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SSG Reduces and Cancels Some Real Estate Fees

09-04-2024/in HLP, News /by Rand Shamaa

The presidency of the newly formed Syrian Salvation Government (SSG), headed by its new president Mohammed Al-Bashir, issued Decision No. 37 on March 6, which included reductions and exemptions from various real estate fees in areas controlled by Hay’at Tahrir Al-Sham (HTS) in Idlib. The SSG classified this decision as part of a series of reform decisions that will be issued successively to reduce taxes, stimulate construction activity, and facilitate its procedures, which will create more job opportunities.

Decision No. 37 was based on a statement of the Syrian General Conference in September 2017, that led to the formation of the first Salvation Government. The decision also drew on Decree No. 1 of 2024 from the Shura Council. The Shura Council, acting as a parliament, includes dignitaries and notables from various areas of Idlib appointed in 2019, without elections. The council recently formed a Supreme Electoral Committee to establish an electoral law and elect a new Shura Council. Decision No. 37 also referred to what it described as the “directives of the liberated area’s leadership,” referring to HTS.

Article 1 of Decision No. 37 included the cancellation of all financial fees on residential buildings with an area of less than 50 square metres. These fees were previously USD 0.50 per square metre, collected annually. The decision applies to all existing buildings and those to be constructed after its issuance. Additionally, Article 1 exempts these buildings from the requirement to submit architectural plans, including existing buildings in the process of being licensed and regularised, as well as buildings to be constructed after the decision’s issuance.

Mohammed Ghazal, the Director of Technical Services at the Ministry of Local Administration and Services from the SSG, told The Syria Report‘s correspondent that the cancellation of financial fees and the exemption from preparing architectural plans only apply to non-storeyed buildings with small areas, where the absence of an architectural plan does not affect their structural integrity or pose a risk to their inhabitants. Often, homes with small areas (less than 50 square metres) are those residential blocks that people have increasingly relied on as a more sustainable alternative to tents. These blocks typically consist of two rooms and utilities, with mud walls, and roofs made of cement or insulation.

Architectural plans are still required for licensing any building that exceeds 50 square metres, while buildings consisting of four floors or more must also undergo structural analysis according to the building code and earthquake annex, Mr Ghazal pointed out.

Article 2 included a 75 percent reduction in the financial, technical, and engineering fees collected by the Ministry of Local Administration and Services for all buildings, whether residential, commercial, or service-oriented. The financial and technical fees are fixed charges levied by the ministry for administrative and service works, while engineering fees are charged to pay for engineering procedures such as inspections and plan studies. These fees include licensing fees, settlement fees, and penalties. Settlement fees apply to unlicensed buildings constructed in accordance with the building code, erected on zoned areas. Owners of such buildings can settle their status and obtain a licence according to the current state of the building. Penalty fees apply to buildings that do not comply with the building code in terms of the number of floors, height, facade system, and land area.

Article 3 of the decision reduces by 90 percent the value of the improvement fee levied on properties for licence transactions, settlements, violations, and audits. An improvement fee is imposed on built and unbuilt properties that experience improvement, i.e., an increase in their value, as a result of public utility works. The administrative unit collects this fee within its administrative boundaries. The improvement fee is charged on properties located in areas undergoing zoning, or when a road is constructed nearby or a park is created, which leads to an increase in the property’s value. This fee is paid once with the first improvement and is not imposed for subsequent improvements. Still, the connection between licence transactions, settlements, violations, audits, and the improvement fee is not clear.

Article 4 includes the cancellation of fixed financial fees related to licence transactions and settlements. These are the fees imposed on the execution of licensed construction works, including the service fee due for each concrete pouring permission, which allows the contractor or building owner to start the concrete pouring process after verifying that the reinforcement works meet the required technical conditions. Additionally, the article cancels fees for technical inspections and the monitoring of the implementation of architectural plans, as well as the works fee imposed on works on public roads using construction materials and machinery.

Article 5 stipulates the settlement of buildings constructed before March 1, and treating them as per the current situation. This means licensing the non-compliant buildings constructed before March 1, according to the building code of each area, and in accordance with the zoning plans that the ministry is issuing one after the other. This does not include the removal or demolition of these buildings, but an engineering inspection is conducted on their structural integrity following the same procedures for licensing new buildings.

The package of exemptions and reductions included in Decision No. 37 will effectively reduce the resources of the SSG Ministry of Local Administration and Services collected by the financial department within the ministry, as well as those collected by the associated local councils. Mohammed Ghazal clarified that this decrease in resources will reduce the ministry’s ability to execute some existing projects. However, it will not halt the ministry’s operations entirely, which will continue to oversee other service projects, such as road construction and implementation.

The SSG Ministry of Local Administration also issued Decision No. 89 on March 6, which allows construction within the protection areas of the zoning plans, with the exception of Idlib city. The protection area of a zoning plan separates the zoned areas from the unzoned ones. Parts of the protection area are usually zoned during the expansion of the zoning plan in a routine manner. Municipalities and the executive office prohibit the construction of residential or commercial buildings in the protection areas. The ministry has required anyone wishing to build in these protection areas to comply with the building code system specific to agricultural, rocky, or mountainous areas, depending on the type of land.

https://hlp.syria-report.com/wp-content/uploads/2022/07/Logo-300x81.png 0 0 Rand Shamaa https://hlp.syria-report.com/wp-content/uploads/2022/07/Logo-300x81.png Rand Shamaa2024-04-09 21:36:132024-04-09 21:36:13SSG Reduces and Cancels Some Real Estate Fees

SSG Modifies Building Code in Idlib, Raising Permit Fees

26-09-2023/in HLP, News /by Rand Shamaa

The Ministry of Local Administration and Services in the Syrian Salvation Government (SSG) in Idlib is attempting to regulate the construction sector after the widespread destruction caused by the earthquake on February 6, 2023. The Ministry is working to subject new construction operations to the Syrian building code and its annex related to earthquakes, imposing strict administrative and technical oversight mechanisms and increasing fees and taxes on construction work.

The Ministry has transferred the powers of the Engineers Syndicate to the Directorate of Engineering Affairs in the Ministry, which has become responsible for reviewing the engineering studies for any new construction, as part of the permit process. The Directorate is responsible for rejecting engineering studies that do not comply with construction conditions, Ministry advisor and engineer Said Al-Ashqar told The Syria Report’s correspondent.

The Ministry has set five different criteria determining the final building permit fees, including location, surrounding streets, regulatory nature, type of establishment and general description of the building. However, the Ministry has not yet officially published the fee values. Meanwhile, our correspondent quoted local sources as saying that the new fees for residential building permits reach up to USD 3 per square metre of construction. 

The Ministry has prohibited permits for common-ownership lands and required land partitioning before permitting construction on such properties.

According to Mr Ashqar, the technical phases of building homes and public facilities begin with an architectural and structural engineering study, submitted by a supervising engineer to the competent municipality to obtain a permit. The Directorate of Engineering Affairs then audits and certifies the study, returning it to the municipality, which in turn grants the building permit. Afterwards, the municipality and the supervising engineer oversee all stages of implementation.

Throughout all these stages, adherence to this building code system is necessary. This system consists of administrative decisions issued by administrative units that determine the necessary conditions for building, repairing and demolishing structures within the limits of the administrative unit. Each administrative unit issues its own specific regulation, in line with the zoning plan and the nature of the area.

The Ministry has divided the building code system into two parts: regulation within the zoning plan and regulation outside it. In both cases, certain conditions must be observed, the most important of which are adherence to the minimum land area to be built on, the number of storeys, the area of the facades and compliance with the minimum storey height.

Building regulations outside the zoning plans are classified into three sections: first, a protection area for the detailed zoning plan from any informal urban expansion, where building is prohibited. 

Second are agricultural areas outside the zoning plan, where building is allowed on land smaller than 200 square metres. If the land area is less than 4,000 square metres, construction is allowed with a two-storey system, with the maximum area for one storey at 100 square metres. If the land area exceeds 4,000 square metres, the area of one floor should be 160 square metres. In all cases, a facade for the building must be left at a distance of 10 metres at the front, and five metres for the other sides.

The third type of area outside of zoning plans are the rocky mountainous areas. Ministry of Local Administration Decision No. 370, issued on August 21, 2023, stipulates that the minimum area of the partition to be built upon in such zones is 200 square metres, and the width of the front of one partition is 12 square metres, with facades of three metres on all sides. The regulation added details about the building conditions in this case, such as the number of allowable storeys if the property overlooks a street according to its width, the total height of the storeys, and the facades. Commercial and industrial construction, various investment projects, and residential suburbs in rocky mountainous regions are exempted from this building regulation system to be considered separately.

The Ministry also issued Circular No. 14 on June 1, treating all properties under construction as existing buildings, meaning their owners must obtain a new construction permit. 

Authorities allowed legal settlement for law-violating buildings inside or outside of zoning plans, as well as the obtainment of official construction permits. The main settlement condition is that a committee consisting of three engineers must submit a structural safety report about the building to the Directorate of Technical Services in the Ministry.

Even earlier than that, on May 17, 2023, the Ministry issued Circular No. 8, specifying the required documents to complete the administrative transactions related to permits and settlements as follows: a real estate registration statement proving ownership, along with a copy of the identity of the land or building owner, a survey plan with a statement of neighbouring properties, a topographical statement, and a general site drawing. 

Circular No. 9, also issued on May 17, outlined the administrative procedures for permits and settlement, whereby the reception office in the municipality receives the request, ensures the accuracy and completeness of the documents, and forwards the request to the technical department in the central municipality for verification. This department also conducts a preliminary technical inspection and transfers it to the Directorate of Technical Services in the Ministry of Local Administration and Services.

https://hlp.syria-report.com/wp-content/uploads/2022/07/Logo-300x81.png 0 0 Rand Shamaa https://hlp.syria-report.com/wp-content/uploads/2022/07/Logo-300x81.png Rand Shamaa2023-09-26 19:49:572024-12-16 11:59:58SSG Modifies Building Code in Idlib, Raising Permit Fees

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