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Peculiarities of land lease in Ukraine: legal regulation and practice

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Sakharuk Anatolii
Sakharuk Anatolii
Lawyer
Ukraine / Kyiv

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Publication date: 08.06.2024

Peculiarities of land lease in Ukraine: legal regulation and practice

 

Introduction

Land lease in Ukraine is an important tool for agriculture, construction and other business activities. The legal regulation of land lease strikes a balance between the interests of the state, landlords and tenants. In this article, we will analyze the main aspects of legal regulation of land lease in Ukraine and relevant practical issues.

 

Legal framework

The main legal acts governing land lease in Ukraine include:

  • The Land Code of Ukraine: The main document regulating land relations, including land lease.
  • The Law of Ukraine "On Land Lease": Defines the legal framework for lease relations with respect to land plots.
  • The Civil Code of Ukraine: Contains provisions relating to lease agreements.
  • The Law of Ukraine "On the State Land Cadastre": Defines the procedure for maintaining the land cadastre.
  • The Law of Ukraine "On Land Valuation": Regulates the valuation of land plots for lease relations.

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The procedure for concluding a land lease agreement

Preparing for the conclusion of the contract:

  • Identification of the land plot: Determining the location and boundaries of a land plot using data from the State Land Cadastre.
  • Evaluation of a land plot: Conducting an appraisal to determine the rent.

Conclusion of the contract:

  • Parties to the agreement: The lessor can be the state, local governments or private owners. The lessee can be individuals and legal entities.
  • Basic terms of the agreement: Determination of the lease term, rent, terms of use of the land plot, rights and obligations of the parties.
  • Registration of the agreement: The land lease agreement is subject to state registration in the State Register of Real Property Rights.

 

Rent

  • The amount of rent: Determined based on the normative monetary value of the land plot and the terms of the lease agreement.
  • Form of payment: The rent may be paid in cash or in kind, as agreed by the parties.
  • Revision of the rent: Possible by agreement of the parties or in cases provided for by law.

 

Rights and obligations of the parties

 

Landlord:

  • Providing a land plot to a tenant for use.
  • Control over the use of the land plot in accordance with the terms of the agreement.
  • Ensuring the legal purity of the leased object.

 

Tenant:

  • Use of the land plot in accordance with the terms of the agreement and its intended purpose.
  • Timely payment of rent.
  • Compliance with environmental and other regulatory requirements.

 

Termination of the lease agreement

  • Expiration of the contract: Automatic termination of the lease after the expiration of the term specified in the contract.
  • Early termination: Possible by agreement of the parties or by court decision in cases of breach of contract.
  • The right to extend the lease: The lessee has a preemptive right to enter into a new lease for a new term, provided that the terms of the previous lease are duly fulfilled.
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