New Shared Housing Rules: 300m From Schools, Hospitals

New regulations governing shared or collective housing for individuals now require that any independent shared-housing building or complex be located at least 300 meters away from schools and hospitals. The rules also prohibit such buildings in areas and neighborhoods where approved municipal plans do not permit the activity, including certain restricted roads and tourist areas identified on the Balady platform.

The Ministry of Municipalities and Housing is the competent authority for licensing, zoning approval, and oversight. Applications and municipal permits are processed through Balady and municipal secretariats, with support available via the ministry's call centers.

Siting and design conditions

New projects must be located in zones designated for collective accommodation in municipal and local plans, respect population-density limits set in approved city guidance, and have their main entrance on a collector, arterial, or local street at least 20 meters wide connected to the main road network and public transport.

Capacity rules cap each residential building at 500 residents, with a Saudi national designated as the responsible operator. Residential complexes may host up to 10,000 residents, with a minimum of 4 square meters alongside prayer rooms, emergency facilities, and clinics.

Grace period and exemptions

Existing licensed facilities have a corrective grace period of at least one year, until the end of their current operational licenses, to meet the new technical, health, and safety requirements. Buildings previously permitted as collective housing are exempt from the new spatial zoning conditions, including the 300-meter siting rule, but must fully comply with updated safety and public-health standards.

Mobile or temporary shared housing, such as cabins near projects, must follow similar occupancy rules and provide central kitchens, isolation rooms, prayer areas, laundry, clinics, and climate systems, subject to prior municipal and safety approvals. The updates aim to improve living standards and safety for the many residents who rely on shared accommodation.

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