Rent land from the state or the purchase in the property?

now rent the land is one of the most important investment areas in Russia.The owners of the land, state-owned, are the bodies of the federal and municipal authorities.Relations associated with the hiring of land governed by Article 22 of the Land Code.In addition, and in the Civil Code of the Russian Federation stipulates that the land may be the subject of the lease.

In many cases it is more appropriate than land ownership.The reasons for this may be several.First, the purchase of the plot is quite costly means.Land lease from the state does not require any major investment in one moment, and the payment of rent are quite rational use of land as tenant brings profit.

addition, land ownership is associated with the bearing of certain obligations and involvement in solving a number of problems.At the conclusion of the lease agreement can avoid spending on laying of communications or other landscaping.Interaction with authorities is also the responsibility of the owner of the allotment.

Land lease makes it possible to do business in that place, which for him is best suited.Select a site can be in accordance with their preferences and goals.The contract can be concluded for a short or a longer period of time.If necessary, possible option to conclude the contract with subsequent purchase of the site.

Determination rents regulated by the civil legislation of the Land Code, which states that the total points determine the size of the rent may be established by the Government.Also, the subjects of the Russian Federation in the framework of its powers annually sets the size of the rent by giving local authorities the right to determine the multiplying factors in its sole discretion.

For example, in the Moscow region municipal land rent is payable as follows.The base rent is established in accordance with the law on the budget for the area, additional factors are determined by the representative bodies of local government a specific municipality.

rent land begins with the signing of the contract.A prisoner for five and more years the contract has several features that expand the rights of the tenant.For example, the latter may assign its rights under the contract (and responsibilities) to a third party, without checking with the owner of the land, but only advance notice to him about it.Transfer of rights implies the possibility of wearing sublease or free use, transfer of the rental as a deposit or making them as a contribution to the charter capital of companies and partnerships within the period of employment.

especially long-term lease agreement is that its termination at the request of the landlord can be done only by court order and only in case of gross breach of contract.Therefore, land lease with the right approach can be much more profitable than buying land.