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Business Duty Officer

Refusal to lease land prevented a company in Bashkiria from launching an investment project

Refusal to lease land prevented a company in Bashkiria from launching an investment project

The Stroymaterialy-Meleuz company in Bashkiria cannot implement an investment project due to a refusal to lease a land plot. The company bought out the buildings of the abandoned production in Meleuz at the auction, but failed to secure land. Because of this, the organization cannot proceed with the launch of the project - the creation of a new production of building materials. RBC Ufa was informed about this by Anatoly Mikhailov, CEO of the company..

As Veronika Rustamova, the lawyer of the Stroymaterialy-Meleuz company, said, conflict over land rights began in 2020 year. At the beginning of the year, the company bought out at auction the former buildings of the car repair plant in Meleuz on Smolenskaya Street, 198. The purchase cost the company 19,4 million rubles.

According to the organization itself, in 2022 year, she plans to invest in the overhaul of old buildings 25,9 million rubles and buy equipment for 3,5 million rubles. The company plans to organize the production of thermoplastic structures here. The number of jobs can be 120 people, not including support staff, said the CEO of the company.

In February last year, the company applied to the State Institution "Property Management of the Treasury of the Republic of Belarus" (PEC) with an application for the lease of land under and around buildings. The response from the institution came only in June 2021 y. The companies were rejected on the grounds, that she allegedly did not provide a complete list of objects on the site with all cadastral numbers.

In September, the prosecutor's office of Bashkiria, at the request of the management of the enterprise, conducted an inspection and submitted a proposal to the Treasury Property Department to eliminate violations.

Waiting for a lease agreement, management of "Building Materials-Meleuz" sold one of the buildings to entrepreneur Alexei Shavyrov. The company entered into an agreement with the businessman on the joint use of the site. But then the entrepreneur changed his mind and refused this agreement..

In parallel with this, the GKU PEC concluded lease agreements with Shavyrov and provided a public easement for the use of the disputed land plot to him and another entrepreneur Ivan Mironov, the owner of the premises at the neighboring address, which has passages to it, but issued another one through a disputed land plot.

According to the lawyer, actions of a public institution, subordinate to the Ministry of Land and Property of the Republic, do not fit into the principles of equal treatment of market participants. Land lease was not approved for the main owner of the buildings, and the rest - agreed on demand.

“For a year and a half, as the main owners of buildings, we cannot formalize the rights to a land plot. But at the same time for small buildings on 20 sq. m, that are on site, draw up lease agreements, and easements. Documents are prepared very quickly for all their requests.. We haven't been able to do this for a year and a half.. I do not understand, what does it have to do with it", Rustamova said.

In 2021 Stroymaterialy-Meleuz sued the State Institution "Property Management of the Treasury of the Republic of Belarus" and the Ministry of Land and Property Relations of the Republic with a demand to recognize the actions of the institution as illegal and to oblige to approve the layout of the land plot on Smolenskaya, 198.

At the end of June 2022 The Arbitration Court of Bashkiria ruled in favor of the plaintiff, fully satisfying the requirements of the company. The Ministry of Land and Property Relations of the Republic of Belarus announced, who are appealing the decision.

"I think, that it will be a difficult process, because the lawyer of the GKU PEC comes to the process, fights, chooses a very tough position, which is very similar to the position of third parties, building owners", — said the lawyer Veronika Rustamova.

According to a company representative, the state institution takes advantage of a gap in the legislation, which allows not to approve the scheme of the site, if there is no consent of all its users.

Head of the Expert Center for Criminal Law Policy and Enforcement of Judicial Acts of "Business Russia", Ekaterina Avdeeva, Ambassador of the Business Duty project, told RBC Ufa, what cases, like that, what is happening in Meleuz, it's getting smaller now. But each such incident requires investigation..

“Any red tape on the part of government agencies has a significant negative impact on business and the development of the entire economy. Entrepreneur Operates with Limited Resources, time, of money, and therefore some opportunities are simply missed. Now, when it matters, so that entrepreneurs actively participate in import substitution, creation of new enterprises, deadlines must be strictly adhered to, which are reasonable, if they are not prescribed by law. Red tape is a very serious problem. Now I see, what is system work going on, but there are violations, that have a negative impact on business, Avdeeva said..

Frustrated plans

Anatoly Mikhailov, Director General of Stroymaterialy-Meleuz LLC, told RBC Ufa, delays with the land plot prevent the company from developing. In particular, for the further reconstruction of the purchased buildings, the enterprise needs borrowed funds, approximately 200 million rubles. But with the status of the property unclear, banks only approve this amount at a higher interest rate..

"This is a very important question.. Supposed, that there must be some source of funding [investment project] are the banks, Industrial Development Fund, who give bail money. And we really need to own land, so that we can pledge it and get financial resources for the development of this project.”, Mikhailov said..

The company turned to Federal Inspector for the Republic Aleksey Kasyanov and Business Ombudsman Flyur Asadullin with a request to assist in solving the problem with rent.

In the administration of Meleuz, RBC Ufa's request was redirected to the Ministry of Land and Property Relations of the Republic. The representative of the department Mikhail Kopyshev said, that the ministry will not comment on the situation in Meleuz until the completion of the trial. The GKU "Property Management of the Treasury of the Republic of Belarus" did not respond to a request.

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