As of January 1st, 2021, the Law 4759/2020 titled “Modernization of Spatial and Urban Planning Legislation and other provisions” attempts to codify all spatial and urban planning provisions and introduce an integrated framework for the spatial issues.
Property owners throughout the country are obliged to hire, at their own expense, a civil engineer, who will undertake the on-site inspection and the issuance of the Electronic Building Identity.
The building’s electronic Identity (“Building’s Electronic ID”) provisions included initially in Law 4495/2017 as amended by Law 4693/2019 were further clarified by the urban Law 4759/2020.
After the adoption of the law 4759/2020 the provisions of a Completeness Certificate of a Building’s Electronic ID were rendered mandatory for all relevant real-estate transactions.
What is the Building’s Electronic ID?
The Building’s Electronic ID concerns all the Real Properties of the Greek territory; It is mandatory for those Real Properties for which the building permits will be issued after February 1st, 2021. For the already existing Real Properties, these will have to comply with its requirements within a five – year period.
The electronic issuance of building permits is based on a digital platform of the basic licenses and property requirement in a attempt to depict the current status of the Real Properties.
It is noted that the digital recording and monitoring of the built environment is a fundamental legislative requirement, in accordance with the decisions and requirements of the Council of State, for the implementation of planning legislation, the treatment of arbitrary construction and legal security in real estate transactions. With the Electronic Building Identity, the state is creating a permanent system for monitoring construction and changes to existing buildings throughout their lifetime, in order to put an end to new arbitrary acts and to protect the property of citizens. In addition, the Electronic Building Identity will be interconnected with other information infrastructures that are in the process of being digitally created, such as: the Land Registry, the electronic issuance of building permits (e-adeies) and the digital map.
Digital registration of properties
In general, the Electronic Property Identity Card applies to all buildings in the territory, both constructed and those to be erected in the future.
Owners have a specific deadline to settle their obligations regarding the Electronic Building Identity. More specifically:
§ Ten (10) years if there are no unauthorized structures on the property;
§ Five (5) years in all other cases where there are no unauthorized structures since the launch of the electronic building identification system;
§ The required documentations and declarations are uploaded on the platform by engineers of the choice of the owner.
What is the process undertaken by the Engineer?
The private engineer undertakes the following process for the issuance of the Electronic Building Identity Card:
· Carrying out the autopsy of the building;
· Completion of a special form, exactly as provided for in the Presidential Decree;
· Issue of the Certificate of Completeness of Building Identity/Certificate of Completeness of Independent Property;
· Once these actions are completed, the respective Building Service undertakes to issue the Construction Inspection Certificate, which is registered by the Ministry of Productive Reconstruction, Environment and Energy;
· All the attestations of engineers pursuant to Law 4495/2017 with an inspection date up to Law 4759/2020 may be used until they expire, without the obligation to register any necessary information regarding the Building’s Electronic ID.
· If false documentation or declaration is uploaded, apart from the criminal sanctions, a fine of 2,000 to 20,000 Euro is stipulated, depending on the surface area which haw not been mentioned in the Electronic ID.
What are the documents included in the EID file?
The supporting documents, as well as the completeness data to be included in the Electronic Building Identity are as follows:
o The building permit stub for the building, with its revisions;
o The drawings accompanying the building permit;
o The Energy Performance Certificate of the building or parts thereof;
o The construction inspection certificate, if issued;
o The declarations of affiliation to laws suspending the imposition of penalties on unauthorized buildings;
o The floor plans showing the building in its actual condition;
o The structural vulnerability report and the structural adequacy study, if required;
o The millimeter table and the cost allocation study of the building, if required;
o The Certificate of Completeness for Electronic Building Identification;
o Once the details of the Certificate of Completeness for Building Identity are completed by the authorized engineer, a property code is assigned, which is sent electronically to the authorized engineer and the owner of the building and/or the detached divided property;
Are penalties also foreseen for engineers?
The Law 4759/2020 provides strategic investments developed via Special Regulation. Because of the new regulation and the transparency, it offers in the spatial area, it follows that there will be consequences in case of non-compliance.
If it is found that false data have been filled in when completing the Electronic Building Identity or during periodic inspections, in addition to the criminal sanctions foreseen for the engineer, the following penalties are also imposed:
A fine from 2,000 to 20,000 euros, depending on the surface area not reflected in the Electronic Building Identity Card
On the one hand, suspension of the professional license for a period of 2 to 24 months, depending on the seriousness of the infringement.
On the other hand, if owners of unauthorized buildings do not comply with their obligations regarding the Electronic Building Identity, various restrictions and prohibitions are foreseen. More specifically, the restrictions – prohibitions concern:
The transfer, sale of the property;
The issuance of planning permissions for maintenance, renovation, restoration, change of use or extension works of their properties;
The issuing of a business license;
Funding for the upgrading of the building from the ‘Residents’ Savings Scheme’;
Existence of a risk of a fine and possible demolition;
Sales and Purchase Agreement (SPA) Contracts in Greece EID obligation
A sales and purchase agreement (SPA) is a binding legal contract between two parties that obligates a transaction to occur between a buyer and seller. SPAs are typically used for real estate transactions, but they are found in other areas of business. The agreement finalizes the terms and conditions of the sale, and it is the culmination of negotiations between the buyer and the seller.
Any notarial act, which is drawn up after the entry into force hereof and has as its object the transfer or the establishment of a right in rem to a property or to a property without a building CANNOT TAKE PLACE without a statutory declaration of the owner and an engineer’s certificate (Electronic Building Identity) attached.
Notaries who conduct contracts, legal practitioners, mortgagors or the heads of the cadastral offices who transcribe them, if the declaration and certification hereof are not attached, as well as the engineers who issued an inaccurate certificate, shall be punished with at least six (6) months and a fine from thirty thousand (30,000) to one hundred thousand (100,000) euros. When calculating the penalties of the previous paragraph, the value of the arbitrary construction is obligatorily and proportionally taken into account.
Real-estate related notarial contracts are forbidden to be registered at any Land Registry/Cadastral office in Greece without an Electronic Building Identity.
At Amoiridis Law Services® we are dedicated at assisting our well-respected clients successfully complete any of their investment projects and real-estate purchases in Greece. Thanks to our longstanding experience, we are able to provide a full package of consultancy services to our almost exclusively international clientele, customised to their specific needs.
As a result, we have represented clients from all around the globe regarding their projects in Greece. Our network of associate experts, composed by both in-house and external solicitors, notaries, accountants, tax experts, currency exchange experts, realtors etc., enables us to provide an all-in-one package of consultancy services, guiding you through the ways to properly protect your investments.
For any further information and clarifications please do not hesitate to contact our qualified legal team, ready to provide you with further personalized information tailored to your needs and your profile.
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Athens, June 2022
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