Payment for construction of housing bonds – Part 1
Housing bonds, together with shared construction and developer organizations, are one of the three permissible forms of housing construction in the Republic of Belarus.
In Belarus, there is an Instruction on the procedure for the issuance, circulation and repayment of housing bonds, approved by the Resolution of the Ministry of Finance of the Republic of Belarus of September 18, 2009, No. 115.
A housing bond is a registered security. It certifies that its owner has made money to build a certain size of the total area of residential and (or) non-residential premises. The area paid by the bond takes into account the share of engineering and transport infrastructure, landscaping and landscaping of the territory.
When issuing housing bonds, their issuer may decide to conduct an open or closed sale of such bonds.
Closed sale of bonds is the placement of registered bonds among an individually defined number of individuals, the number of which does not exceed a hundred, by concluding purchase and sale contracts on the over-the-counter market. The decision to issue bonds by holding a closed sale must contain, in particular, a list of persons among whom bonds are placed.
The open sale of bonds involves the placement of bonds among an unlimited range of persons by making sales transactions on the over-the-counter market and (or) on the exchange market. The open sale of housing bonds begins no later than one month after the publication of brief information on the open sale.
The issuer of housing bonds is charged with reporting to the Securities Department of the Ministry of Finance of the Republic of Belarus.
The housing bond has a nominal value in Belarusian rubles or foreign currency and the equivalent of this value, expressed in square meters of the total area of the premise in the residential building and (or) other real estate object. The equivalent of the nominal value, expressed in square meters, is not subject to change.
Equivalent of the nominal value, expressed in square meters, of one housing bond can not be less than 0.1 square meter.
The nominal value of a housing bond can not be less than the value equal to the product of the equivalent of the face value expressed in square meters and a single marginal standard for the cost of 1 square meter of the total area of the dwelling set in accordance with the legislation effective as of the date of the issuer’s decision to issue housing bonds . In this case, if the nominal value of a housing bond is expressed in foreign currency, the foreign currency is translated into Belarusian rubles at the official exchange rate established on the date of the decision to issue housing bonds.
The issuer of housing bonds is entitled to be a legal entity registered in the territory of the Republic of Belarus, which is a customer (developer), if:
- Approved project documentation for the object of housing construction;
- Documents certifying his right to a land plot necessary to ensure construction, or other documents for a land plot.
A source: www.nb.by
Alexander Zhuk, Master of Law, Director of the law firm “SPRAVA Consulting”.