BELGIUM Law and Practice Contributed by: Pieter Puelinckx, Yves Moreau, Donald Krols and Astrid Laga, Linklaters
1. General 1.1 Main Sources of Law
• the Code of Companies and Associations; • the law of 11 February 2013 organising the Profession of Real Estate Agents; • the law of 12 May 2014, on Belgian Real Estate Investment Trusts (B-REITs); • the Code of Companies and Associations; • the law of 19 April 2014 on alternative invest - ment funds and their managers, and the related decree of 9 November 2016 on the Belgian SREIF (Specialised Real Estate Investment Fund); and • the Code of Economic Law. 1.2 Main Market Trends and Deals In 2024, Belgium’s real estate market faced ongoing economic challenges due to geopo - litical uncertainties. However, a critical turning point occurred when central banks began cutting interest rates in June 2024. This move positively influenced market sentiment and lifted investor confidence. As a result, Belgium’s inflation rate decreased to 3.2% in October and November 2024, with forecasts suggesting a further decline to 1.5% in 2025. The global capital market was generally stag - nant, and Belgium mirrored this trend. Despite the improved conditions from the interest rate cuts, buyers remained cautious, preferring to delay early acquisitions until prices stabilised. Sellers, on the other hand, hesitated to accept lower valuations unless immediate liquidity was needed. Yet, notable transactions, including the European Commission’s building sales, have supported investment figures. The following economic factors should also be noted. • Rise of non-conventional assets – real estate segments such as data centres and student housing are attracting increasing interest. The
The primary sources of law in Belgium are legis - lation, case law, doctrine and customs. Regard - ing real estate specifically, the below considera - tions are to be taken into account. Belgian real estate law is structured under a dual framework: • at the federal level, by the Civil Code, which is undergoing recodification; and • at the regional level, where legislative authori - ties can enact laws. In civil law, the Civil Code governs, notably, property rights (Book 3), contractual obligations (Book 5), and general tenancy agreements. Retail leases are mainly regulated by the Retail Lease Act of 30 April 1951 and regional decrees. Resi - dential leases are also regulated at the regional level. Finally, the provisions concerning special con - tracts (such as sale, lease, mandate, loan, and service contracts) are being comprehensively revised, which will eventually form Book 7. Adoption is expected in late 2025, with imple - mentation planned for 2026. Public real estate law, covering zoning, planning, and environmental legislation, is primarily man - aged by regional and local authorities. Real estate taxation is divided between the fed - eral state (Income Tax Code and VAT Code) and the regions (notably transfer tax). Additional legal sources impacting real estate practice include:
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