Fic rEcommEndationS - Eurobank EFG

REAL ESTATE AND
CONSTRUCTION
WHitE BooK BaLancE ScorE card
Recommendations:
Introduced
in the WB:
Significant
progress
Certain
progress
No
progress
New Construction Law makes an impact in five very important fields:
spatial planning, construction, urban construction land, restitution and
legalisation. All these fields should be separately regulated through systematic
by-laws as soon as possible.
The state government and relevant ministries drafted and adopted few
necessary by-laws. The problem of conversion without a fee remains, as
2009 √
does the problem of registration of the ownership right over the construction
land through rigid interpretation of the Construction Law.
The by-laws should provide more precise interpretation of the provisions
of the Law.
Authorities should be called to introduce transparency and consistency
2010 √
in work on all levels and to conduct higher level of monitoring and work
of all relevant institutions.
The permits’ issuing process should be further simplified and land development
fee, together with other construction start-up costs, should
2009 √
reflect the possibility to decrease existing and subsequent operational
costs with the goal of further market expansion and speeding up and
bringing more investments into this market.
2009 √
The penalty policy in the Construction Law should be re-designed.
The legal framework defining the relationship between investors and the
2009 √
main contractor should be upgraded to the internationally recognised
best practice by amending the Law on Obligations and Torts and some
rulebooks defining the construction process.
2010 √
The Restitution Law should be drafted and adopted after a public debate
as soon as possible.
The Law on Cadastre is adopted and its implementation should speed
2009 √
up the project of Cadastre completion and make the real-estate market
more transparent.
The new Law on Managing and Maintaining Property should also be
2009 √
drafted no later than the beginning of 2012 and adopted after a public
debate.
The State should draft the Law on Real Estate Leasing harmonising it with
2009 √
other Laws being closely connected with real estate business (especially
regulating fields of Tax Law provision regarding the company profit tax,
transparent tax treatment of operational leasing/rent.
The Mortgage Law should be changed in full. The existing Mortgage Law
2009 √
does not correspond to the new Law on Planning and Construction. Having
in mind that the subject law has too many omissions and uncertain
provisions, the Mortgage Law should be changed in full.
Dialogue, communication and long-term cooperation should be built
2010 √
between the state, relevant ministries, local authorities and the FIC and
its RE Committee and other organisations dealing with real-estate .
2009 √
24 top �