VEGAS
LEX partner Igor Chumachenko has spoken at the round table of the largest
annual real estate forum, MIPIM 2017, on the legal regulation of investment and
construction projects.

On March 14, 2017, VEGAS LEX provided support for a roundtable, The
New Reality of Property Development: How Does Russian Market Meet Current
Challenges?
, organized by the Kommersant Media Holding at the Moscow
City Government Stand at MIPIM 2017 international investment fair in Cannes.

Partner,
Head of Real Estate, Land & Construction practice Igor Chumachenko, took an active part in the discussion and delivered
a report, The legal framework for implementing
investment and construction projects: improving the regulatory framework;
successes and challenges
. He highlighted the most recent legislative
changes that affect the implementation of investment and construction projects.

During the discussion, the participants touched upon the
Moscow Mayor’s recent initiative to replace old five-story residential buildings
(construction of new houses after demolishing the old ones), in particular, the
possibility of attracting developers to join the largest resettlement program
in recent years. Deputy Minister of Construction, Housing and Utilities Nikita Stasishin suggested delegating
the mission of reaching agreement with the residents to the developers; this
proposal heated the debate about this problem*.

Igor Chumachenko, proposed changing federal
legislation and using existing tools for redevelopment of existing residential
areas and integrated development of the urban area as a legal solution. He also
highlighted several legal arrangements for interaction between the authorities
and developers in dealing with these problems and emphasized the need to
address these issues solely through joint actions of the Moscow Government and
developers (those involved in the implementation of the program).

At the same time, the participants agreed that the
mechanism for implementing this program should be established by a federal law,
which should be put up for a broad public discussion involving the development
community.

The roundtable was attended by the Konstantin Timofeyev, Chair of the City
Committee for Investment Project Support and Participatory Construction
Oversight, and heads of major development companies.

***

* The discussion caused active response from the
audience and media; on the same day RBC reported on its website that ‘The
Construction Ministry will ask developers to negotiate with residents of
five-story buildings.’.

For more
information on VEGAS LEX’s activities in the property, construction and land
relations sphere, please click here.

More from VEGAS LEX