LITHUANIA Law and Practice Contributed by: Evaldas Klimas and Mantas Lideika, WALLESS
be provided in order to change the relevant data of the construction permit. 4.5 Right of Appeal Against an Authority’s Decision The authority’s decision respecting an applica - tion for permission for development or the car - rying on of a designated use can be appealed to the administrative court or the administrative dispute commissions. 4.6 Agreements With Local or Governmental Authorities The Law on Development of Municipal Infra - structure came into force on 1 January 2021 and provides for the possibility of entering into an agreement under which municipal infrastructure would be developed as part of an implemented project (this is a mandatory requirement in some cases). Municipal infrastructure that is developed by a private developer should be transferred to the municipality. Compensation will be received in five years, but only if the development was per - formed in the territory intended for prioritised development. Compensation may be received from other joining developers, but only if they join that infrastructure in ten years in territories that were not set for prioritised development under master plans. 4.7 Enforcement of Restrictions on Development and Designated Use The restrictions on development or designated use are usually enforced during zoning and plan - ning procedures. Nevertheless, general architectural requirements or cultural heritage requirements, and protected areas’ protection requirements, may be intro -
duced and applied during the pre-design, design or even construction stages.
5. Investment Vehicles 5.1 Types of Entities Available to Investors to Hold Real Estate Assets The following main types of entities are available to investors to hold real estate assets: • a private limited company; • a public limited company; • a personal enterprise (sole proprietorship); • a general partnership; • a limited partnership; • a small partnership; • a European company (Societas Europaea); • a co-operative company; and • an agricultural company. The most common types of investment vehi - cle among both foreign and local investors are the private company (sometimes referred to as a private joint stock company) and the limited partnership. 5.2 Main Features and Tax Implications of the Constitution of Each Type of Entity The private and public limited liability company is a limited liability company where the share - holders’ liability is limited to the amount of share capital that was contributed to those compa - nies. Such companies are governed mainly by the Company Law of the Republic of Lithuania (and other legal acts that are applicable to pub - licly listed limited liability companies). A limited partnership is a legal entity that is formed by at least two members. It has limited liability partners and general partners with no limited liability. An agreement is signed between
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