Real estate and construction

Preparing land use planning documents has become easier

Pepeliaev Group advises that the law amending the Russian Town Planning Code has been adopted; the amendments make it easier to carry out construction and change land use planning documents.

Amendments in the shared construction

The Russian Government has approved the terms under which self-regulating organisations grant loans to their members Pepeliaev Group advises that, on 8 July 2020, the Russian Government’s Resolution (the “Resolution”) came into force establishing the rules for self-regulating organisations (also the “SROs”) to grant loans to their members.

The State Duma has approved additional measures aimed at supporting tenants from affected industries

Pepeliaev Group advises that three additional measures of state support have been introduced in the sphere of leasehold relationships in the context of the spread of the coronavirus.

A law on new measures supporting tenants has been passed by the Russian State Duma in the third reading Pepeliaev Group advises that on 22 May 2020 the State Duma passed in the third reading draft law No. 953580-7 (the “Draft Law”) which stipulates, among other things, the right of certain types of tenants to unilaterally withdraw from a lease for real estate without any penalties and to extend leases for public real estate.

The government has approved the new rules concerning benefits for tenants from affected industries and socially-oriented not-for-profit organisations

The Russian Government has adopted an instruction on the introduction of additional rules for tenants of state real estate. 

Moscow authorities have approved rules for grants to owners of commercial real estate in the capital Pepeliaev Group advises that, on 13 May 2020, Resolution No. 574-PP of the Moscow Government (the Resolution) was adopted which approves the procedure for grants from the budget of the city of Moscow to owners of commercial real estate that have decreased the rent rate for tenants in the conditions of the crisis because of the COVID-19 coronavirus.

The State Duma has adopted in the third reading a draft law on holding online meetings of the owners of premises in a block of flats

Pepeliaev Group advises that on 13 May 2020 the Russian State Duma adopted in the third reading Draft Law No. 487583-7 (the ‘Draft Law’), which amends the Russian Housing Code (the ‘Housing Code’) in terms of the procedure for holding general meetings of the owners of premises in a BOF in the form of an absentee voting using information systems.

A law on new measures supporting tenants has passed its first reading in the Russian State Duma Pepeliaev Group advises that on 12 May 2020 the State Duma considered in the first reading draft law No. 953580-7 (the “Draft Law”) which stipulates, among other things, a tenant’s right to unilaterally withdraw from a commercial lease without any penalties and to extend leases for public immovable property.

The Russian Supreme Court explains how to apply new rules concerning deferred payments and a reduction of rent Pepeliaev Group advises that, on 30 April 2020 the Praesidium of the Russian Supreme Court (the “Supreme Court”) approved a Review in which, among other things, it explained certain issues of the application of legislation concerning the granting of deferred payments to a tenant and the reduction of rent in connection with the spread of the new coronavirus infection (COVID-19) in the Russian Federation.

Coronavirus-related benefits in the city of Moscow

The Russian Government has limited the application of penalties with regard to shared construction agreements for the period between 3 April 2020 and 1 January 2021 Pepeliaev Group advises that, starting from 3 April 2020, a Resolution of the Russian Government has come into force. It sets out the specifics of applying financial sanctions to developers and construction stakeholders as well as other measures of liability for the non-performance or improper performance of obligations under shared construction agreements (“SCAs”).