Sudan Real Estate Fee Dispute Hits Investment

Muhammad Salah, who heads the preparatory committee for the real estate offices division, questioned the legality of fees imposed on furnished apartments and called for the legal basis, as well as the bodies authorized to levy and collect them, to be clearly defined. In an article titled “Organizational chaos in the property market... collections without basis and a flaw in the investment equation,” he said overlapping mandates between real estate offices and furnished-apartment businesses were creating disputes despite the different regulatory requirements of each activity.

That distinction is central to the economics of the sector. Real estate brokerage, property management and short-stay accommodation are separate businesses, but in Sudan’s fragmented market they appear to be subject to overlapping claims on payments and administration. Salah warned that leaving those responsibilities undefined could add to investors’ burdens and undermine both property and tourism investment, two areas that typically rely on transparent licensing, clear revenue collection and low transaction friction.

For investors, the message is less about the size of the fees than the signal they send. When payments are imposed outside formal state channels, operators face higher compliance risk, uncertainty over who has authority, and a greater chance that collections become arbitrary. That is especially damaging in a market already under pressure from war-related disruption, weak governance and depressed liquidity, where risk premiums are high and payback periods are already long.

The complaint also reflects a broader struggle in Sudan’s wartime economy: the erosion of a rules-based commercial framework. As institutions fragment, sectors such as housing, hospitality and brokerage are increasingly vulnerable to local power centers and informal levies. That tends to benefit entities able to extract rents, while hurting legitimate operators, tenants and external investors looking for stable returns.

Salah called for the sector to be reorganized under existing legal frameworks, with clearer responsibilities and collection procedures to improve transparency and protect investors from unsupported charges. Whether authorities act on that demand will shape not only the economics of property offices and furnished apartments, but also confidence in Sudan’s wider investment climate.