Division, merger of real estate, allocation of shares

Division, merger of real estate, allocation of a share from real estate

The procedure of dividing, separating, or merging a real estate object is particularly popular nowadays to make the characteristics of such an object as consistent as possible with the owner’s needs and to make it more liquid.

It often happens that, for example, it is more profitable to sell two one-bedroom apartments than one three-bedroom apartment. Or it is more convenient to lease non-residential space for offices and shops as separate objects than as one large building.

Let’s understand the terms

The division of real estate is a set of engineering and legal actions that result in the creation of two or more new real estate objects instead of one.

Merger of real estate is a set of measures aimed at terminating the existence of two separate real estate objects and creating one new one instead.

The allocation of a share from a real estate object is possible in respect of real estate objects that are jointly owned. As a result of the share allocation procedure, the allocated share becomes a new separate real estate object.

Why do customers want to divide real estate?

Owners of large real estate often think about dividing their property. The reasons are usually as follows:

When several families live in one house, dividing the house into two separate ones allows each family to get its own separate housing. In addition, such a division protects against legal conflicts regarding the payment of utilities, real estate and land taxes, and the procedure for using the land plot.
smaller real estate objects are more liquid – they are easier to sell
Smaller properties are in greater demand among tenants. A common practice is to purchase a large property and divide it into separate offices/shops and lease them out.

Thus, apartments and office premises, as well as houses and non-residential buildings, can be divided.

It is possible to divide both a duplex and an ordinary apartment or non-residential premises into separate objects, and, if necessary, to transfer one or all of the newly created objects from residential to non-residential property, or vice versa.

As a result of the division (partition) of property, separate ownership documents are issued for each real estate object obtained as a result of such division (partition). For example, if a person owns a three-room apartment of 120 square meters, after the division he or she will become the owner of two one-room apartments, each of 60 square meters.

The new apartments will be issued with a separate technical passport and a document of ownership (a certificate from the State Register of Real Property Rights).

The reasons for allocation of a share are usually similar to those for division. The difference is that a share allocation occurs when the real estate object is jointly owned by several persons before such share allocation.

Apartment merger

Apartment mergers are relevant for apartment owners who have purchased another apartment upstairs, downstairs or next door and are combining them into one large apartment. Whereas the need to combine non-residential premises often arises in cases where the area of the property must meet the legally established requirements for the use of real estate for a certain purpose (for example, a pharmacy).

The basis for the division, allocation of a share, or merger of real estate is a specialist’s opinion on the technical feasibility of dividing, merging an object (objects) of real estate or allocating a share from an object of real estate.

Our company has experienced engineers who prepare the relevant conclusions and experienced lawyers who accompany the procedure of division, separation or merger, until the moment of obtaining new documents of ownership.

What is prohibited when dividing real estate?

It is worth paying attention to the following:

• it is not allowed to provide one co-owner with only auxiliary premises or household (homestead) buildings and structures during the division, merger or split;
• Determination of the technical feasibility of division, association or separation of real estate owned in common is carried out with the consent of all co-owners;
• It is not allowed that in the case of division of a real estate object or allocation of a share from a real estate object, parts of one premises belong to different newly formed objects.
• The objects formed as a result of division, merger or spin-off must include all premises of the real estate object subject to division, merger or spin-off.
• When determining the technical feasibility of division, merger or split, it is not allowed to leave premises that will not be included in the newly formed real estate objects.
• Protective structures and dual-purpose structures are not subject to division.

Why should you contact our company?

GlobalBud Ukraine has many years of experience in the division, split-off and merger of objects. Our specialists carefully study your request to ensure that the division, separation or merger meets the wishes and interests of the client as much as possible and is carried out accurately, quickly and in accordance with the law.

We work not only in Kyiv, but also in the region, so you can divide your real estate in the following cities: Brovary, Boryspil, Bucha, Vyshenky, Vyshneve, Vyshgorod, Gatne, Gnidyn, Gora, Gorenichi, Gorenka, Gostomel, Gostomel, Zazymia, Irpin, Kalynivka, Kniazhychi, Kozyn, Krasylivka, Kryukivshchyna, Lesniki, Novosilky, Novi Petrivtsi, Petropavlivska Borshchahivka, Pohreby, Prolisky, Pukhivka, Skybin, Sofiyivska Borshchahivka, Stari Petrivtsi, Stoyanka, Shchaslyve, Trebukhiv, Khodoniv, Khodoniv Shevchenko, etc.

If you have any questions or difficulties with the independent division, separation or merger of real estate, please contact us in a way convenient for you!