New Changes to Euro 1 Contracts Enter into Force

New Changes to Euro 1 Contracts Enter into Force

TIRANA, August 24

A new verdict published on the Official Gazette on Thursday unveiled the latest changes to the 1 Euro contracts. The government decided to change to the lease terms for the investors that invest more than Lek 800 million and create more than 500 jobs and attract new types of industries in the country.
The verdict used to specify that the contract term for a surface between 200 and 500 square meters was ten years, while the term for a surface over 500 square meters was 20 years.
The recent changes confirm that €1 leases have a term of 30 years and also the option to renew or extend the term. In the meantime, the lease enfiteuse contracts have a term of 60 years.
Moreover, the verdict defines regulations in specific points related to the investment limit conforming to various sectors, penalties for the cases when the investor fails to meet the points specified in the contract, etc.
In the meantime, the verdict sections the right of privatization for the subjects that make investments equal to 150 percent of the facility and land value or 750 percent in more complex situations. The investor can also make a request to purchase the land.
Source: The Official Gazette, Issue 124


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