Real Estate 2024

BRAZIL Law and Practice Contributed by: Mariana Cobra, Janaína Vargas, Mayara Zanini and Marcela Freire, Mattos Filho

4.3 Regulatory Authorities Each municipality has a Housing Secretariat and the Representative Body, which are responsible for regulating the development and designated use of individual parcels of real estate. Please also refer to 4.1 Legislative and Gov- ernmental Controls Applicable to Strategic Planning and Zoning and 4.2 Legislative and Governmental Controls Applicable to Design, Appearance and Method of Construction for the applicable legislation. For parcelling of real estate, certain legal require - ments should be observed, among them, the size and minimum boundaries of the lot and the need of an environmental impact study for projects over 100 hectares. For commercial and residential developments, among other urban parameters, the developer should observe the building height, occupancy rate and the maxi - mum built area allowed. 4.4 Obtaining Entitlements to Develop a New Project Obtaining entitlements for development projects involves initial planning and analysis of local leg - islation, followed by the submission of technical and graphic design to the Housing Secretariat of the Municipality, which will analyse whether the project is within legal parameters and its impacts, and which licences and authorisations will be required. This process also provides an opportunity to know if a project is viable. Depending on the project’s impact, public par - ticipation is mandatory, usually through public hearings, allowing interested parties to express their concerns. Municipal authorities make the final decision, which can be appealed, if neces - sary. Third parties retain the right to participate and raise objections throughout the process if they believe the project could adversely affect

should be applied in the municipal laws. For example, it provides that the parcelling, use and occupation of the land should follow the munici - pality’s planning (“Master Plan”), which is man - datory for municipalities with more than 20,000 inhabitants. The Master Plan should be reviewed at least every ten years to reflect urban growth and development. Therefore, municipalities are authorised to legis - late, issue licences and inspect the compliance of real estate developments with their zoning rules, except for in relation to environmental aspects, which are, in general, under the com - petence of states. 4.2 Legislative and Governmental Controls Applicable to Design, Appearance and Method of Construction Each municipality has its Land Use and Occupa - tion Law, which is the statute that provides rules for land use with the aim of guiding and ordering the growth of municipalities, controlling urban spaces and establishing zoning rules. The Land Use and Occupation Law also gov - erns the design and construction of buildings. These regulations may include requirements for allowances, building height limitations and other construction parameters. The Building Code is the municipal statute that provides for the general and specific rules to be followed in relation to the design, permitting, building and maintenance of buildings. Additionally, the Brazilian Association for Techni - cal Standards has issued standards addressing methodologies and guidelines to standardise construction processes.

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