1,360 Collective Housing Licenses Issued in Saudi Arabia

Saudi Arabia has issued more than 1,360 collective housing licenses for individuals since the mandatory licensing requirement took effect in September 2025, The licenses cover a combined capacity of about one million workers housed in approved facilities.

Under the national program for developing collective housing, establishments employing 20 workers or more must provide licensed collective housing for their staff, or arrange alternative accommodation in approved facilities that meet regulatory standards. Licenses are issued by the relevant municipality (amanah) based on unified municipal, technical, health, and safety criteria.

How the licensing works

The process is fully electronic and handled through the Balady platform. Licensing and renewal services are available as self-service around the clock, with customer support on the unified number 199040, operating daily from 8:00 AM to 10:00 PM. A public fee calculator lists some collective housing e-services as free of charge.

Collective worker housing has its own distinct licensing track. Using buildings licensed for other purposes — such as family apartments, warehouses, or offices — does not make them lawful group accommodation without a proper collective housing activity license. Technical requirements are tied to the Saudi Building Code, while Civil Defense sets separate fire-safety requirements and certification.

Why it matters for the community: employers must ensure activity licenses match the building's actual use and national address, and must renew licenses and certificates before they expire. Housing obligations toward workers also fall under the Ministry of Human Resources and Social Development, alongside municipal licensing. Sites located in industrial zones, industrial cities, or project areas may face additional supervisory requirements beyond standard municipal rules.

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