New housing decree: Full compensation for demolished properties

In Uzbekistan, the market value of demolished residential and non-residential buildings will be fully reimbursed. This is outlined in the Presidential Decree “On Additional Measures for the Further Development of the Housing and Mortgage Market”, signed on February 21.

According to the decree, starting from May 1, 2025:

• The entire process of construction, from initiation to obtaining a usage permit, will be fully digitalized in the “Transparent Construction” system.
• To receive a usage permit for completed multi-apartment buildings, only approvals from the Supervision Inspectorate for Construction and Housing and Communal Services and state fire supervision authorities will be required.
• The requirement for instrumental and technical inspections of multi-apartment buildings registered with and supervised by the Inspectorate before obtaining a usage permit will be eliminated.

Additionally, from March 1, 2025, new regulations for the renovation-based construction of multi-apartment housing will be introduced.

A renovation project can only begin once a notarized agreement is signed with all property owners. Under the new system, affected owners will have three options for compensation:

• Provision of a new apartment in a newly built residential building under the renovation program, with an area equal to or larger than the demolished property, along with full reimbursement of relocation expenses, including temporary rental costs.
• Full reimbursement of the market value of the demolished residential or non-residential property.
• Other types of compensation are mutually agreed upon between the property owner and the initiator of the renovation project.