# Madayn Industrial Cities in Oman: Locations, Rent & How to Apply

> Madayn, Oman's Public Establishment for Industrial Estates, runs industrial cities and the Knowledge Oasis Muscat tech park across the country. Investors lease serviced land for up to 30 years, typically at OMR 1 per m2 per year for industry, with up to 100% foreign ownership.

URL: https://omanregister.com/industrial-cities/
Updated: 2026-10-24
Publisher: Oman Register (omanregister.com) — company registration and residency services in Oman. Contact: +968 7733 3556, info@omanregister.com

## At a glance

- **Operator:** Madayn (Public Establishment for Industrial Estates), founded 1993
- **Locations:** 14 industrial cities and KOM covered here, plus Al Mazunah Free Zone
- **Industrial land rent:** OMR 1 per m2 per year standard (2026 tariff)
- **Lease:** Usufruct up to 30 years, renewable
- **Foreign ownership:** Up to 100%
- **Investment to date:** About OMR 7.8 billion cumulative (H1 2025)
- **Leased land:** 34.6 million m2 of 61.6 million m2 developed (H1 2025)

Madayn, the Public Establishment for Industrial Estates, develops and runs Oman's industrial cities, from Rusayl in Muscat to Raysut in Salalah, plus the Knowledge Oasis Muscat tech park. Investors lease serviced plots for up to 30 years, usually at OMR 1 per m2 per year for industrial use, with up to 100% foreign ownership. It is the main route for manufacturing, workshops and warehousing on the Omani mainland outside the free zones.

## What is Madayn?

Madayn was founded in 1993 as the Public Establishment for Industrial Estates, following the opening of Rusayl Industrial City in 1983. It now operates under the umbrella of the Public Authority for Special Economic Zones and Free Zones (OPAZ) and manages the industrial cities, [Knowledge Oasis Muscat](https://omanregister.com/industrial-cities/knowledge-oasis-muscat/) and [Al Mazunah Free Zone](https://omanregister.com/free-zones/al-mazunah-free-zone/).

By mid-2025 cumulative investment across Madayn locations had reached about OMR 7.8 billion, with 2,095 projects and 34.6 million m2 leased out of 61.6 million m2 of developed land. Under the 2026–2030 Five-Year Plan, Madayn is building out new cities in Al Suwayq, Al Mudhaibi, Thumrait and Madha.

## All Madayn industrial cities at a glance

| City | Governorate | Main focus | Status (2026) |
|---|---|---|---|
| [Rusayl Industrial City](https://omanregister.com/industrial-cities/rusayl-industrial-city/) | Muscat | Chemicals, building and electrical materials, cables, food, logistics | Mature, about 95% occupied |
| [Knowledge Oasis Muscat](https://omanregister.com/industrial-cities/knowledge-oasis-muscat/) | Muscat | ICT, data centres, digital services (offices) | Mature tech park |
| [Al Wadi Al Kabeer Industrial City](https://omanregister.com/industrial-cities/al-wadi-al-kabeer-industrial-city/) | Muscat | Workshops, vehicle repair, warehouses, trade | Operating, under Madayn since 2022 |
| [Sohar Industrial City](https://omanregister.com/industrial-cities/sohar-industrial-city/) | North Al Batinah | Steel, plastics, building materials, food, chemicals | Mature, next to Sohar Port |
| [Al Suwayq Industrial City](https://omanregister.com/industrial-cities/al-suwayq-industrial-city/) | North Al Batinah | Food and fisheries, light manufacturing, recycling | New, Phase 1 under way |
| [Nizwa Industrial City](https://omanregister.com/industrial-cities/nizwa-industrial-city/) | Al Dakhiliyah | Building materials, glass, food, oil and gas services | Operating, expanding |
| [Samail Industrial City](https://omanregister.com/industrial-cities/samail-industrial-city/) | Al Dakhiliyah | Marble and stone, building materials, food, logistics, SMEs | Operating |
| [Sur Industrial City](https://omanregister.com/industrial-cities/sur-industrial-city/) | South Al Sharqiyah | Gas-based industry, petrochemicals, mining, marine | Operating, large coastal plots |
| [Al Mudhaibi Industrial Area](https://omanregister.com/industrial-cities/al-mudhaibi-industrial-area/) | North Al Sharqiyah | Food, light manufacturing, logistics, construction materials | New, Phase 1 under way |
| [Raysut Industrial City](https://omanregister.com/industrial-cities/raysut-industrial-city/) | Dhofar | Food and fish processing, steel, PVC, medical supplies | Mature, about 98% occupied |
| [Thumrait Industrial City](https://omanregister.com/industrial-cities/thumrait-industrial-city/) | Dhofar | Mining and minerals, light industry | Under development |
| [Al Buraimi Industrial City](https://omanregister.com/industrial-cities/al-buraimi-industrial-city/) | Al Buraimi | Food, building materials, plastics, pharma, logistics | Operating, UAE border |
| [Ibri Industrial City](https://omanregister.com/industrial-cities/ibri-industrial-city/) | Al Dhahirah | Light and medium industry, oil services, minerals, warehousing | Operating (est. 2020), growing |
| [Mahas Industrial City](https://omanregister.com/industrial-cities/mahas-industrial-city/) | Musandam | Building materials, food, light industry | Operating, small |

## What does Madayn offer investors?

### Land lease model

Land is never sold. Madayn grants a usufruct agreement for land or built facilities of up to 30 years, renewable for the same period. Within that lease you can:

- build your own factory, warehouse or staff housing
- sell or lease out the buildings you construct
- bring new partners into the lease
- give up the lease for the remaining term
- receive a fair valuation of your buildings when the lease ends

### One-stop shop

Each city has a **Masar service centre**, Madayn's single window for land requests, building permits, activity licences and links to other government bodies such as labour, municipality and environment. Most requests are filed online through Madayn e-services.

### Incentives

- **Up to 100% foreign ownership** of projects
- **Customs exemption on production inputs and machinery** for licensed industrial projects, on approval
- **Income tax:** standard 15%; industrial companies may apply for a five-year, non-renewable exemption under the Income Tax Law as amended in 2017, subject to Tax Authority approval
- **Fee reductions:** Madayn's board can cut licence, service and rent charges by up to 50% for up to five years in new cities or cities needing special support, and SMEs with a Riyada card get reduced licence fees
- Serviced plots with roads, water, power and telecoms, round-the-clock operation, and participation in Madayn's "Made in Oman" exhibitions

## How do you apply for a plot and licence?

1. **Choose the city** based on market, port access, raw materials and land availability.
2. **Register an Omani company** ([LLC](https://omanregister.com/company-types/limited-liability-company-llc/) or [SPC](https://omanregister.com/company-types/sole-proprietor-company-spc/)) on the [Oman Business Platform](https://www.business.gov.om/) with the industrial, logistics or service activity. See [how to register a company online](https://omanregister.com/how-to-register-a-company-online/).
3. **Submit the investment request** with a project profile through Madayn e-services or a Masar centre.
4. **Plot allocation:** Madayn reviews the project and notifies you of the allocated land.
5. **Sign the usufruct agreement** and pay the first rent and any guarantees.
6. **Get permits:** Madayn building permit, environmental permit and, for factories, industrial registration with the Ministry of Commerce, Industry and Investment Promotion.
7. **Build, connect utilities and hire** staff through [work permits](https://omanregister.com/work-permit-oman/) and residence visas.

Typical documents: Commercial Registration, shareholder passports, a project profile or feasibility study, site layout, and power, water and environmental data.

## What does it cost?

Madayn's standard tariff, published on the government services portal (2026):

| Land use | Rent |
|---|---|
| Industrial land | OMR 1 per m2 per year |
| Residential land | OMR 2 per m2 per year |
| Service, logistics and commercial warehouse land | OMR 3 per m2 per year |
| KOM offices | OMR 6 (unfurnished) or 7 (furnished) per m2 per month |
| Review | Land rates rise 15% every five years |

Several cities publish lower rates: Madayn lists 500 baisas per m2 per year in Al Buraimi and Mahas, and rent-free first years in new cities such as Al Suwayq and Al Mudhaibi. Wadi Al Kabeer rents are quoted on application.

Other cost components: common area maintenance, Madayn licence and service fees, building and environmental permit fees, utility connections, construction or fit-out, company registration and Chamber fees, and labour costs. Madayn quotes these per project; there is no single package price.

## Madayn industrial city or free zone?

| Point | Madayn industrial city | Free zone / SEZ |
|---|---|---|
| Legal regime | Mainland Oman | Zone-specific law and authority |
| Foreign ownership | Up to 100% | Up to 100% |
| Customs on sales into Oman | Normal duties apply | Duties due when goods leave the zone into Oman |
| Corporate tax | 15% (possible industrial exemption on approval) | Exemptions available for qualifying projects |
| Land | Low published rents, usufruct up to 30 years | Rents set by each zone operator |
| Best for | Factories and workshops selling in Oman and the GCC | Export-led, re-export and port-based projects |

For the zone side, see the [free zones and SEZs hub](https://omanregister.com/free-zones/), including [Sohar Free Zone](https://omanregister.com/free-zones/sohar-free-zone/), [Salalah Free Zone](https://omanregister.com/free-zones/salalah-free-zone/) and the [Duqm Special Economic Zone](https://omanregister.com/free-zones/duqm-special-economic-zone/). For the full picture of options, read our [company registration overview](https://omanregister.com/register-company-in-oman/).

## How Oman Register helps

Oman Register helps you pick the right Madayn city, registers your company with the correct activities and prepares the land application. We follow the file through allocation, the lease and permits, then handle work permits and visas for your team.

## FAQ

**What is Madayn?**

Madayn is the Public Establishment for Industrial Estates, a government body founded in 1993 that develops and runs Oman's industrial cities, Knowledge Oasis Muscat and Al Mazunah Free Zone. It leases serviced land and facilities to investors and licenses their activities.

**How much does industrial land cost in Oman's industrial cities?**

Madayn's standard tariff is OMR 1 per m2 per year for industrial land, OMR 2 for residential land and OMR 3 for service, logistics and commercial warehouse land, rising 15% every five years. Some newer or border cities publish lower rates, such as 500 baisas per m2 in Al Buraimi and Mahas.

**Can foreigners own 100% of a factory in a Madayn industrial city?**

Yes. Madayn allows up to 100% foreign ownership of projects, and the company is set up as an Omani LLC or SPC under the Foreign Capital Investment Law.

**Can I buy land in a Madayn industrial city?**

No. Land stays with Madayn and is granted under a usufruct (lease) agreement of up to 30 years, renewable. You own the buildings you construct and may sell or lease them out under the lease terms.

**Is a Madayn industrial city the same as a free zone?**

No. Madayn cities operate under mainland rules, so goods sold in Oman pay normal duties and corporate tax is 15%. Free zones and special economic zones offer customs and tax benefits but follow their own rules and are aimed more at export.

**How long does it take to get a plot from Madayn?**

There is no fixed published timeline. Company registration takes a few days, and allocation depends on plot availability and the project review, typically several weeks, longer in nearly full estates such as Rusayl and Raysut.

## Sources

- [OPAZ — Industrial Estates (Madayn)](https://opaz.gov.om/en/zones/industrial-estates-madayn)
- [Oman Government Services — Renew lease contract (Madayn tariff)](https://gov.om/en/w/renew-lease-contract)
- [Madayn — Industrial cities](https://madayn.om/)
- [Oman Observer — Madayn investments reach RO 7.8 billion (Nov 2025)](https://www.omanobserver.om/article/1179723/business/madayn-investments-reach-ro-78-billion)
- [Oman Observer — Four industrial cities to come up under 11th Plan (Aug 2026)](https://www.omanobserver.om/article/1194390/business/four-industrial-cities-to-come-up-under-11th-plan)
- [Middle East Construction News — Madayn incentives for industrial and commercial development](https://meconstructionnews.com/41423/omans-madayn-unveils-incentives-for-industrial-and-commercial-development/amp)