Samostroy-scam: Thousands of Russians live in illegal high-rise buildings
There are tens of thousands of illegally constructed multi-storey residential buildings in Russia, which are located in several regions of the country. This follows from data from Rosstat and the All-Russian Center for National Construction Policy. Such facilities become a source of many problems, from the safety of residents to difficulties with registering real estate. The Ministry of Construction requires strict control, but experts assess the real causes and consequences of the phenomenon in different ways. Details can be found in the Izvestia article.
Unauthorized multi-storey building: what is it
The Ministry of Construction of Russia recalled that the construction of houses without an appropriate permit is prohibited in Russia, such complexes are considered unauthorized construction and are subject to demolition if they pose a threat to the life and health of citizens.
To legalize such facilities, it is necessary to go through all stages: the development of project documentation, expertise, obtaining construction permits and commissioning. Since 2018, the legislation has been supplemented with norms that allow unauthorized buildings to be brought into line with the rules of land use and urban planning, if possible.
At the same time, local self-government bodies do not have the right to independently make decisions on the demolition or legalization of such a structure if the ownership right is registered or recognized by a court.
Rosstat and the All-Russian Center for National Construction Policy (VTSNSP) record that a significant part of such buildings are concentrated in the Krasnodar Territory, Crimea and the North Caucasus, as well as in Yakutia.
Systemic causes and scale of the problem
Mikhail Viktorov, a member of the Public Council under the Ministry of Construction, notes that unauthorized multi—storey construction is a systemic problem that can be explained by several factors at once.
— Firstly, there are gaps in control at the early stages: often the facility begins to be built without proper expertise and approvals, and the supervisory authorities are involved already when the building is actually built. Secondly, in many regions, such projects become part of "gray" profit-making schemes, and developers deliberately commit violations, hoping to legitimize the object after the fact through the courts or administrative mechanisms. Therefore, in some cases we can really talk about signs of fraud or corruption," he notes.
Izvestia sent inquiries to the Prosecutor General's Office, the Supreme Court, and the All-Russian Center for National Construction Policy.
Danger to residents and the rights of owners
Vladimir Vinogradov, architect and CEO of Pro-Vision Communications, points out that newly built houses can be dangerous both for residents and for the real estate market as a whole. This risk increases especially in the case of emergencies and natural disasters, which are not uncommon in southern Russia.
— These self-buildings do not undergo proper examination, do not comply with building standards and safety standards. According to Rosstat, in 2022 alone, more than 40 thousand illegal apartment buildings were identified in Russia, which is about 10% of the total housing stock, the expert explains.
According to him, residents often do not have official rights to apartments.: According to estimates by the Ministry of Construction, about 30% of such facilities are put into operation through forged permits or fictitious documents, which increases the risk of collapses, fires and emergencies. As a result, according to the Ministry of Emergency Situations, over the past five years, more than 200 accidents with victims have occurred in illegal high-rise buildings.
— The cost of housing in Samostroy is usually significantly, 2-3 times lower than the market price, which attracts people with disabilities. For example, in Moscow, the average price per 1 sq.m. The cost of legal new buildings is about 250-300 thousand rubles, and in illegal buildings — 80-120 thousand," the expert clarifies. The reason is that the developer does not spend money on design and state expertise.
Despite the low price, such apartments often do not have legal protection: according to Rosreestr, about 25% of their transactions are invalid, and the owners risk losing their homes or facing serious problems when registering their rights. In the long term, according to expert estimates, about 40% of such facilities may be considered illegal and subject to demolition, which makes investments in them extremely risky.
Anton Glushkov, President of the National Association of Builders (NOSTROI), clarifies that unscrupulous developers have several schemes.
— Most often they get land for residential housing, where a maximum of 2-3 floors are allowed, but they build multi-storey buildings. Subsequently, buyers are already trying to legitimize ownership of their homes through the courts. It happens that a house of three floors is indicated in the project, but more floors are being built on top of it and they are trying to commission it through the court. Sometimes such construction begins in an open field, and it becomes impossible to connect communications," the expert clarifies.
There is already a federal register of unauthorized construction sites in Russia. To prevent the emergence of new illegal high-rise buildings, experts suggest using regional construction supervision and identifying discrepancies between the declared object and the one actually planned at the foundation stage. NOSTRA, together with the efforts of self-regulatory organizations in the regions, can contribute to this.
Legal implications and regulations
Vitaliya Merkulova, a member of the Federal Chamber of Lawyers of Russia, points out that the problem of illegal construction has remained relevant for many years.
— The reason for their appearance is the lack of public administration and control by authorized state authorities and local governments, as well as the current system of legal responsibility for illegal construction, — the lawyer believes.
At the moment, the construction of self-construction is one of the administrative offenses, which is punishable by a fine and (or) suspension of activities. Moreover, the amount of the fine is clearly disproportionate to the developer's income from the sale of apartments.
Legal conflicts and the role of courts
Regina Gilmanova, an expert at the Moscow State Law Institute's Department of Family and Housing Law, adds that almost always illegal construction was carried out with the connivance and unofficial consent of local authorities.: without this, it is necessary to obtain technical conditions for connecting communications.
It is not uncommon for an illegally built house to be legalized first through a court, and years later the decision is reviewed and the house is recognized as subject to demolition. In this case, residents become "deceived shareholders."
The quality of construction, according to the expert, varies: large companies try to maintain the standard, while smaller companies build frankly substandard buildings.
The big picture: expert assessments and actions in the region
According to Leonid Losin, an employee of the Institute of Regional Economics of the Russian Academy of Sciences, the building does not always become self-building due to fraud on the part of the company. This may be a discrepancy between the current legislation and the changes, or the illegal issuance of permits. Each case must be considered individually, the expert is sure.
Anton Moroz, Vice President of NOSTRA, emphasizes that in small towns the risk of encountering such houses is higher.
Nikolai Kichigin, a specialist at the Institute of Legislation under the Government of the Russian Federation, notes that the fight against self-construction is effective at the construction stage, when the facility has not yet been erected and municipal land control is possible.
General Director of the Rating Agency of the Construction Complex (RASK), expert of the Popular Front. Analyst" Fedor Vylomov is confident that the situation with Samostroi has changed for the better in recent years, and mechanisms have emerged to limit new problematic facilities, such as moratoriums and restrictions on project financing.
Evgeny Proskurin, a member of the governing council of the Russian Guild of Realtors, clarifies that in the southern regions of the Russian Federation, as well as in resort areas abroad, buildings are often built under the guise of individual houses, but in fact they are operated as apartment buildings or guest houses. Such schemes are associated with tax minimization and terrain difficulties, which makes it difficult to monitor and identify such objects.
According to him, more than a hundred unauthorized construction sites have been demolished in Sochi in recent years, and more than 600 more are in court proceedings. Examinations on 13 problematic houses are being prepared, and if they are recognized as safe, a precedent will be set for the legalization of such buildings through the courts.
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