Saudi Arabia’s Ministry of Municipalities and Housing has proposed allowing a range of commercial activities within public parks located along residential streets. The move aims to stimulate local economic activity, create new investment opportunities, and enhance community services across the Kingdom.
- Larger parks could host fitness, childcare and entertainment facilities
- Cafes, retail outlets and urban agriculture included in the plan
- Municipalities and investors face strict compliance requirements
- Investors may be responsible for park development and maintenance
- Environmental and design standards remain central to approvals
- Vision 2030 Drives Community-Centred Economic Growth
The proposal was published through the Istilaa Public Survey platform. It forms part of broader efforts to support the goals of Vision 2030, particularly those focused on improving quality of life and creating vibrant neighbourhoods.
If approved, the framework will allow different commercial activities based on park size. At the same time, it will introduce planning, licensing, infrastructure, and environmental requirements for investors and operators.
Larger parks could host fitness, childcare and entertainment facilities
Under the proposal, parks measuring 5,000 square metres or more would be eligible for a wider range of commercial uses.
These include gyms and sports centres for men and women, entertainment facilities, childcare centres, non-residential senior citizen centres, and daycare facilities for people with disabilities.
In addition, municipalities would need to conduct comprehensive traffic studies before approving commercial activities in parks of this size. Authorities would also be required to implement the recommendations from those studies before granting permissions.
Cafes, retail outlets and urban agriculture included in the plan
The proposal also outlines commercial opportunities for smaller parks.
Parks spanning at least 1,200 square metres could accommodate cafes, ice cream outlets, fresh juice and cold beverage shops, as well as flower and rose retailers.
Meanwhile, parks covering 1,500 square metres or more could support the retail sale of fresh and preserved fruits and vegetables. The framework would also permit hydroponic vegetable production within these spaces.
As a result, the initiative could open new opportunities for local entrepreneurs, service providers and community-focused businesses.
Municipalities and investors face strict compliance requirements
The ministry has attached several operational and planning conditions to the proposal.
Commercial developments must occupy no more than 25% of a park’s total area. Furthermore, projects must preserve the park’s role as a public facility and cannot alter its approved use.
The proposal also requires parks to face streets that are at least 15 metres wide. However, newly developed commercial activities must not directly overlook residential streets.
Building heights must comply with existing regulations and cannot exceed two storeys.
Investors may be responsible for park development and maintenance
The proposed framework places significant responsibilities on private-sector investors.
For undeveloped parks, investors would be required to finance, develop, operate and maintain the entire park according to approved technical standards.
For existing parks, investors would assume responsibility for operations and maintenance in line with national guidelines governing parks and landscaping projects.
Consequently, the initiative combines commercial opportunities with long-term stewardship obligations.
Environmental and design standards remain central to approvals
The ministry has emphasised compliance with national urban design and environmental regulations.
All projects must align with the Public Domain for Parks and Urban Interventions handbook and the Saudi Architecture Design Guidelines. In addition, operators must comply with noise-control requirements under Article 48 of the Environmental Law.
To oversee implementation, the ministry has established a committee comprising representatives from its Agency for Privatization and Financial Sustainability, Agency for Urban Planning and Lands, and Agency for Licensing and Project Coordination.
The committee will review future proposals to add, amend or remove commercial activities permitted within public parks along residential streets.
Vision 2030 Drives Community-Centred Economic Growth
The proposed policy reflects Saudi Arabia’s continued focus on activating public spaces while encouraging private-sector participation in community infrastructure.
By introducing regulated commercial activity into public parks, the Kingdom aims to strengthen neighbourhood economies, expand service offerings, and create more dynamic urban environments. At the same time, strict planning and environmental safeguards are designed to preserve the public character of these spaces while supporting sustainable development goals under Vision 2030.
