Land lease up to 7 years will no longer be a strict norm – parties will determine the terms themselves
A bill No. 15321 has been registered in the Verkhovna Rada to amend Article 19 of the Law of Ukraine "On Land Lease" regarding certain issues of the lease term of land lease agreements.
Currently, the legislation provides that for agricultural land plots leased for commercial agricultural production, farming, or personal peasant farming, the lease term is determined by agreement of the parties, but cannot be less than seven years.
What is proposed to change
The bill proposes to establish that the lease term for such land plots cannot be less than seven years unless otherwise provided by the lease agreement by mutual consent of the parties.
Main change
In fact, the document allows the parties to independently agree on a lease term of less than seven years if such a condition is explicitly stipulated in the agreement.
Currently, the minimum seven-year lease term is mandatory, but after the bill is adopted, the parties will be able to deviate from this requirement by mutual agreement.
What will remain unchanged
The bill does not change the rules for land plots leased for planting and/or growing perennial plantations — fruit, berry, nut-bearing crops, and vineyards.
For such lands, as before, the minimum lease term will be 25 years.
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