Private sector can invest in creation of Romania`s General Cadastre

In its meeting of today, 25 January 2012, the Government, at the proposal of the Ministry of Regional Development and Tourism, approved the memorandum for the approval of the Project of public-private partnership regarding the systematic registration of immovable property situated on the territory of Romania. Under this project, private investors are sought, that would provide financial resources necessary to create the General Cadastre.

The Ministry of Regional Development and Tourism considers it necessary to create the General Cadastre and to look for resources, including from the private sector, due both to the international commitments assumed by Romania on the General Cadastre, and as a result of socio-economic needs, which require complete and accurate records on real estate properties, given that such a particularly expensive approach cannot be borne entirely by the public budget.

The advantages of the existence of a General Cadastre are, among others, that it ensures the safety of the civil legal circuit and of the institution of mortgage lending, the significant reducing of the number of litigations regarding the legal status of land, the creation of a real tax basis on property, the implementation of the land merger policy in view of a better management through rural development programmes and, at the same time, the increase of the level of fund absorption under the programmes financed by the European Union.

Until now, the registration of real estate in Romania was sporadic, being made, in particular, following the requests of the owners, who bore the costs of drawing up cadastral documentation and registration in the Land Book. From the statistical data centralised by the National Agency of Cadastre and Land Registration (ANCPI) it results that, at present, about 6.2 million properties are registered with the Cadastre and Land Registration system, which represents approximately 40% of the total number of lots that are subject to title deeds.