Overview

  • By virtue of Oman Sultani Decree No. 5/1980 on Regulating Use of Lands in the Sultanate, all lands within the jurisdiction of Oman are state owned, unless registered in the name of a private person, juristic or individual.
  • Oman Sultani Decree No. 5/1980 prohibits non-Omanis from purchasing land in Sultanate of Oman unless an exemption is granted by way of a special Royal Decree.
  • This Practice Note will discuss how non-Omanis, juristic or individual, buy real estate properties in Oman.

Practical Guidance

  • Foreigners can purchase properties in Oman in more than one way. Oman Sultani Decree No. 29/2018 Promulgating the Law Prohibiting Ownership of Lands and Real Estate Properties by Non-Omanis in Certain Places prohibits non-Omanis' from purchasing lands and real estates in:
  • governorates of Dhofar, except Wilayat of Salalah, Musandam, Al Buraimi, Al Dahira, and Al Wusta,
  • the Wilayats of Liwa, Shinas and Masaira,
  • Al Jabal Al Akhdar, Jabal Shams and other strategic mountains determined by competent authorities,
  • islands,
  • sites close to the palaces, security and military authorities determined by the competent authorities, and
  • ancient and heritage quarters determined by the competent authorities.
  • A juristic person having foreign ownership (with at least 30% Omani shareholding) incorporated as a joint stock company can purchase land in its own name and the land must be developed within four years, according to Oman Sultani Decree No. 76/2010 Promulgating Corporate Ownership of Land and Real Estates. The land can be sold as subdivided plots but only after development. Under Oman Sultani Decree No.76/2010, the land can be bought anywhere in Oman, except the ones stated above.
  • A juristic person having foreign ownership (with at least 30% Omani shareholding) whether incorporated as a joint stock company or not, can buy property in its own name as an administrative building, warehouse, factory or any other purpose meant for the operation of business.
  • Oman Sultani Decree No. 12/2006 on the System of Real Estate Acquisition by Non-Omanis in Integrated Tourism Complexes specifically allows real estate acquisition by non-Omanis in specific pockets, known as Integrated Tourism Complexes as finally built up units or land for further development. In this, foreigners can make 100% foreign investment on built-up units. The land cannot be sub-divided and sold as plots without development but can be given on usufruct.
  • The foreigners can buy property and obtain long term land use rights within the freezones and industrial estates.

Related Content

Legislation

  • Oman Sultani Decree No. 5/1980 on Regulating Use of Lands in the Sultanate
  • Oman Sultani Decree No. 2/1998 Promulgating the Land Register Law
  • Oman Ministerial Decision No. 43/1998 on the Regulations of Corporate Ownership and Registration of Real Estate
  • Oman Sultani Decree No. 12/2006 on the System of Real Estate Acquisition by Non-Omanis in Integrated Tourism Complexes
  • Oman Sultani Decree No. 21/2004 on Regulating the Ownership by GCC Nationals of a Property in the Member State
  • Oman Sultani Decree No. 76/2010 Promulgating Corporate Ownership of Land and Real Estates
  • Oman Ministerial Decision No. 5/2011 Regarding Commercial or Residential-Commercial or Industrial Lands Ownership
  • Oman Sultani Decree No. 29/2018 Promulgating the Law Prohibiting Ownership of Lands and Real Estate Properties by Non-Omanis in Certain Places
  • Oman Ministerial Decision No. 43/2012 Organizing Areal Extensions and Increases for GCC Citizens, Non-Omanis and Omani Juridical Persons
  • Oman Sultani Decree No. 29/2013 Omani Civil Transactions Law
  • Oman Sultani Decree No. 5/1981 on the Usufruct Law
  • Oman Sultani Decree No. 88/1982 on the Executive Regulations of Oman Sultani Decree No. 5/1981 on the Usufruct Law

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