First occupation licence

Hi Maria

We are buying on Sierra Golf in Murcia and you have kindly advised us previously with this purchase.

The developer - Grupo Masa is calling for purchase completions, this can be seen on their web-site as handovers begin at Sierra Golf.  This has been since October last year and there are now many people resident on the development without the FOL.  How can this be if Notaries cannot authorise the purchase without it?  They have already done so. 

Grupo Masa recently informed me when trying to get me to complete without the FOL that it was not a legal requirement because the Notaries don't need it to complete.  They said Notaries would not be signing if they were needed legally.  Your views appreciated please!

Provision 19 of Ground Act. Dated the 28th in May 2007.

Provision number 19. New works declaration

1.- For the authorization  deeds of new works under construction, Notaries will require, to be added  to the Notary file, the required administrative act of  compliance, approval or authorization of the work according to the planning legislation, as well as a certification issued by the relevant technical expert regarding the adjustment of the description of the work to the project approved by the administrative Act. ( IN SHORT WORDS. WORK LICENSE PLUS CERTIFICATE OF ARCHITECT).

For finished new work declaration´s deeds, Notaries will require the certification of relevant technical expert on the finishing of the work according to the described project, documentary accreditation of fulfillment of every requisite according to what is legally  needed for the  handing over of the property  to consumers as per the building Act, and the granting ( expressly or by administrative silence) of the required planning licenses ( IN SHORT WORDS: ARCHITECT´S CERTIFICATE OF END OF WORKS AND FIRST OCCUPATION LICENSE)

2. Land Registrar will require those same licenses for the registration of the deeds of  new work declaration.

REMEMBER: transaction needs to have Notary form in Spain and the ultimate authority in ownership is not the developer bu the Land Registrar, who is high legal professional in Spain. I have promised Susan an article on the meaning and functions of Land Registry in Spain.

EN ESPAÑOL:

Artículo 19. Declaración de obra nueva.

1. Para autorizar escrituras de declaración de obra nueva en construcción, los notarios exigirán, para su testimonio, la aportación del acto de conformidad, aprobación o autorización administrativa que requiera la obra según la legislación de ordenación territorial y urbanística, así como certificación expedida por técnico competente y acreditativa del ajuste de la descripción de la obra al proyecto que haya sido objeto de dicho acto administrativo.

Tratándose de escrituras de declaración de obra nueva terminada, exigirán, además de la certificación expedida por técnico competente acreditativa de la finalización de ésta conforme a la descripción del proyecto, la acreditación documental del cumplimiento de todos los requisitos impuestos por la legislación reguladora de la edificación para la entrega de ésta a sus usuarios y el otorgamiento, expreso o por silencio administrativo, de las autorizaciones administrativas que prevea la legislación de ordenación territorial y urbanística.

2. Para practicar las correspondientes inscripciones de las escrituras de declaración de obra nueva, los registradores exigirán el cumplimiento de los requisitos establecidos en el apartado anterior.

Many thanks for the replies.  I am aware of the Masa situation in Camposol.  Given this information I just don't understand how the notaries can legally sign without it, as they clearly have.  Some, like me, require a mortgage and banks have granted this without the licence.  Does this mean that the Notaries who have signed purchasers' completions have broken the law - as posted below by Maria?

Thanks for your help again Maria. As usual your information is invaluable.

I know More, same happened to us too, but it was when buying in 2003.  We were very naive and didn't have the benefit of a forum like this.  When taken into the little room we asked solicitor if it was legal and he shrugged his shoulders, so with his support for the black money transaction we called it 'legal fraud' and he agreed!!

If things are tightening up - why are solicitors still allowing clients to proceed when it's not legal?  Even worse no one seems to be monitoring them or these Notaries to protect clients. Too many buyers are criticised for not researching and checking things before buying abroad, but with laws implemented in such slap dash fashion it really doesn't matter how much research you do.  I'm becoming more like Victor Meldrew everyday!

Yours

Mr Angry! 

Thanks for your help spanishsolicitor.  You say :

If our clients want to sign without FLO we modify the deeds including some economics clauses for protecting their interest until the LFO is granted.

Are you able to let us know what type of modifications these are?  It might help all of us who've been waiting to complete for a very long time.

thanks again

In the deeds should be indicated:

1º "The developer  has not fulfilled thoroughly  the obligation of handover the house because the LFO has not granted"

2º "With the signature of this deeds we don´t acquire the full possession of the property because of  lack  of and essential element which is the LFO" 

3º An agreed damages clause must be included stipulating the sum to be payable at a daily rate  in the event of lack of LFO in a new deadline granted to the developer from the signature date

4º Withhold  15% of the price until the LFO is granted.

Before going to the Notary it is very important that an expert review exhaustively the file in the Town Hall. This is the key of success, find out about the legal possibilities of these LFOs

Is this law applied retrospectively?

Many thanks,

Poppyseed