The National Alliance of Real Estate Developers undertakes to raise at least EUR 600 million for the real estate industry annually

In the coming years it is planned to improve investment environment and legal framework governing real estate in Latvia making the industry more competitive on the pan-Baltic scale. Representatives of the industry undertake to double amount of annual investments in real estate by 2020 to achieve that it reaches at least EUR 600 per annum, as agreed by and among the Ministry of Economics (EM), the Ministry of Environmental Protection and Regional Development (VARAM), and representatives of the industry on the 7th of June by signing a memorandum of understanding.
 
Furthermore, by the year 2020 NARED undertakes to facilitate the contemplated increase of the investments in volume. In the nearest future it is planned to develop guides of the best practice in industry for buyers of new apartments, prepare an annual evaluation of the real estate market, conduct research about development of the industry, and in collaboration with the Ministry of Economics public trends of the real estate market in Latvia. In addition, it will be ensured that residential buildings built by members of NARED are divided into apartment property before sale of the apartments, as well as the practice where groups of premises in hotels and other buildings, which are not residential buildings, are sold as an apartment will be eliminated.
 
EM undertakes to introduce the principle of “silence implies consent” in approval of a construction intention or a building design, so that the timeline established for making a decision for approval of the building intention would not be extended, as well as by 30 June 2018 ensure development of the Construction Information System forming a convenient electronic environment for transfer to the electronic administrative procedure in construction.
 
On its turn, EM undertakes to develop amendments to the laws and regulations until 1 January 2019 simplifying and perfecting the procedure for making amendments to a construction design during the stages of designing and construction work, inter alia, prescribing that third parties shall have rights to contest a building permit insofar it pertains to the amendments made. By 1 July 2017 EM undertakes to submit legislative bill “Act on Rent of Residential Premises” at a meeting of the Secretaries of State, which would provide an up-to-date legal framework governing rights of tenants and landlords, as well as facilitate shortening of timelines of the administrative procedure concerning appeal of a building permit and facilitate making investments in the commercial real estate.
 
The memorandum of understanding on improvement of investment environment for development of the real estate was signed by:
 
• Arvils Ašeradens, Assistant to the Prime Minster, Minister of Economics
• Kaspars Gerhards, Minister of Environmental Protection and Regional Development
• Mārtiņš Vanags, Chairman of the Management Board of the National Alliance of Real Estate Developers
 
Members of the Supervisory Board of the National Alliance of Real Estate Developers:
 
• Ieva Valtere, Chairman of the Management Board of SIA “Pillar Management”;
• Oskars Ozoliņš, Chairman of the Management Board of SIA “Merks”;
• Sanda Meinarte, Member of the Management Board of SIA “Alfa Construction”;
• Nils Sidorovičs, Member of the Management Board of SIA “Domuss”;
• Pēteris Antonovs, Chairman of the Management Board of AS “MCITY Holdings”;
• Mikus Freimanis, Development Project Manager of SIA “Bonava Latvija”;
• Ivars Rudzītis, Member of the Management Board of SIA “Ordo Group”
• Andris Božē, Chairman of the Management Board of SIA “YIT Celtniecība”;
• Elita Moiseja, Chairperson of the Management Board of SIA “NP Properties”;
• Ilona Striga, Authorized Person of SIA “AFI Management”;
• Ruslans Miroņenko, Business Development Manager of SIA “Saliena”
• Ivars Pommers, Head of the Real Estate Practice of Law Firm Ellex Klavins
• Dmitrijs Kočalovs, Authorized Person of SIA “Colliers International advisors”
 
To find out more please follow the link.
 
Law Firm Ellex Klavins is one of the members of the National Alliance of Real Estate Developers, and Partner Ivars Pommers is an active member of the alliance.