The document, developed with the participation of BRDO, creates effective legal mechanisms for the state’s guarantee of property rights to indivisible objects of unfinished construction and future real estate objects.
From now on, buyers of future real estate, which are individuals and legal entities who buy indivisible objects of unfinished construction (for example, cottages), residential and non-residential premises in objects under construction, are much better protected and receive guarantees of protection of their rights .
What changes does the law introduce?
- special property rights are registered on an indivisible object of unfinished construction (future real estate object) – this makes resale impossible;
- funds for the purchase of an indivisible object of unfinished construction (future real estate object) are raised in one of the following ways:
- by concluding a contract of sale of the future real estate object;
- by concluding an agreement on participation in the construction financing fund;
- by issuing targeted corporate bonds, the repayment of which is carried out by transferring the object (part of the object) of residential construction in accordance with the Law of Ukraine “On Capital Markets and Organized Commodity Markets” with the condition of transferring the object (part of the object) of residential construction in accordance to the concluded notarial agreement on the reservation (booking) of the object (part of the object) of residential construction.
- the sale of future real estate objects, the construction customer/developer can start only after registration of special property rights for a divisible object of unfinished construction and all apartments and/or other residential and non-residential premises in such an object, which also makes it impossible to purchase
- residential or non-residential premises in the object of illegal construction;
- the construction customer/developer is obliged to coordinate adjustments in the project documentation with the buyer, if such adjustments affect the interests of the buyer.
Why is the law important?
What other changes took place after the adoption of the law and why it is relevant for Ukraine – read in our previous publication.