Saudi plans 12 new business activities in public parks: Here’s what’s coming
Under the proposed framework, commercial activities would be permitted based on the size of individual parks
23 June, 2026
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Saudi Arabia’s Ministry of Municipalities and Housing has unveiled a proposal to allow a range of commercial activities within public parks located along residential streets, a move aimed at supporting economic growth in neighborhoods while enhancing residents’ quality of life.
Under the proposed framework, commercial activities would be permitted based on the size of individual parks, with larger parks eligible for a wider range of services and facilities.
According to a Saudi Gazette report, parks covering 5,000 square meters or more could host gyms and sports centers for men and women, entertainment centers, childcare facilities, non-residential centers for senior citizens, and daycare centers for people with disabilities.
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The initiative forms part of the kingdom’s broader efforts to support economic activity in residential areas and advance the goals of Vision 2030, particularly those focused on creating a vibrant society and improving urban living standards.
Activities linked to park size
The ministry has published the proposal on the Istilaa Public Survey platform as part of the public consultation process.
Under the proposal, parks with an area of 1,500 square meters or more would be allowed to accommodate retail outlets selling fresh and preserved fruits and vegetables. Hydroponic vegetable production would also be permitted within these parks.
Meanwhile, parks spanning 1,200 square meters or more could include cafes, ice cream shops, businesses serving fresh juices and cold beverages, as well as flower and rose retail outlets.
The ministry said the proposed regulations are designed to ensure that commercial activity complements public amenities while preserving the primary recreational function of parks.
Strict development conditions
The proposed decision requires municipalities and local authorities to include provisions in investment contracts that ensure compliance with municipal licensing procedures and their executive regulations.
Under the plan, buildings and commercial facilities must not occupy more than 25 percent of a park’s total area. Authorities also emphasized that any development must not undermine the park’s status as a public facility or alter its approved purpose.
Additional conditions have been outlined to protect surrounding residential areas. The ministry stipulated that eligible parks must overlook a street that is at least 15 meters wide, while newly established commercial activities must not directly face residential streets.
Building heights would also be regulated, with all structures limited to a maximum of two stories and required to comply with approved construction standards.
Investors to oversee development and maintenance
The proposal places significant responsibilities on investors participating in park development projects.
Where land has been designated for an undeveloped park, investors would be responsible for establishing, operating and maintaining the entire facility in accordance with approved technical requirements and guidelines.
For parks that have already been developed, investors would be tasked with operating and maintaining the sites in line with regulations governing park management and landscaping projects.
The ministry also stressed the importance of adhering to public park design standards outlined in the Public Domain for Parks and Urban Interventions handbook and the Saudi Architecture Design Guidelines.
In addition, all projects would be required to comply with noise control regulations in accordance with Article 48 of the Environmental Law.
Traffic studies required for larger parks
For parks exceeding 5,000 square meters, the proposal introduces an additional safeguard aimed at minimizing traffic-related impacts.
Before any commercial activities can be approved within such parks, the relevant municipality must conduct a comprehensive traffic study and implement its recommendations.
Officials said the requirement is intended to ensure that increased visitor numbers and commercial operations do not negatively affect nearby communities or local infrastructure.
Oversight committee established
To oversee implementation of the proposed regulations, the ministry has established a committee comprising representatives from the Agency for Privatization and Financial Sustainability, the Agency for Urban Planning and Lands, and the Agency for Licensing and Project Coordination.
The committee will be responsible for monitoring implementation and reviewing proposals related to adding, removing or amending activities permitted within parks located along residential streets.
The move reflects Saudi Arabia’s continuing efforts to modernize urban spaces, expand community services and encourage private-sector participation in public amenities as the kingdom advances its long-term development agenda.























