Serbia property news: Obtaining a building permit gets easier

3 September 2009

Legislation has been passed in Serbia that now makes it easier for private investors to gain planning consent for the construction of new property in Serbia, as well as own commercial and industrial land in the country.

Previously, Serbian law did not allow private investors to own commercial land other than for agriculture, with just 99-year leases available from the state, a hangover from the old communist regime in ex-Yugoslavia.

The old rules, which complicated property ownership in Serbia, deterred many people from investing in Serbia property market, because it took twice as long to obtain permits than in any other Balkan state.

Oliver Dulic, Serbia's Minister for urban planning and environment, whose ministry introduced the new law, said: “It will remove problems that are linked with long procedures and inefficient administration.”

The government's property agency has received about 70,000 property claims seeking the return of land and property nationalised during Yugoslav times.

However, some diplomats and investors are not convinced the new law will not resolve complicated land ownership issue in Serbia.

Brad Bell of the US Embassy in Belgrade said: “While we acknowledge the government’s attempt to resolve outstanding planning and construction issues by cutting administrative procedures and bureaucracy, the draft law does not address many important concerns.

“It is difficult to see how this legislation can be effectively implemented without first legally addressing the issue of restitution.”

See Also:   Legal, Marc Da-Silva, Serbia