Landlords Have a Tough Time With Saudi Tenants

Author: 
Mahmoud Ahmad, Arab News
Publication Date: 
Wed, 2004-11-03 03:00

JEDDAH, 3 November 2004 — Nightmarish experiences with Saudi tenants who turn into squatters are prompting some landlords to rent only to foreigners.

Many building owners are afraid of renting their apartments to people who have a history of defaulting on rent. Some tenants take advantage of the absence of a clear law to forcibly evict tenants. If there is a problem between a tenant and a landlord, it becomes a court case that can take months or years to resolve.

“I had a bitter experience with a Saudi tenant who rented a five-bedroom apartment of my building,” said Abu Taher, an apartment building owner in Al-Rawdah district. “He paid the first six months’ rent on time. When the rent was due six months later, he started a delaying tactic. First he said he was short of cash, and then he ignored my calls and pretended he was not there.

“When I was fed up with him, I went to court,” Abu Taher said. “The court asked me to bring him and then scheduled a hearing four months in the future. He did not show up and the judge scheduled another hearing set two months later.”

Abu Taher got frustrated and sought another resolution. “It continued like this, and I felt it was hopeless pursuing the case, so I decided to solve it my own way. I told him that I would not ask for money and forego the arrears if he vacated the apartment. It got to the point that I offered him SR10,000 to leave the apartment.”

Even the SR10,000 offer didn’t work. “He did not leave until his company transferred him to Riyadh — only then did he leave after giving me two years of headaches. I decided not to rent my apartment again after this experience,” Abu Taher said. “The apartment is now empty. I am waiting for my son to get married this summer so he can move in there.”

“Personally, I prefer non-Saudis as tenants,” said Muhammad Al-Otaibi, another building owner. “I can’t be sure that Saudi tenants will pay the rent on time. I do not like to go to court because it is a long-drawn process. I don’t want to waste my time and energy.”

A local lawyer told Arab News that apartment owners can seek justice in the complaints department of the governorate. “If the apartment owner submits evidence to the complaints department of failure of timely payment, then a decision will be issued within two months and justice will be dispensed,” the attorney said. “This decision is final, and police will forcibly evict the offending tenant. This is a new department, and not many people are aware that it exists.”

The lawyer said some tenants turn to court to get protection against eviction for non-payment of rent. He said it could take months to issue such a court order, but it would take less time to get an eviction notice from the complaints department.

Al-Madinah newspaper reported that Makkah Governor Prince Abdul Majeed recently solved a case between a charity institution and a tourism company that rented two buildings from the institution. The tourism company failed to pay the rent, which accumulated to SR3.6 million. The owner of the company who rented the two towers signed an agreement at the governorate promising to pay the arrears and vacating the two buildings within two months, neither of which he did. The owner changed his phone numbers and address. Electricity was cut from the two buildings, and the property was returned to the charity institution.

The prince issued an order to find the owner of the tourism company and force him to pay the rental arrears. “Foreigners at least have the reputation of paying promptly,” said Al-Otaibi, the building owner. “If they do not pay, then I can easily get the money from the companies for which they work.”

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