Shared-equity construction: what has the year 2017 changed?
Federal law No. 214-FZ, dated December 30th, 2004 and entitled, “On participation in equity sharing for the construction of multi-unit apartment buildings and other real estate assets, and on introducing changes to certain statutory provisions in the Russian Federation” (hereinafter Law No. 214-FZ), has been subject to considerable changes since it was adopted. With federal law July 3rd, 2016 No. 304-FZ, which entered into force in January 2017, changes were introduced in the Law that significantly affected the legal status of builders, the content of the shared-equity construction agreement (hereinafter SEC), and the rights and obligations of the parties. We will focus on both key innovations that are necessary to take into consideration for builders while carrying out their work, as well as for shared construction participants who acquired real estate on the basis of a SEC.