saudi Arabia’s Permanent Representative to the UN Dr. Abdulaziz Al-Wasel called for the removal of Syria's name from the list of state sponsors of terrorism, stressing the importance of the international community's support for the transitional phase the country is going through.

This will help in consolidating stability and improving the humanitarian situation, he added.

The Arab Group expressed its backing for the Syrian government’s efforts in combating the ISIS terrorist organization, as well as terrorism in all its forms, underlining the importance of concerted international efforts to provide the necessary support during this phase.

It also urged the international community to strengthen and expand support to countries hosting Syrian refugees, and not to leave them to bear the humanitarian and economic burdens alone.

Furthermore, the Arab Group strongly condemned the repeated Israeli incursions and attacks on Syrian territory, stressing that they represent a flagrant violation of Syria's sovereignty and territorial integrity.

It reiterated the need to compel Israel to fully comply with the 1974 disengagement agreement and to withdraw immediately and unconditionally from the occupied Syrian Golan.


Saudi Arabia’s ‘Mini-Cities,’ Smart Apartments Reshape Modern Living

Residential units in the first phase of the SEDRA project in northern Riyadh. (ROSHN)
Residential units in the first phase of the SEDRA project in northern Riyadh. (ROSHN)
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Saudi Arabia’s ‘Mini-Cities,’ Smart Apartments Reshape Modern Living

Residential units in the first phase of the SEDRA project in northern Riyadh. (ROSHN)
Residential units in the first phase of the SEDRA project in northern Riyadh. (ROSHN)

Just a few years ago, searching for a home in Riyadh was like walking through a minefield: astronomical prices for unused space and a market ruled by guesswork. All of that changed with a few quick taps on a smart app.

On the 20th floor of a high-rise office tower in northern Riyadh, Khaled, 38, an engineer, looks at the Ejar app on his smartphone. A few quick taps were enough to renew the lease on his apartment in one of the capital’s modern suburbs, without visiting a traditional real estate office, facing Riyadh’s traffic jams, or worrying about the “surprises” from landlords that long-unsettled tenants in years past.

Only five years ago, the search for housing for Saudi citizens resembled a walk through a minefield: astronomical prices for vast, unused spaces, a market governed by personal connections, and an absence of regulation.

Today, Khaled represents a new generation of Saudis, who are no longer looking merely for “walls and four rooms,” but for “quality of life”: an integrated residential compound, tree-lined pedestrian paths, full digital reliability and proximity to global companies that have chosen Riyadh as their regional headquarters.

What Khaled experiences in his daily life is not simply an ordinary change of address. It is the living reflection of a regulatory, economic and social “earthquake” led by Vision 2030, reshaping one of the region’s oldest and largest real estate markets and turning it from an informal traditional environment into a transparent system that attracts capital as a “safe haven” in a troubled world.

This individual scene, in turn, reflects a broader path in the Saudi real estate market, which is entering a phase of comprehensive restructuring driven by major projects, successive regulatory reforms, and accelerating urban and economic expansion across the Kingdom, particularly in major cities, led by Riyadh.

A project for modern residential compounds in Riyadh. (Asharq Al-Awsat)

Structural shift

This striking structural transformation sums up the efforts linked to Vision 2030, which no longer aims merely to provide housing units, but to raise the quality of life, increase home ownership rates and develop a modern urban environment capable of absorbing rapid population and economic growth.

Real estate specialists said the sector no longer depends only on natural population growth. It has become part of an integrated economic system linked to attracting foreign investment, drawing regional headquarters of global companies and developing major cities as regional economic hubs, along with unprecedented regulatory reforms.

Experts added that current indicators confirm the real estate sector is moving toward greater professionalism, transparency and sustainability, making it one of Saudi Arabia’s most important economic drivers in the coming years.

They said these coordinated efforts have redrawn the features of the residential and investment real estate sector, and the housing system as a whole, across four main axes: prices, financing, legislation and architectural design, in addition to regulating the relationship between landlord and tenant.

It is true that the real estate market has not yet reached full equilibrium, and demand remains stronger than supply in the foreseeable term, helping prices retain some upward momentum. But new legislation, the increase in regulated supply and the expansion of subsidized financing tools all point to a more sustainable and balanced future.

The real estate sector has undergone an unprecedented regulatory shift in recent years, driven by a set of laws and regulations that have strengthened transparency and governance.

These include the Real Estate Brokerage Law, the licensing of brokers and real estate platforms, the launch of rental indicators and the electronic documentation of real estate transactions. This has helped curb irregular practices, improve the reliability of real estate data, and raise market efficiency and transparency.

Here, the focus is on activating and developing the Ejar platform, strengthening its role in regulating the relationship between landlords and tenants, and raising confidence in the rental market.

Official figures from the General Real Estate Authority confirm this historic success: the number of rental contracts registered through the platform has exceeded 10 million since its launch. Residential contracts account for the largest share, at about 8.3 million, or 82.3% of the total, while commercial contracts total about 1.7 million.

A man is seen in Diriyah prior to the EA Sports Supercup on January 18, 2023 in Riyadh, Saudi Arabia. (Getty Images)

Mini-cities and self-sufficient communities

A closer look at these new residential compounds shows they are no longer just stacked concrete blocks. They have become self-sufficient “mini-cities,” engineered to effortlessly meet the needs of modern life.

The compound where Khaled lives includes a separate modern gym, a pharmacy, a fully stocked mini-market, cafes and laundries, making residents largely independent of leaving the compound gates to meet their basic daily needs.

Life inside these projects has taken on a new social form built around “shared spaces.” Open internal gardens, sports fields and public majlis areas designated for residents provide an environment where children can play safely and adults can meet.

This architectural model has offered a modern and organized alternative to the idea of the traditional neighborhood, the old street or the “fareej.”

The small family

This architectural transformation has been accompanied by a deeper social shift in the structure of the traditional Saudi family. If you had asked Khaled’s father two decades ago about a lifelong home, he would have answered without hesitation: “A large main villa with high walls and vast spaces that gather sons and grandchildren.”

At the time, the concept of the “grandfather’s house” was the central hub, with sons living in apartments above it or in annexes around it as part of an extended shared residence.

Today, that traditional pattern has unraveled in favor of full independence for the small nuclear family.

Khaled’s generation now prefers independent living in modern apartments and smart compounds that offer privacy and comfort and suit their financial means, moving away from the burdens of massive, aging villas that have become an architectural legacy difficult for younger people to manage and maintain.

Saudi women walk in front of the Imam Turki bin Abdullah Grand Mosque in Riyadh. (AFP)

Flexibility and care without ‘labor’

The change has not stopped at the size of the home. It has extended to reshape the details of daily life from within, as well as the nature of household maintenance.

Modern apartments and compounds, with their thoughtful, smart designs, have completely eliminated the need for earlier architectural patterns such as “separate external annexes” or “huge isolated guest majlis rooms” that consumed vast areas with little practical use.

These have been replaced by open and practical indoor seating areas.

This efficiency in space and ease of upkeep has automatically led many modern families to abandon the concept of the “live-in domestic worker” or “private driver.” Compound management companies now provide centralized periodic maintenance services, including cleaning and repairs, at the tap of a button through apps, reducing the usual household costs and obligations associated with large old homes.

Transport and metro culture

At the level of urban planning, these new suburbs and residential compounds have been linked to a network of modern roads and transport arteries designed by the state to ease traffic congestion.

These projects no longer create congestion around them thanks to smart entrances and exits. They have begun to spread an entirely new culture in the real estate community: reliance on public transportation.

Most of these modern compounds have been connected to Riyadh bus routes and stations on the Riyadh Metro, prompting employees such as Khaled and his neighbors to leave their private cars in compound parking lots and choose the metro to reach their workplaces, avoiding the strain of daily driving.

A view of the Saudi capital Riyadh. (AFP)

Women: a new entrant to the real estate field

Perhaps the most significant social transformation in residential compounds in 2026 is the ability of independent women to live alone and work in Saudi Arabia as single women.

The dividing view between “bachelor” compounds and “family” compounds has largely faded, leaving efficiency, safety and compliance with regulations as the only standard governing everyone in upscale mixed compounds that accommodate all without discrimination.

In this context, Reem Al-Abdullah, 29, a marketing specialist at a global company in Riyadh, told Asharq Al-Awsat of her experience: “I moved from the Eastern Province to Riyadh two years ago after getting a job opportunity. My biggest fear was finding a safe and independent home that reflected my modern lifestyle as a single woman focused on her career, but the reality here exceeded all my expectations.”

Reem continued, describing the details of her daily life inside the compound: “The compound where I live is not just a place to sleep. It is a complete and uncomplicated life system. I no longer need to hire a live-in domestic worker or rely on a private driver as before.”

“Through its smart app, the compound management allows me to schedule cleaning and periodic maintenance services at the tap of a button, with high reliability that gives me complete peace of mind while I am away at work,” she explained.

“Even my shopping habits and health routine have changed. The gym, pharmacy and mini market are all just steps from my apartment elevator, saving me the trouble of driving and searching for parking after a long workday.”

On the social dimension and the new culture in the capital, Reem told Asharq Al-Awsat: “The shared spaces and cafes attached to the compound have created a smart alternative to the traditional neighborhood, where I meet my Saudi and expatriate neighbors in an atmosphere of mutual respect and shared interests.”

She added: “Even better, the compound is directly connected to the modern transport network. I am only a few minutes’ walk from the metro station, which has made me completely give up driving my car during the morning rush hour, allowing me to reach my office in northern Riyadh comfortably and through a public transport culture we could not have imagined a few years ago.”

“The real estate and security systems, and the urban transformation here, have given me safety and independence, making my home in Riyadh a place where I can achieve my professional and personal ambitions,” she stressed.

People walk along Riyadh's commercial Tahlia Street late at night on April 4, 2026. (AFP)

Unprecedented demand

From the balcony of his residential compound, Khaled noticed the wide diversity among his neighbors. They include an executive employee from Jeddah, a European technology expert and an Asian investor.

Real estate expert and marketer Saqr Al-Zahrani told Asharq Al-Awsat that the sector is undergoing an exceptional transformation driven by Vision 2030 targets.

Demand for housing, he said, is no longer linked to traditional demographic growth, but has become a direct reflection of the major economic transformation taking place in major cities, led by Riyadh.

He said plans to turn the capital into a global economic hub and attract the regional headquarters of international companies had launched a broad wave of internal and external migration, including executives, specialists, students and entrepreneurs, as in the case of Khaled and his colleagues. This has created unprecedented demand for residential units, whether for ownership or rent.

At the same time, Al-Zahrani believes housing supply faces a natural challenge in keeping pace with this accelerating influx.

New projects are advancing at a rapid pace, but their construction requires time. Meanwhile, the arrival of residents and economic activity continues at a faster pace, helping explain part of the current price gap and rent increases in some vital areas.

Challenges

This gap between supply and demand has coincided with a shift in household financing calculations. Khaled, like others of his generation, closely follows changes in monetary policy. Al-Zahrani said interest rates remain relatively high compared with those during the previous financing boom, in line with policies aimed at curbing inflation and price increases seen in global markets in recent years.

This rise has automatically affected individuals’ purchasing power, pushing many families to revise their finances, postpone some ownership decisions or look for more flexible options, such as smart temporary renting.

Al-Zahrani said: “The Saudi government is fully aware of these challenges. That is why it has launched a broad package of flexible solutions through the Ministry of Municipalities and Housing, the Real Estate Development Fund and the Sakani program, in partnership with developers, to ease the impact of financing costs and increase supply.”

These solutions are reflected in a comprehensive package of legislative, regulatory and financing measures embodied by the Housing Program, one of the most prominent Vision 2030 programs.

The program has set a strategic goal of raising Saudi home ownership to 70% by 2030. The rate has now reached 66.2%, up from 47% in 2016, supported by four strategic pillars that affect the daily lives of citizens like Khaled.

Women walk with shopping bags in a local souq down town Riyadh, Saudi Arabia, May 31, 2025. (Reuters)

Smart financing

Real estate financing is no longer a standalone burden. The Sakani program offers subsidized financing options in partnership with local banks to facilitate the purchase of ready units or self-construction.

This comes alongside the central role played by the Saudi Real Estate Refinance Co. (SRC) in injecting liquidity into the market and fixing long-term “murabaha” rates to protect the younger generation from fluctuations in global interest rates.

The most vulnerable groups have not been overlooked, with more than 95,000 developmental housing units delivered through the Developmental Housing Program.

Market globalization and sustainability

The transformation has not stopped at the domestic level. With the updated system for non-Saudis’ ownership of real estate taking effect in 2026, the door has opened to global capital and organized investment pathways, positioning Saudi real estate as an international “dark horse.”

This is accompanied by digital platforms that ensure the quality of sustainable assets, such as the Sustainable Building platform, which inspects buildings before purchase.

Al-Zahrani expects a more balanced supply-and-demand cycle to gradually emerge in the coming years, as major projects and urban development programs continue.

He expects their effects to become clearer by 2028, ensuring that Khaled’s generation has more sustainable and less burdensome homeownership opportunities in the long term.

Farewell to ‘dilapidated villas’

The change has not been only in the method of payment, but in the philosophy of housing itself. If you had asked Khaled’s father 20 years ago about his forever home, he would immediately have said: “A villa with high walls and vast spaces.” But Khaled prefers his modern apartment with tree-lined walkways.

Real estate expert and observer Abdullah Al-Moussa analyzed this fundamental shift in remarks to Asharq Al-Awsat, saying the residential market is undergoing a qualitative transformation that goes beyond simply providing housing units to building integrated urban communities aligned with Vision 2030 targets.

Success, he said, is no longer measured by the number of developed units, but by their ability to improve the quality of life and the daily housing experience.

Regarding the role of real estate developers, Al-Moussa said major residential suburbs have helped entrench the concept of “humanizing cities” by providing integrated environments that combine housing, services, facilities and open tree-lined spaces within one area.

This shift in supply has been accompanied by a natural change in the preferences of Saudi families, he added.

Today’s consumer, like Khaled, has become more aware of and interested in housing efficiency, location quality and ease of maintenance, compared with the previous traditional focus on vast spaces.

As a result, there is now a growing demand for modern apartments and integrated compounds that provide a living experience suited to the requirements of contemporary life.

Legislative revolution

The digital ease with which Khaled renewed his contract was not accidental. It was the result of a legislative revolution that cut off real estate hurdles.

The sector has witnessed an unprecedented regulatory shift that strengthened transparency and governance, most notably through the Real Estate Brokerage Law, licensing of real estate platforms and the launch of rental indicators.

In this regard, Al-Moussa said that modern regulations and the organization of real estate advertising has protected market participants and made data more accurate, helping consumers and investors make decisions more efficiently.

He pointed to the pivotal role of the Ejar platform in regulating the relationship between landlord and tenant and documenting rights and obligations electronically, reducing judicial disputes and speeding up handling procedures. Gone are “landlord surprises” or visits to traditional real estate offices.

People ride the metro in Riyadh. (AFP)

The ‘dark horse’

When Khaled leaves his office in that northern tower, he meets the managers of the global company's headquarters, who have recently moved to Riyadh, in the reception lobby. This scene confirms that Saudi real estate is emerging internationally as a “safe haven” amid geopolitical and economic turmoil.

Real estate expert and valuer Ahmed Al-Faqih told Asharq Al-Awsat that the current turmoil has proved Saudi Arabia is the safest and most stable environment in the region, because it possesses advanced sovereign and military capabilities.

This, he said, has sent an additional message of reassurance to non-Saudi investors.

Al-Faqih said the current high investment appeal of the real estate market had taken clear shape through recent legislation that supported foreign and Saudi investors alike through several strategic channels, most notably the Premium Residency system and the updated law on non-Saudi ownership and investment in real estate, which came into force at the start of this year, 2026.

Recent international reports agree that Saudi Arabia is the “dark horse” in global real estate investment.

Al-Faqih added: “The figures issued by the Ministry of Investment prove that the Kingdom is advancing day after day as a rising economic giant for the Middle East.”

“It is enough to look at the momentum and number of global companies that have moved their regional headquarters to Riyadh, which exceeded, in the latest official statistics for 2026, more than 660 regional companies, to understand the scale of the attractive legal climate,” he remarked.

Remaining hurdles

This legislative and impressive digital transformations felt by Khaled’s generation do not erase the fact that the path toward full real estate equilibrium still runs through a field of challenges imposed by economic and market realities.

The first of these challenges is the time gap between supply and demand. While residents and regional headquarters of global companies are flowing into Riyadh at a rapid pace, construction projects and major residential suburbs need years to be completed and fully reflected as available stock in the market. This explains the continued rent surge in vital areas.

On another front, the financing cost equation poses a direct challenge to individual purchasing power. Interest rates remaining at high levels as a tool to curb global inflation places an additional burden on families and pushes a segment of the younger generation to postpone ownership decisions and resort to flexible options.

This places housing support programs under continuous pressure to innovate more dynamic financing solutions.

The market today requires a complete shift by traditional real estate companies toward institutional work, to ensure the delivery of high-quality units at competitive prices that suit the widest segment of citizens, without delays in off-plan sales schedules.