WAFI off-plan Sale, Lease Program Adopt Working Mechanisms

The WAFI off-plan Sale, Lease Program adopted a working mechanism for calculating th quantities of construction work items, for the licensed off-plan sales projects, in accordance with the decision of the Cabinet, which includes setting up mechanisms for calculating quantities to determine the disbursement of payments for project expenditures.

This comes as a continuation of the program’s efforts to organize work, in the real estate sector for off-plan sales projects, and improve the level of cash flow control, with the aim of increasing the real estate supply of housing units with high quality, and increasing the percentage of Saudi families’ house ownership to 70%, in order to achieve the objectives of the housing program –  one of the vision programs Kingdom 2030-.

The program clarified that adopting the mechanisms of calculating quantities for off-plan sales projects will contribute, effectively, to raising the level of transparency, in licensed real estate projects and increasing their productivity, by facilitating work procedures and developing them, in line with each project and developments, in the real estate market.

The real estate developer, in accordance with the new mechanism, prepares a tables of quantities and relative weights for the off-plan sales projects, in addition to approving the engineering consultant assigned to each project and submitting it to obtain approvals from “WAFI”, and adopting it as a reference for disbursing the contractor’s dues from the escrow account and financing the project.

For his part, the Head of “WAFI” committee Eng. Abdulaziz Al-Muhaimid, stated that the real estate developer must before starting the development of his project, prepare a balanced schedule of quantities when contracting on the project, so that it reflects all work according to the design plans, in the concluded contracts, provided that they are detailed to the level of the executive work items, with the quantity and unit price for each item.

It is noteworthy that the WAFI program provides the necessary licenses for projects under construction and monitors their completion rate and quality of implementation, in addition to motivating and qualifying real estate developers to create distinct and integrated projects, that meet the aspirations of Saudi families, residential and commercial units and enhance investment, in the sector.