The executive regulation of the new real estate development law in Kingdom of Bahrain has submitted a number of conditions that must be included in any real estate developer like: good reputation, wasn’t convicted before and never announced bankruptcy.
The Bahraini minister of works and municipial affairs, Essam Khalaf, said that the law will be in effect by issuing the executive regulation.
The executive regulation entitles developers to give buyers a receipt of the converted payments to the developer’s bank account.
The regulation defined the payments value according the percentage of completion, for example, if 20% of the project is completed then payments value won’t exceed 20%. The legislation referred to the buyer’s right to terminate the contract and get compensation in case the project stalled.
Essam Khalaf added that the new law targets avoiding iterance of stumbled real estate projects, he declared that the law will be set for application once the executive legislation get issued.