Manama: Shaikh Khalid bin Abdullah Al Khalifa, Deputy Prime Minister and Chairman of the Ministerial Committee for Development and Infrastructure Projects, has declared the successful settlement of all stalled real-estate development projects that were sold off-plan in Bahrain prior to the implementation of Law (27) of 2017, which regulates the real-estate sector.
According to Bahrain News Agency, this announcement follows the completion of a public auction in late November, which resolved the final stalled development project, Marina West. The Ministerial Committee confirmed that no other off-plan projects from before 2017 remain pending settlement. Shaikh Khalid bin Abdullah expressed gratitude to His Majesty Hamad bin Isa Al Khalifa for issuing Decree-Law (66) of 2014, which introduced the first legal mechanism specifically designed to address stalled off-plan developments. He also thanked His Royal Highness Prince Salman bin Hamad Al Khalifa, Crown Prince and Prime Minister, for the trust placed in the Ministerial Committee to follow through on these projects, ultimately achieving full resolution.
The Deputy Prime Minister underscored the vital role of Decree-Law (66), which established a judicial-body committee with the legal authority to review cases submitted by the Ministerial Committee. This framework allowed for efficient and transparent resolution of stalled projects, boosting investor and buyer confidence in Bahrain's property market and supporting the sector's stability and sustainable growth. The decree was enacted following market challenges in the early 2000s related to stalled developments.
Out of all the stalled projects examined under the decree, only 14 required settlement, a relatively small number considering the extensive real-estate activity over the past two decades. This outcome reflects the government's dedication to safeguarding investor and buyer rights. Shaikh Khalid bin Abdullah also expressed gratitude to the judicial-status committee members responsible for settling these cases, highlighting their diligent efforts and the cooperation of relevant government bodies. The settlements were conducted with transparency and good governance, enhancing the regulatory and operational efficiency of the real-estate environment.
The Deputy Prime Minister noted that the settlement process concluded with the public auction of Marina West, the final project, supervised by the judicial committee. This result sends a reassuring signal to investors linked to that project and others, demonstrating Bahrain's commitment to finding practical solutions that protect rights and redeploy defaulted real-estate assets to benefit the national economy.
Shaikh Khalid bin Abdullah further explained that of the 14 projects, three were resolved without involving the judicial committee by directly coordinating with developers to complete construction within specified timelines. The remaining projects were referred to the judicial committee and settled through legally defined procedures. Some administrative follow-up is ongoing to ensure full closure and protection for all parties involved.
The Deputy Prime Minister emphasized that the successful conclusion of these settlements signals to markets and investors that Bahrain addresses challenges in its real-estate sector responsibly and transparently, maintaining a commitment to evolving its legal and regulatory frameworks in line with global best practices.
Shaikh Khalid bin Abdullah highlighted that the regulatory structure was finalized with the passing of Law (27) of 2017, establishing a comprehensive framework for the real-estate market. This includes regulation of off-plan sales, a register for such projects, licensing and governance requirements, and protections for buyers and investors, with the Real Estate Regulatory Authority (RERA) enforcing the law's provisions.
He affirmed that under Bahrain's comprehensive development process, led by His Majesty the King and guided by HRH the Crown Prince and Prime Minister, the real-estate sector is now well-positioned to attract investment, support sustainable economic growth, and meet the housing and investment needs of citizens and residents, supported by several distinctive development projects across the Kingdom's governorates.