Since 1 January 2026, Marrakech has applied new rates for the tax on undeveloped urban land. The reform concerns owners of plots located in urban areas and changes the way the annual amount is calculated.
The main change relates to the level of infrastructure in the area. The more an area benefits from developed roads, water, electricity and sanitation networks, and public services, the higher the applicable rate may be.
This new method replaces an approach often considered too general, under which taxation depended mainly on the planning classification of the land.
Three tax bands
The reform now distinguishes between three categories of area.
In fully serviced areas, the tax may range from 15 to 30 dirhams per square metre per year.
In moderately serviced areas, it ranges from 5 to 15 dirhams per square metre.
Finally, in poorly serviced areas, the rate ranges from 0.50 to 2 dirhams per square metre.
The Municipality of Marrakech officially adopted this new breakdown following the entry into force of Law No. 14-25, which amends the taxation of territorial authorities.
The exact amount therefore does not depend solely on the neighbourhood stated in a listing. It depends above all on the plot’s precise classification within the zoning established by the municipality.
A difference that can become significant
For large plots, the difference between the various categories can represent a significant amount.
Take the example of a 1,000 m² plot.
In a poorly serviced area taxed at 2 dirhams per square metre, the annual tax would be 2,000 dirhams.
In a fully serviced area taxed at 30 dirhams per square metre, it would reach 30,000 dirhams per year.
The purchase price may therefore appear attractive, but the cost of holding the land must also be taken into account, particularly where the owner intends to retain it for several years before building on it or reselling it.
For a plot of several thousand square metres, this charge can quickly weigh heavily in the overall assessment of an investment.
The neighbourhood name is not enough
Two plots located in the same area may not be subject to the same rate.
One part of a neighbourhood may have surfaced roads, sanitation and all the necessary networks, while another part may still be only partially serviced.
The tax classification must therefore be checked against the land’s exact location and the documents held by the municipality.
An owner or buyer should not rely solely on a verbal estimate based on the name of the neighbourhood. It is preferable to obtain confirmation from the relevant municipal department.
This check also makes it possible to ensure that the plot is indeed located within an area subject to the tax. A circular from the Ministry of the Interior reiterated in March 2026 that taxation must be based on clearly established prior zoning.
Which land is concerned?
The tax applies to undeveloped urban land located within the areas provided for by the regulations, including urban zones, certain defined centres and areas covered by planning documents.
It is generally assessed in the name of the owner. In certain circumstances, it may also apply to the possessor or to the various co-owners of land held in undivided ownership.
The fact that a plot generates no income is not sufficient to exclude it from the tax. The tax is linked to ownership of the land and its surface area, rather than to its profitability or market price.
Exemptions remain possible
Not all undeveloped land is automatically taxed in the same way.
The regulations provide for several cases of exemption, particularly where the land is located in an area subject to a building prohibition or where it is covered by permission to build or subdivide under certain conditions.
An exemption may also be considered where an area does not have the necessary networks, but the owner must generally provide the certificates and supporting documents requested by the administration.
These exemptions should not be regarded as automatic. They depend on the legal and administrative status of each plot.
Land presented as exempt by its owner should therefore be subject to documentary verification before the sale.
What a buyer should check
Before acquiring land in Marrakech, several points should be checked:
- the exact surface area recorded on the land title;
- the planning classification of the plot;
- its level of servicing;
- the tax rate applied by the municipality;
- the latest payment receipts;
- the existence of any arrears or penalties;
- supporting documents for any exemption;
- the actual possibilities for construction.
The tax on undeveloped land should not be considered separately from the rest of the file.
A plot may have proper title but be difficult to develop. It may also be located in a promising area while generating a substantial annual charge pending completion of the project.
A new factor in investment calculations
This reform will not automatically cause land prices in Marrakech to fall. It may, however, change the way certain owners and investors assess their property.
A plot intended for rapid development does not have the same profile as land purchased in the expectation of long-term capital appreciation.
In the latter case, the annual tax must be included in the total cost of holding the land. Over five or ten years, the cumulative amount may materially reduce the expected return.
For owners of large unused plots, the new scale may also encourage a sale, construction or more rapid development of the plot.
In Marrakech, location and development potential remain essential. Since 2026, the land’s tax classification has become an equally important factor to check before making a decision.
This article presents general information available as of its publication date. The tax and planning status of land should be checked with the municipality, the notary and the relevant professionals.
Sources
- Municipality of Marrakech – New rates for the tax on undeveloped urban land
- Directorate-General of Territorial Authorities – Main provisions of Law No. 14-25
- LesEco – Tax on undeveloped urban land: the Interior Ministry’s reminder to comply
