|Land Grab (Local Authority Land Acquisition)
In recent years there has been
a great deal of attention given by the British press
to the issue commonly known as “land grab”
and, whilst there is some truth in the reports, they
have been somewhat exaggerated and misreported.
In the year 2000, the Junta de
Andalucía passed a law, “Ley Reguladora
de la Actividad Urbanística” (LRAU), granting
to local authorities the power to order the change of
use of rustic land to urban land. The law was introduced
to enable local authorities to acquire rustic land for
the purpose of constructing social housing. In the UK
we do, of course, have a compulsory purchase scheme
enabling Local Authorities to do much the same.
|Rustic land can be defined as land on which there is
little or no infrastructure such as roads, electricity
and water. The LRUA provides local authorities with the
power to classify rustic land as land suitable for conversion
to urban land.
|Owners of such rustic land, which forms part of land
that the local authority deems suitable for conversion,
can be obliged to sell part of their land to the local
authority for the installation of roads and services to
the area. They are, of course, compensated but only at
a rate deemed suitable for rustic land and not necessarily
what the owner perceives to be the market value of their
|The landowner can be required to contribute to the cost
of the installations along with all other landowners in
the given area. In return the landowner enjoys the use
of the new services, often increasing the value of the
|The important point to realise about the LRUA, is that
it only applies to rustic land. As such, if the property
you are intending to buy already falls within an area
designated as urban land, with all the associated services,
the property cannot be subject to change by the Local
Authority in the future.
|As part of our service at Greenfields we will, of course,
affect a search of the title to check the classification
of the land on which your property is located enabling
you to enter the purchase with all the facts to hand.