The criteria have been stated, but questions remain. Developers discuss the conditions of further construction under former rules / ASN-Info
For several months Russian developers have been waiting for the Ministry of Construction to publish the criteria for a ‘high level of readiness’ which permit (according to the amendments to 214-FZ the State Duma adopted in December) to finish construction after 1 July 2019 without shifting to an escrow accounts system, but rather by continuing to attract people’s money under a shared-equity construction scheme. Now publication has happened.
The Ministry of Construction has published a draft of the relevant resolution of the Russian Government. Under the draft, it is proposed that the main criteria should be set as follows: (i) at least 30% of construction has been completed, and (ii) at least 10% of shared-equity construction agreements have been concluded for apartments in the building. Maya Petrova, Partner and Head of the Real Estate and Construction Practice at Borenius Russia, shared her opinion with the editorial team of ASN-Info on the ways in which the content of these criteria can be interpreted and the issues developers are facing.