Based on the anti-crisis government plan, the second package of measures to support the construction business has been formed

In difficult economic conditions, it is necessary to prevent any delays and downtime in construction, so the Government of the Russian Federation continues to work to reduce the investment and construction cycle. The approved measures are aimed at accelerating construction and creating groundwork for launching new projects in the industry, as well as supporting citizens and developers in the current difficult economic conditions.

The second set of measures concerns urban planning and land relations, as well as issues of state registration of rights. Now the process of issuing permits for construction will be accelerated by at least six months by providing the opportunity to simultaneously consider changes to the general plan, rules for land use and development, and land planning projects. At the same time, public hearings will become unified.

It will also significantly reduce the time for the provision of land for construction. “If necessary, we are even ready in some critical situations to consider the issue of providing land plots without bidding, and this is provided for by the new package of measures. Our task is to involve the largest number of land plots in civil circulation as soon as possible for the construction of infrastructure facilities that are significant for citizens,” said Marat Khusnullin.

Another key measure to support developers is that after obtaining permission to commission an object, the re-check by the state registrar of land rights and compliance with the requirements for limiting land use is excluded. This is one of the landmark decisions of this year aimed at optimizing the investment and construction cycle as part of the implementation of the New Rhythm of Construction government program. Here we have applied the principle of excluding duplicating procedures.

The approved support measures also provide for a number of conditions aimed at protecting the interests of citizens participating in shared construction. To prevent the emergence of new defrauded equity holders, banks will extend the validity of escrow accounts in case of a delay in the commissioning of objects. This is a social measure that will allow developers, albeit with a delay, to complete the construction of their facilities and prevent the appearance of unfinished construction.

The government is also preparing a decree stating that penalties and fines for late payments will not be calculated based on the increased rate of the Central Bank.

In addition, there will be new opportunities to extend lease agreements for state and municipal property without bidding. If necessary, for this year, under such contracts, the rent will be reduced to the ruble. Such vacations for rent payments should support business and help keep businesses alive.

Source: Press Service of the Government of the Russian Federation