What are the specific features of registering real estate rights in Uzbekistan?

What are the specific features of registering real estate rights in Uzbekistan?

1) What are the specific legal features of real estate rights registration in your jurisdiction?

The real estate registration system in Uzbekistan is based on the principles established in Article 4 of the Law of the Republic of Uzbekistan “On state registration of rights to real estate” No.ЗРУ-803 dated November 28, 2022 (Law on state registration of rights to real estate), including mandatory registration of rights, priority of registered rights, openness of information, and consistency and comparability of registered data. 

2) When does ownership legally arise: upon signing the contract or upon registration?

The ownership of real estate arises only upon its state registration. The execution of a sale and purchase agreement (or other transfer instrument) does not, in itself, transfer ownership, but serves as a legal ground for registration. 

3) Is registration mandatory for the validity of real estate transactions?

Yes, registration is mandatory. Pursuant to Article 6 of Law on state registration of rights to real estate, the right of ownership of real estate and other property rights, the emergence, transfer, limitation and termination of these rights are subject to state registration.

4) What types of real estate rights must be registered (ownership, lease, easements, mortgages, etc.)?

In accordance with Article 10 of Law on state registration of rights to real estate, the following rights or restrictions to real estate are subject to state registration:

  • ownership;
  • right of permanent possession;
  • right of permanent use;
  • right of lifelong inheritable possession;
  • leasehold, including leasehold arising from the transfer of rights and obligations to the leased land plot to another person (sublease);
  • right of sublease;
  • right of operational management;
  • right of trust management of real estate;
  • right of gratuitous use;
  • rent;
  • mortgage;
  • servitude;
  • restrictions on rights to real estate arising from law or imposed (established) by authorized state bodies.

5) What restrictions apply to foreign nationals when purchasing real estate?

Foreign citizens and legal entities, stateless persons, and enterprises with foreign investment may own land plots exclusively under lease agreements.

In addition, citizens of foreign countries, the list of which is approved by the Cabinet of Ministers of the Republic of Uzbekistan, are granted the right to invest by purchasing real estate without obtaining a residence permit in Uzbekistan, provided that the value of such real estate, either during construction or after the facility is put into operation, exceeds the thresholds established by the legislation of the Republic of Uzbekistan for the relevant regions.

6) How is priority of rights determined in the registration system?

Pursuant to Article 7 of Law on state registration of rights to real estate, the right of first state registration in the body registering rights to real estate is a priority. Hence the priority of rights is determined by the chronological order of registration.

7) Is there a unified land or real estate register, and is it publicly accessible?

Yes, the State Register of Rights to Real Estate is a publicly accessible register which contains systematized collection of information in the form of an electronic database on real estate, rights to it, and rights holders. Openness of information on rights to real estate is one of the main principles of state registration of rights to real estate.

8) What are the common grounds for refusal or suspension of registration?

The legislation of the Republic of Uzbekistan establishes grounds for refusing to register rights to real estate, including:

  • if the results of an inspection of the real estate’s characteristics are found to be inconsistent with the information contained in the real estate’s cadastral file;
  • the area (volume) of the real estate specified in the cadastral passport exceeds the area (volume) specified in the title document;
  • if there is a record of state registration of a prohibition or restriction on the disposal of the real estate, including in the event of the seizure of the real estate;
  • there are court documents or a court inquiry confirming the existence of disputes regarding the right to the real estate in question;
  • the real estate has been confiscated by a court or other authorized body (official);
  • if contradictory or distorted information is found in the submitted documents;
  • if a cadastral file for the real estate has not been prepared or a cadastral passport is missing;
  • if the fee for state registration of rights to the real estate has not been paid.

State registration of rights to real estate may be suspended for 3 business days if deficiencies are identified in the submitted documents.

Authors: Shakhzodakhon Akhmedova, Sitora Kozimjanova.

Uzbekistan
Real Estate