»»Russia: Real Estate Community Alarmed by New Reserved Land Bill
In Russia, a bill expected to be approved Friday by the Federation Council, would give authorities the power to dictate how the land is developed. The legislation would allow authorities to reserve land for their own use.
An option of up to 7 years could be taken out on land leased or owned by individuals or companies, while an option of up to 20 years could be taken out on unoccupied land. The bill also says landowners and leasers may not be compensated for construction or any other improvements on reserved land. […]
The real estate community is buzzing with worries that the legislation will harm construction and open the door to corruption.
Although Western countries also have laws that allow the government to seize land in certain circumstances, land ownership is a touchy issue in Russia after 70 years of Soviet state ownership. Also, Western countries do not face the same challenges with corruption as Russia.
(source)
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