The Parliament of Republika Srpska adopted on 16 July 2015 the amendments to the Property Rights Act, enabling disposals of publicly owned property below market value or free of charge.
Disposals of public property below market value were so far null and void. The amendments make it possible for the municipal and state authorities to dispose with their property below market value or free of charge if this is for the purpose of facilitating investments significant for regional or local economic development. A real estate asset or the right of construction may also be invested by the state or local municipality into a PPP project. The existence of special interest for investment has to be determined by the Government of Republika Srpska for state-owned property and by a municipal assembly, for municipal property.
State or, as the case may be, local municipality may grant to a private investor construction right on a publicly owned land free of charge, for the purpose of (i) eliminating the consequences of natural disasters, (ii) resolving residential needs of endangered population, and (iii) resolving residential needs of the families of fallen soldiers and handicapped war veterans.
The Government of Republika Srpska and the municipal assemblies are still to pass by-laws further regulated disposals below market value.
