Ejar network clarified that the service to cancel automatic renewal of residential lease contracts is available 60 days or more before the contract ends, subject to the approved regulatory controls, especially regarding residential properties in Riyadh.

The network explained via X platform that the lessor is not entitled to cancel the automatic renewal except in specific cases, including the tenant's delay or default in rent payment, structural issues in the property unit affecting its safety and the safety of residents, or the lessor's desire to use the residential unit for himself or one of his first-degree relatives.

It added that the lease contract can be terminated by mutual agreement between the parties, and can also be terminated unilaterally through the competent judicial authorities, according to applicable procedures and regulations.

Service for Requesting Adjustment of Rental Value

The network also confirmed that the service for requesting adjustment of the rental value upon contract renewal represents a qualitative addition aimed at increasing transparency in the contractual relationship between lessor and tenant by transferring the negotiation process to an organized and reliable electronic framework.

Ejar explained that the service allows the lessor to submit a formal request to the tenant to increase or decrease the rent for the next contractual period, provided that the request is submitted 90 days before the end of the current contract, where a notification reaches the tenant allowing them to accept or reject the request.

It added that if the tenant agrees, the contract is automatically renewed at the new agreed value, whereas if they reject it, the automatic renewal of the contract is canceled and that is considered a notice of no desire to renew.

It confirmed that the service in Riyadh is currently limited to enabling the lessor to submit a request to reduce the rental value only, in compliance with the decision to stop the annual increase in rents.