Kuwait opens real estate sector to listed firms, investment portfolios

17/10/2025 03:02 AST

In a major move, Kuwait has issued a new decree regulating real estate ownership by companies, investment funds, and portfolios, including those with foreign partners, under specific conditions, reported Arab Times. citing the official gazette (Kuwait Alyawm).

Under this, firms with expat partners that are listed on Kuwaiti stock exchanges - along with real estate funds and investment portfolios licensed by Kuwaiti authorities - can own real estate if their stated purpose includes real estate activities, stated the report.

It implements the provisions of Decree Law No.74 of 1979, which governs property ownership by non-Kuwaitis.

Under the Kuwaiti law issued in 1979, such companies were barred from owning property in the country and only Arab individuals could buy a house or land through an Amiri decree, stated the Arab Times report.

According to the old legislation, foreigners who inherit property from their Kuwaiti mothers must sell it within one year. Also foreign embassies could own a maximum of 4,000 sq m land to build their own premises based on mutual treatment.

Most Gulf countries currently allow foreigners to own houses directly and some states even offer long-term residence permits to big buyers, it stated.

The decree clarifies that the purposes of such companies, funds, and portfolios must include engaging in real estate activities. However, it explicitly prohibits dealing in any form - whether through ownership, transfer, or investment - with real estate, plots, or lands designated for private residential purposes, regardless of their location or the project they belong to, stated the report.

The decree also affirms that nationals of GCC countries will be treated like Kuwaiti citizens with regard to land and property ownership, in line with existing regulations, it added.

Trade Arabia