Real Estate And Project Development News - May 2021

During the last few months number of laws and regulations have been passed in Latvia which have an impact on construction processes, investment in the Latvian real estate and project development.

Below is our summary of the most significant developments.

Overhaul of the Residential Tenancy Law

New Residential Tenancy Law entered into force on 1 May 2021 overhauling the old significantly outdated law on lease of residential premises which was in operation for more than 20 years. It is expected that the new law will provide a fair balance between lessors and tenants thus facilitating the availability of housing and encouraging developers to invest in residential buildings. According to some projections, an annual inflow of investments in range of EUR 100 million is expected in the Latvian residential tenancy sector.