BAHAMAS Law and Practice Contributed by: Alistair Chisnall and Erica Paine, Graham Thompson
co), Six Senses Spa (Grand Bahama), Briland Club (Harbour Island), Four Seasons (Paradise Island), and additional phases of construction for other established development projects (as such as GoldWynn Resort & Residences, Aqualina, and Albany Resort). Impact of Disruptive Technologies Real estate purchasers and developers have taken a guarded approach to the introduction of digital or decentralised purchase and finance technologies, and continue to approach transac - tion structuring through very conservative and long-established practices. Although The Baha - mas government has sought to encourage the use of a new digital currency, “Sand Dollar” , the public and local businesses have been slow to embrace and utilise the new technology. 1.3 Proposals for Reform The current government administration has repeatedly emphasised the importance of improving the “ease of doing business” as a pri - ority and in keeping with such initiatives, numer - ous governmental departments have adopted online portals for processing of applicant mat - ters, online payment systems, and other meas - ures to enhance the efficiency of operations and daily business. Dwarfing such operational initiatives in its importance and potential seismic effect, and with great anticipation, The Bahamas govern - ment has continued to prioritise the efforts to overhaul the conveyancing laws in the country and, in close collaboration with the Land Reform Committee and based on its recommendations, has decided to move toward the adoption of systematically adjudicating all title to land in The Bahamas and establishing a Land Registry and registered land system. A Land Adjudication Bill and a Registered Land Bill have now been pre -
pared and circulated by The Bahamas govern - ment, and it is anticipated that the Bills will be tabled before parliament by mid-year with a view to be enacted as a matter of priority. 2. Sale and Purchase 2.1 Categories of Property Rights Real estate can be held as freehold title absolute or leasehold. 2.2 Laws Applicable to Transfer of Title In The Bahamas, the Conveyancing and Law of Property Act, 1909, principally governs the determination of title to real property and con - veyancing transactions. The title to condomin - ium units is governed by the Law of Property and Conveyancing (Condominium) Act, 1965 (as amended). The laws applicable to transfer of title do not vary between commercial and residential properties, but certain acquisitions by non-Bahamians would require prior govern - ment approval (see 2.11 Legal Restrictions on Foreign Investors ). 2.3 Effecting Lawful and Proper Transfer of Title The transfer of title must be effected in writing and is done by deed. Electronic signatures are not permitted for the conveyance of real prop - erty and strict formalities must be complied with requiring original wet signatures, notarisation and (often) further authentication. Once completed, the deed must be stamped by the Department of Inland Revenue, and any applicable taxes on the transaction must be paid. Every deed must include the real property tax assessment number on the front page when submitted for stamp - ing. Any outstanding real property taxes due in respect of a property to which a deed relates
98
CHAMBERS.COM
Powered by FlippingBook