Building Management Agreement Template for Saudi Arabia

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Key Requirements PROMPT example:

Building Management Agreement

"I need a Building Management Agreement for a 50-story commercial tower in Riyadh, Saudi Arabia, with specific provisions for green building certification compliance and smart building technology integration, with services to commence from March 1, 2025."

Document background
The Building Management Agreement is essential for property owners in Saudi Arabia who wish to delegate the day-to-day management and maintenance of their properties to professional service providers. This document is commonly used for commercial buildings, residential complexes, mixed-use developments, and institutional properties. The agreement must comply with Saudi Arabian regulations, including those set by the Real Estate General Authority (REGA), Ministry of Municipal and Rural Affairs, and other relevant authorities. It typically covers areas such as maintenance services, security, cleaning, tenant relations, regulatory compliance, financial management, and reporting obligations. The Building Management Agreement is particularly important in the Saudi market given the increasing sophistication of property developments and the need for professional management services that align with both international standards and local requirements.
Suggested Sections

1. Parties: Identification of the property owner and the building management company

2. Background: Context of the agreement, including property details and purpose of the management arrangement

3. Definitions: Key terms used throughout the agreement

4. Appointment and Term: Formal appointment of the manager and duration of the agreement

5. Manager's Services and Obligations: Comprehensive list of services and duties to be performed by the building manager

6. Owner's Obligations: Responsibilities and obligations of the property owner

7. Fees and Payment Terms: Management fees, payment schedule, and related financial terms

8. Staff and Employment: Requirements regarding employment of staff and compliance with Saudi Labor Law

9. Maintenance and Repairs: Procedures and responsibilities for building maintenance and repairs

10. Compliance and Reporting: Requirements for regulatory compliance and periodic reporting

11. Insurance and Liability: Insurance requirements and allocation of liability between parties

12. Termination: Grounds and procedures for termination of the agreement

13. Governing Law and Dispute Resolution: Application of Saudi law and dispute resolution mechanisms

14. General Provisions: Standard contractual provisions including notices, amendments, and force majeure

Optional Sections

1. Environmental Management: Specific provisions for environmental compliance and sustainability initiatives, included when the property has specific environmental requirements or certifications

2. Special Facilities Management: Additional provisions for managing specialized facilities like swimming pools, gymnasiums, or prayer rooms

3. Retail Management: Specific provisions for managing retail spaces within the building, if applicable

4. Crisis Management: Detailed procedures for handling emergencies and crises, particularly relevant for large or high-risk properties

5. Technology and Systems: Provisions regarding building management systems and technology, included for smart buildings or properties with advanced technical requirements

6. Marketing and Promotion: Terms regarding the promotion and marketing of the property, relevant for commercial properties

7. Shariah Compliance: Additional provisions ensuring compliance with Islamic principles, if specifically required

Suggested Schedules

1. Property Details: Detailed description of the property, including floor plans and specifications

2. Scope of Services: Detailed breakdown of all management services to be provided

3. Fee Schedule: Detailed breakdown of all fees, charges, and payment terms

4. Key Performance Indicators: Performance metrics and standards for evaluating the manager's services

5. Staff Structure: Organization chart and staffing requirements

6. Maintenance Schedule: Planned maintenance program and procedures

7. Operating Procedures: Standard operating procedures for building management

8. Emergency Procedures: Detailed emergency response and evacuation procedures

9. Required Permits and Licenses: List of necessary permits and licenses for building operation

10. Insurance Requirements: Detailed insurance specifications and coverage requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Real Estate

Property Management

Facility Management

Commercial Property

Residential Property

Retail Property

Mixed-use Development

Hospitality

Healthcare Facilities

Educational Facilities

Government Properties

Industrial Properties

Relevant Teams

Legal

Real Estate

Facilities Management

Operations

Property Management

Asset Management

Compliance

Finance

Procurement

Technical Services

Security

Maintenance

Relevant Roles

Facility Manager

Property Manager

Real Estate Director

Asset Manager

Operations Manager

Building Services Manager

Maintenance Manager

Security Manager

Legal Counsel

Contract Manager

Real Estate Investment Manager

Chief Operating Officer

Property Services Director

Compliance Officer

Technical Services Manager

Building Operations Supervisor

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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