26. 10. 2017

Would you like to divide your plot of land and donate parts to your children or sell them separately? We wrote this guide which follows you through all necessary steps. The whole proceeding can be successfully finished within 9 – 12 weeks in the case of no major complication occurs.


Division of land as an investment

We deal a lot with states bodies in our real estate and investment praxis in compliance with division of land. Successfully, we use an interesting investing strategy when we buy an extensive building site and then divide it into smaller parts which can be sold much more profitably. The rule that the smaller apartment the bigger price for every m2 is in fact also true here.

For example: in project http://www.uzlatehoberanka.cz/ was m2 of studio (23 m2) sold for 99,000 CZK nevertheless m2 of apartment with 2 bedrooms (49 m2) in the same floor was sold for “only” 80,000 CZK. That is also one of the reasons why are being built or transformed the old and big apartments with 4 bedrooms into much smaller studios.

Similar, is it also with the building sites. We are able, thanks to divisions on the smaller plots of land, achieve much higher return on investment within a short time span. The whole proceeding of division is relatively simple. The basis is the geometrical plan which must be handed to the Building Authority, as well as an official request. The division or uniting itself is then done by Cadastre Office.


Which complications can you encounter?

The Building Authority can issue territorial decision, territorial consent, or consent with division or unite of plot of land.

The issuance of the consent with division or unite of a plot of land is relevant when there is no reason for determination of division/unite conditions. From the 1st January 2018 on is the division of land much different than it used to be thanks to the Act No. 225/2017 Coll. which alters the Construction Act, the Cadastre Act and others. It is possible to divide land into single building plots based on the consent of construction office without transfer of ownership rights. That is possible because of the new provision lit. a) § 2 Act No. 256/2016 Coll., the Cadastre Act.



Division of land – procedure

In the following part of the article we will explain you how to divide your land and sell the divided part.


1. Processing a draft of the geometrical plan

The initial geometrical plan is possible to create in a form of cadastre map cut-out with highlighted divided plot of land and highlighted access routes from public area to all divided parts. You can do that just by yourself and free of charge using the cadastral map. Highlight is usually made as a red line; divided parts are described by capital letters and it is advisable to assign them numbers as well. It makes no sense to create a final geometrical plan right now when you can encounter objections of the community or neighbors so consequently the division does not have necessarily go on.

Time: 1 week


2. Building Authority request

Request for issuance of the decision with division or unite of plot of land (download here) hand in together with draft of geometrical plan made according to the previous step to the respective Building Authority. The Building Authority has 30 days to decide, however in practice, it is often much faster.

Time: 2 to 4 weeks


3. Processing of the plan by geodesists

If you already have consent of the Building Authority, you can have final geometrical plan made and have it approved by Cadastre Office. Number of plan is then going to be used in contract of purchase.

Time: approximately 1 week


4. Composition of purchase contract

Plots of land should be in a purchase contract marked as thoroughly as possible in compliance with a geometrical plan. Do not forget to state the number of plan, date, number of new plot of land, surface area, type of land, and next relevant information which clearly identify the plot of land.

Time: approximately 1 week


5. Submit deposit proposal to Cadastre Office

Attachment of proposal must be:

  • respective form (must be filled in by hand because there are not the new plots of land in the website app),
  • 1× contract of purchase with officially certified signatures,
  • geometrical plan,
  • deed proving that you are the owner of the land,
  • consent of the Building Authority,
  • Power of Attorney in case the proposal is not handed by the land’s owner.

Period for the deposit into Cadastre Office is 30 days. The first 20 days are called protective period and the deposit must not be made within this period. Then, usually the deposit is carried out within one week.

Time: 4 up to 5 weeks


The total required time for the division of land should hence be 9 up to 12 weeks.


If you would like to get to know more details about this procedure or would you like to know the best procedure in your case do not hesitate to leave your message below. We would also like to hear from you in case you would like more information about investing in real estate.

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