Studying the determination of the optimal rental value

We are free of the investors ’reluctance to invest financially in professions, and for the many reasons
they have shown, the most important of which is the current economic cycle and the high price rise
above the prevailing market prices.

This study was prepared as follows: First. Purpose of the study:-

Finding a fair rental value that contributes to investments, maintaining growth and increasing
revenues.

Than. Calculate costs: -

Contract for the construction of roads and basic equipment

Maintenance contract for roads and equipment

Contract for establishing a substation power station

Public services extend the benefits to various utilities in the residential area

Create sub-roads and benefits, but professions

Public services to extend the benefits of vaulted investment sites in the industrial zone

Third. Calculating the rental value of a property: -

Description value

1 The total area of 1 y of occupations. 40 hectares

2 Assignable area (for rent) 8- 295 hectares

3 And the installations 0,0,9,877 2 0 Saudi riyals

From the previous table it is clear that the cost of developing a square project is equivalent to one
riyal

Saudi.

3-1. Calculating the rental value of the lands: -

1- The cost of the day, 0 per quarter, per month ^ SAR 0

2- The cost recovery period is J * 1 years only.

3- The ratio of cleaning and cleaning works to the cost of developing a square foal 0/0.

4- The margin of the profit A 0 A 0 Azkal Mehr, a square of Sinuba.

5- The rental value of the newly developed land is 1.0 SAR, Snowba

5- The rental value of the newly developed land is 1.0 SAR, Snowba.

From the previous data, we compile the following table:

The cost of developing the share of the deal The period of sealing the lip (in years) The cost of the
development of the square dowry The year of maintenance and cleaning work A010 / e) Margin

D. Rent

Earth is

Value developer

The rent

Fair

71.1 1. 7.1., 71 1.42 H, 4 7 LM 13

Consequently, the optimum rental value for each Sanoba square for the land in Al-Muhani is 14
Saudi riyals, and after the expiry of the contract period (!

2-3. Analyzing the rental value and its impact on new revenues and contracts: -

Total new amnesty amounts

14 for the (0 forecast) 1739 122

1,860,563.10 - 1,691,421! G; Building an aqo 0

Gaza (30 and 2.1 billion 2018 CE)

Fourth: The experimental value of the establishments and the approved.

4-1 The Limit Snake. The time limits for cost reimbursement according to the Royal Commission for
the Establishment and Leasing of Water for Temporary Water Supply Regulations are 10 years.

4 - 2 The price of the temporary principal after the period of use (depreciation) is equal to 1 / (0 /
only) of its original value of creation.

4-3 Builders on contracts to construct the cost of the workshops and warehouses of the Royal
Commission. The estimated cost of the square dowry from the existing buildings is in Saudi riyals for
the traffic.

Square.

And depending on the data, the following table shows the cost of sales per year.

Ace

Construction L2 The period of cost recovery (in years) The value of the construction after the
depreciation Label the construction base of the dowry sold Label 1 to the language of the
construction of the dowry Square Annually

1, ... 15 (.1 t) here: takkha =. 7 63. = 7.-7 .. 42 = 15/630

404. Calculating the rental value of the establishments and facilities: -

Construction base Dm2, South of maintenance and cleaning works (10 r) Profit margin (020 U), lease
value of unconstructed land, fair rent value for any

42 4.2 8.4 7 and 13 68.37

Consequently, the optimum rental value for each pyramid for the occupant is 68 Saudi riyals,
knowing that the contract period is only (* years).

-5. Analyzing the rental value and its impact on new revenues and contracts: -

Free of charge for new contracts

Fifth: Place the feeble contractual professions AA.

Through the previous chart, it becomes clear to us that the number of contracts that were
concluded after raising the rent value; For people in the professions, it is now 0 min.

Sixth / Results and findings.

The sector of planning and investment development supports the implementation of the new rental
values:

Status Value Rent Contract Term Notes

Pots (11 SAR / m2 / Snuba) (10 years) The Royal Commission has the right to revise the value of 1
rent for every (5 years)

Utilities - (1 SAR / m2 / soil) of the un-built land area. - (68 SAR / m2 / Sobha) on the buildings. (0 1
years)

As it aims to create an environment that preserves the existing investments and contributes to the
side of more existing investments, thus increasing the financial revenues of the authority, with the
authority to review the value of the rent every year to keep pace with the prevailing prices in the
market.

... the study is over