Amendments to the law on shared construction are published
The Government of the Russian Federation published on its portal the document “On Amendments of the Government to the Draft Law, aimed at improving legal regulation in the field of shared construction of apartment buildings.”
According to the new rules, the requirement “one builder – one building permit” is replaced by “one developer – one residential complex”. In addition, there were changes in the presence of the obligations of the developer for loans, loans and loans. Now there is an opportunity as an additional source of external financing for housing construction to take targeted loans of the parent company granted to the subsidiary under the terms of the loan amount not more than 20% of the project cost of construction and the interest rate no more than the key rate of the Bank of Russia plus 2%.
Also, the new amendments regulate the timing of freezing profits from the project, the direction of the targeted use of equity holders’ funds, a ban on the possibility of issuing bonds by the main company of the developer. The full text of the documents can be found on the portal of the Government of the Russian Federation.