After almost 20 years of discussions, changes and ameliorations, Ukraine has opened its land market.?Supported by the president, the official launch of the land market is expected to bring more transparency and simplicity.
The final variant of the law remained almost identical to the one mentioned in our ?previous article. At the first stage (July 01, 2021 – Jan 01, 2024), the land market will be available to physical persons, allowing purchases up to 100 hectares. From Jan 01, 2024, the market will open for legal entities, allowing acquisitions up to 10.000 hectares.
However, some limitations would apply:
- Foreigners will be able to obtain land only after a national referendum
- Legal entities with 100% local capital will be able to acquire agricultural land
- The current tenant will have a priority right to purchase land
- Buying land in the 50-kilometre zone from the state border is not allowed
- Payment can be made only in non-cash form
- Limitations also include the prohibition of Russian participants, terrorism-related organisations, foreign states, unknown beneficiaries and entities under sanctions.
Overall, the opening of the land market is a sign of a new wind for investors. For further information on how you or your business can prepare for the new standards or to discuss your potential actions, please contact our Kyiv Tax and Legal Department at?kyiv@eurofast.eu.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
