Bahrain and Saudi Arabia will allow foreigners soon to own land for development purposes, reported the Gulf News daily Friday.
"Foreign individuals and companies will be brought into the fold, and allowed to take up land possession, maybe in specially designated areas," said Hussain Alsaffaf, a managing director of a property office.
"I believe talks in this regard are going on at the highest levels, and it will provide a definite boost to the property market," he told the paper.
While banks operating in Bahrain can own the land on which their head office is located, sources suggest the "net could be cast wider, allowing companies in other sectors to do the same," he added.
As for Saudi Arabia, "the new investment law passed in April commits to 100 percent foreign ownership.
"Property in the Gulf is still relatively inexpensive compared to other world markets, with no taxes on occupancy and rental rates geared more towards the cost of construction than on actual land value," a source told the paper -- Albawaba.com
