Question Summary:
Is Zakāt binding on a commercial land purchased to lease out?

Question Detail:

Assalamualaikum,
What is the proceedings for zakath on the commercial land bought with the intention of keeping it for a long time and build a commercial complex later to rent it out to get monthly rental income. Please also let us know what would be the proceeding once the commercial complex is completed and let out for rent.
Jazaakallahu Khairan,
Uzair

Answer :

Answer:
In the Name of Allah, the Most Gracious, the Most Merciful.
As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh.
There is no Zakāt due on the commercial land nor on the commercial complex.[1]  However, the rent received will be added to your yearly savings and Zakāt will be given on the remaining amount on your Zakāt day.  For more details on Zakāt, refer to the following link:
http://askimam.org/fatwa/fatwa.php?askid=31cdd2cfc57f1a0183dc44a77539d0e3.   
And Allah Ta’āla Knows Best
Mawlana Abdul Azīm bin Abdur Rahman,
Student Darul Iftaa
U.S.A.
Checked and Approved by,
Mufti Ebrahim Desai.