Based on the powers vested to SAMA under the Saudi Arabian Monetary Authority Law issued by Royal Decree No. (23) dated 1377/5/23 H, the Banking Control Law issued by Royal Decree No. (M/5) dated 1386/2/22 H, and the Finance Companies Control Law issued by Royal Decree No. (M/51) dated 1433/8/13 H.

Considering the observed variation and differences in the definition of "commercial real estate financing," and aiming to standardize its definition and scope, commercial real estate financing is defined as providing credit to a natural or legal person for purchasing, developing, or constructing real estate. Financing is considered commercial real estate financing if one or more of the following criteria are met:

1. The beneficiary is a legal person.
2. The financed property contains five or more residential units.
3. The financed property is primarily used for non-residential purposes.
4. The financed property is an income-generating property.

For your information, please ensure to update policies, procedures, and data submitted to SAMA in accordance with this definition, starting from the third quarter of 2017.