Property / Real Estate Legislation

Law on Leasing and Sale of Immovable Property to Non-Jordanians (2006) — Scope and Status

Summary of key provisions of Law No. 47 (2006) on leasing and sale of immovable property to non-Jordanians, focusing on ownership conditions for natural and legal persons, required approvals and permitted area limits. The text sets time limits for completing projects, transfer restrictions, enforcement measures and specified exemptions.

Updated: 22 November 2021

Prepared and reviewed by: Ashraf Al-Khawaja

01

Legal scope and current status

The 2006 law on leasing and sale of immovable property to non-Jordanians is presented in the source (dated 31/8/2006). The source also states that this law was repealed and replaced by the Real Property Law; therefore, practitioners must check the currently effective statutes and official publications before relying on the 2006 text. The original provisions allocate approval powers (minister, director, Council of Ministers) and set the framework for ownership and lease permissions and reciprocity requirements.

02

Ownership rules for natural persons

Subject to reciprocity and other applicable laws, a natural non-Jordanian may acquire property inside organized areas for private residence or family use with competent approvals: the director’s approval for up to two houses and one office; the minister’s approval for larger holdings provided the land does not exceed ten dunams. Arab nationals are exempted from the reciprocity requirement. Dual nationals must disclose both nationalities. Ownership for work or establishment of industrial/service projects within organized areas is allowable up to ten dunams with ministerial approval, and the Council of Ministers may decide on cases outside these rules.

03

Ownership by legal entities and lease procedures

A legal person may acquire property necessary for its business: inside organized areas up to 30 dunams with ministerial approval (larger areas require Council approval). Outside organized areas acquisitions follow a similar scheme with a 50-dunam threshold. Leasing is generally permitted; however, leases concerning land exceeding ten dunams or aggregate term exceeding three years require prior approval from the Minister of Interior (or delegate) and registration procedures set by ministerial instructions, otherwise such contracts may be void.

04

Implementation duties, transfer limits, penalties and exemptions

Owners must complete their projects within three years for residence/work purposes and within five years for other purposes; a single equal extension may be granted by the minister. Failure triggers an annual levy of 5% of the market value for up to ten years, after which the land may be sold at public auction by ministerial decision. Transfers are prohibited within the three- or five-year lock-up periods unless the minister approves; an exception applies to properties acquired for investment in residential or commercial projects once the project is built and subject to ministerial instructions. The text provides specific exemptions (e.g., industrial-city holdings up to 50 dunams, inheritance transfers) and excludes lands governed by special regimes (Wadi Jordan development, Aqaba Special Economic Zone, Petra Authority). The law also repealed earlier conflicting provisions and called for executive regulations.

05

Legal notice

Notice: This summary is for general educational purposes and is based on the published text. The original source is linked on the publication page; you must consult the currently effective official texts, subsequent amendments, deadlines and procedures with competent authorities or a licensed Jordanian lawyer before taking any legal action.

Notice: this article is general educational information and does not constitute legal advice or a final assessment of any matter.

Sources and references

Verify the official text and latest amendments before relying on this material professionally.

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