Establishment of separate ownership of premises
Pursuant to Art. 7 of the Act on the ownership of premises, separate ownership of premises may be established by way of an agreement, also a unilateral legal action of the property owner or a court decision abolishing co-ownership. The agreement on establishing separate ownership of premises should be concluded in the form of a notarial deed. An entry in the land and mortgage register is required to establish a separate ownership of premises.
The agreement on the establishment of separate ownership of premises should specify in particular:
1) the type, location and area of the premises and rooms thereof,
2) the size of the shares of the owners of individual premises in the common property.
In the agreement the co-owners may also specify how the common property shall be managed. The agreement on the establishment of separate ownership of premises may be concluded either by the property co-owners or by the property owner with the premises buyer.
Separate ownership of the premises may also result from performance of an agreement obliging the owner of the land to build a house on that land and to establish - after the construction has been completed - separate ownership of the premises and to transfer this right to the other party to the agreement or to another person indicated in the agreement. For the above-mentioned agreement to be valid it is necessary that the party starting the construction is the owner of the land that the house is to be built on and obtains a building permit. The claim for establishment of a separate ownership of premises and transfer of this right should be disclosed in the land and mortgage register. Should the agreement be permed defectively or contrary to the agreement, at the request of each buyer, the court may entrust, in a non-litigation proceedings, further performance of the agreement to another contractor at the expense and risk of the land owner.
The real estate owner may establish separate ownership of the premises for himself or herself, by virtue of a unilateral legal action. In such a case, the provisions on establishing separate ownership by agreement shall apply accordingly.
The provisions on establishing separate ownership of premises by agreement shall also apply accordingly to the separation of ownership of the premises by virtue of a court decision abolishing co-ownership of the real estate. Should the fulfilment of the condition for the premises separation require performance of adaptation work, the court may, in a preliminary ruling recognizing the request for establishment of the premises’ separate ownership to be justified in principle, authorize the concerned participant in the proceedings to perform the work temporarily at the participant’s expense. In the case of obstacles posed by other participants, the court may issue appropriate orders or prohibitions by way of a ruling.