Sub-Decree No. 114 ANKr.BK on the Mortgage and Transfer of the Rights Over a Long-Term Lease or an Economic Land Concession.

The purpose of this Sub-Decree is to determine principles and terms and conditions for granting rights to investors to put up as security and transfer of rights over a long-term lease or an economic land concession during the period of time not exceeding the prescribed period in the long-term lease or the economic land concession agreement. A mortgage or transfer of rights shall not extend to the mortgage or the transfer of the concessionary land or the long-term leased land that the investor receives from the State. The investor cannot transfer or mortgage the rights over an economic land concession which has not been developed in conformity with the conditions of the economic land concession agreement. A land concession is the legal right granted in a legal document issued by a competent authority to occupy a land and to exercise the rights thereon in accordance with specific terms and condition. A land concession can only create rights for the period specified in the agreement establishing such economic land concession. The right over land concession cannot create ownership on the conceded land for the benefit of the concessionaire. Only immovable property registered in the Master Land Register can be subject of a concession or long-term lease. The land concession or long-term lease shall be mentioned on the land title certificate at the Ministry of Land Management, Urban Planning and Construction. The Ministry of Land Management, Urban Planning and Construction shall issue “Certificates of long-term lease” and “Certificates of economic land concession”.