How Is an Urban Transformation Decision Taken for a Risky Building?

In a country that lives with the reality of earthquakes, renewing risky buildings is vitally important. However, questions like "does everyone have to approve the demolition and reconstruction of the building" or "can one dissenter stop the process" often leave unit owners at an impasse. Urban transformation is governed by a special law, distinct from the Condominium Ownership Law. In this article we explain the transformation process in a risky building.

Urban transformation is governed by a different law

The management of an ordinary building is subject to the Condominium Ownership Law. However, the transformation of risky buildings is carried out under Law No. 6306 on the Transformation of Areas under Disaster Risk. This special law provides a more flexible decision mechanism, different from the ordinary condominium rules, in order to make the rapid renewal of buildings against disaster risks such as earthquakes easier.

First step: risky building assessment

The process begins with a determination that the building is risky. Any owner may apply to a licensed institution and have a risky building assessment carried out. If the inspection finds the building to be risky, this finding is notified to the relevant administration and annotated on the land registry. The risky building assessment is the formal beginning of the transformation process.

• The application of a single owner is sufficient for the assessment.
• The inspection is carried out by licensed institutions.
• A building found to be risky is annotated on the land registry.

The majority required for the decision

The most critical point in urban transformation is the decision majority. While serious structural decisions in ordinary condominium ownership require very high majorities, Law No. 6306 has made this easier. In a building found to be risky, decisions such as demolition and reconstruction can be taken by a two-thirds majority of the owners in proportion to their shares. That is, the unanimity of all owners is not required; a two-thirds majority is enough.

What happens to a dissenting owner?

The situation of owners who do not join the decision taken by the two-thirds majority is also regulated by the law. The independent units of the dissenters are dealt with within the procedure provided by law; the process is set up to prevent a minority of owners from obstructing the transformation. This arrangement prevents a single owner from blocking the renewal of the entire building.

Points to bear in mind in the process

Urban transformation is a complex process both technically and legally. Errors in matters such as the risky building assessment, contracts with the contractor, right-holder status and share allocation can have difficult-to-remedy consequences. It is therefore highly important to obtain expert support at every stage of the process and to document decisions in writing and in accordance with the applicable procedure.

Summary: Urban transformation in a risky building is carried out under Law No. 6306, distinct from the Condominium Ownership Law. The process starts with a risky building assessment (which any owner may initiate) and the demolition-reconstruction decision can be taken by a two-thirds majority of the owners in proportion to their shares. The status of dissenters is regulated by law. For condominium and structural matters, see our blog guides, and keep your building management organised with our digital tools.

Frequently Asked Questions

Is the approval of all owners required for urban transformation?
No. In a building found to be risky, the demolition and reconstruction decision can be taken by a two-thirds majority of the owners in proportion to their shares; unanimity is not required.

Who can commission the risky building assessment?
Any single owner may apply on their own to a licensed institution and have a risky building assessment carried out for the building.

Can a dissenting owner stop the transformation?
No. The law is set up to prevent minority owners from obstructing the process; their status is dealt with under the statutory procedure.

Related content

In connection with this topic, our articles on alterations in an independent unit and which permits, how many votes are required to change a common area and the duty to maintain and protect the main property cover the subject in more detail.

This content is for general information only and does not constitute legal advice. For your specific situation, please consult a lawyer.