Construction law

Housing crisis

According to the latest report of the Za bydlení (For Housing) initiative from 22 June 2021, approximately 36,000 to 61,000 households are in housing need and another 130,000 to 190,000 households are at risk of losing their housing. The issue of housing crisis has been resonating in public and political debates for several years. But the availability of decent housing keeps getting worse.

One of the solutions offered by politicians across the political spectrum is the large-scale construction of houses and apartments. However, the implementation of development projects (including, for example, office or industrial zone projects) is often hampered by zoning and building permit proceedings. Nevertheless, zoning and construction proceedings cannot be omitted in the case of large-scale development projects. But developers (as well as small constructors) face challenges arising from the legal regulation of construction law.

Construction law

Building permit proceedings in the Czech Republic are one of the most complex and longest in the world, which is a major obstacle to the necessary construction. If we realise that the Czech Republic is ranked 157th in the world in terms of the length of building permit proceedings and that some African countries are ahead of the Czech Republic in this respect (according to the World Bank ranking), construction law certainly needs to be amended.

The state is trying to respond to the above unflattering ranking and construction law is currently subject to substantial changes. As for the regulation of zoning, building permit proceedings and other related areas, a new Building Act has been adopted, which will gradually replace the existing one. The adoption of the new Building Act was preceded by considerable criticisms of the original draft by the professional public and many comments throughout the process of adopting the Act, we can therefore expect that the zoning/building permit proceedings will be accompanied, at least initially, by some uncertainties, complexities and possible defects that will hinder the desired acceleration of construction. Only time will tell whether the new Building Act is a step in the right direction.

Public access to building permit proceedings

Another aspect discussed in the context of construction law is the public access to building permit proceedings in which the public does not act as a building owner or landowner. When the public actively participates in building permit proceedings, there is usually a conflict of interests, mostly between the interest in the construction and the interest in maintaining the status quo (often environmental interests, interests of private persons in well-being, etc.). The building authorities should try to resolve the conflict in accordance with the law so that their decision stands up to scrutiny by superior authorities and administrative courts.

It is therefore definitely advisable to deal with such situations in cooperation with experts who will help you effectively assert your interests in a particular procedure so that your arguments are best heard.

Conclusion

In view of the above, it may be noted in relation to both the old and new Building Act that zoning and building permit proceedings require expertise and a professional approach, both on the part of the constructor (e.g. a developer) and on the part of the public interested in the outcome of the proceedings. We will be happy to provide you with all the necessary legal services in this regard, in particular:

• Consultation on legal aspects of large-scale development projects and small constructions
• Preparation and review of necessary documentation
• Consultation on financing of real estate projects
• Monitoring construction projects and taking necessary steps to have them rejected
• Representation before public authorities, especially building authorities or administrative courts, including proceedings for the expropriation of real estate

What situations do we typically handle for our clients regarding construction law?

• Legal consultation on amendments to the Building Act
• Representation of municipalities in house construction proceedings
• Proceedings for the removal of illegal buildings
• Legal assessment of the draft of a new zoning plan
• Legal services for construction companies
• Representation of municipalities in court proceedings regarding zoning plans
• Obtaining a building permit
• Legal consultation on subsidy applications
• Contracts relating to the Building Act
• Advice on the assessment of environmental burdens
• Representation before the building authority
• Contracts with architects and designers
• Summary building permit proceedings
• Occupancy permits
• Construction notification
• Defects and subsequent claims of buildings
• Legal consultation on investment projects