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22 May 2022 INSIDER • GOAL • IN-CYPRUS • PROPERTY • CYPRUS-IS • CAREER LIKE • GOING OUT • XRYSES SYNTAGES • ACTIVE • PHILGROUP NEWS & nbsp; SOCIETY & nbsp; INSIDER & nbsp; OPINIONS & nbsp; GOING OUT & nbsp; CULTURE & nbsp; SPORTS & nbsp; AUTO & nbsp; GOOD LIFE & nbsp; USEFUL & nbsp; PRINTED EDITION & nbsp;
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& nbsp & nbspVassos Vassiliou & nbsp; & nbsp;
Turkish Cypriot properties in areas where rents are high will be available for development with offers, while the game of exploitation also includes non-refugees, especially when no interest has been shown by refugees. These cases also include properties whose repair requires large sums of money. & Nbsp;
The above are included in the new approach of the Ministry of Interior for “modernization, management and definition of disposal criteria of t/Cypriot property, which covers 10.4% of the territory of the Republic-controlled areas. “& nbsp;
According to a recent presentation of the plan, among other things, real estate will be utilized and restored and the investment by individuals will be recognized and its amortization will be ensured. & Nbsp;
READ ALSO: & nbsp; Misunderstanding of services for Turkish Cypriots
In addition, a system of eligibility and scoring of applicants is introduced and the distribution of premises or land is linked to the applicant's property in the occupied territories. The financial adequacy of the applicant to utilize the property he is requesting is also taken into account. & Nbsp;
The suggestion to take responsibility for ensuring the static adequacy, maintenance and safety of the home by the tenants is also considered important, something that will apply to the new contracts. & Nbsp; & nbsp; & nbsp; & nbsp;
To be eligible for housing, at least one member of the family must be a refugee and the family real estate in the Democracy-controlled areas will be taken into account. Income criteria will also be taken into account. In addition, the applicant or members of his family must not have been deprived of or benefited from the Compensation Committee of the Occupied Territories. & nbsp;
The above are some of the measures that are recorded in more detail below and are promoted after decades of mismanagement of Turkish Cypriot property, which at times reached the limits of looting that benefited individuals to the detriment of taxpayers, who strengthened annually the management fund with about € 8 million. The aim is to modernize the management of Turkish Cypriot assets by differentiating their disposal criteria. & nbsp;
However, the fact that they are already largely exploited by refugees, who live in about 5,000 Turkish Cypriot homes, but also the fact that almost all of them are exploited, through lease agreements, shows that miracles can not be done, although with the expiration of existing contracts the assets can change hands, until the Cyprus issue is resolved, if and if it is terminated, and over time to increase the revenue of the public, which maintains these assets. & nbsp;
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Recently, presenting the new approach of the government, the Minister of Interior, Nikos Nouris, captured the prevailing situation by highlighting: & nbsp;
& gt; & gt; The weaknesses/inadequacies of the existing model of management and concession of Turkish Cypriot assets. & nbsp;
& gt; & gt; The need for legislation to address a range of issues related to the management of these assets. & nbsp;
& gt; & gt; The presentation of a comprehensive package of suggestions and proposals for the modernization of the management and their disposal criteria. & Nbsp;
As it appears from the presentation, the number of contracts concerning the Turkish Cypriot properties amounts to 20,621. Their value (based on the value of the General Land Registry of 2018) is estimated at approximately € 6.1 billion. The total annual rent of T/C Properties based on the budget of the T/C Property Management Fund is approximately € 5.05 million . (for 2021). & nbsp;
These properties, by category, consist of: & nbsp;
* 23% are permanent homes. & Nbsp;
* 6% holiday homes. & Nbsp;
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* 14% commercial real estate.
* 43% agricultural lot.
Regarding the arrears to the Management Fund, in 2018 they reached € 8,597,379, the 2019 & nbsp; € 18,512,900 and in 2021 € 8,304,953. & Nbsp;
Most of the revenue collected comes from rents of commercial premises (open space rents and rental of Vakufik properties).
Debts to the Fund are estimated to exceed € 8 million in recent years, demonstrating, according to the information, the shortcomings of the computer system and the insufficient organization and staffing of the Management Service. & nbsp;
According to the information, the total revenue in 2019 amounted to € 14,470,776 of which the net revenue was € 8,070,776 while € 6,400,000 was a government sponsorship. In 2020 the total revenue was € 14,946,128 of which the net revenue was € 7,596,128 and the government sponsorship € 7,350,000. In 2021 the total revenues amounted to € 16.031.501 of which € 8.5311.501 were net revenues and 7.500.000 state sponsorship. & Nbsp;
Main findings of KPMG & nbsp; b A study by KPMG on the current state of the property showed that: & nbsp;
The rent received is disproportionately low in relation to the amount of rent laid down by law. & nbsp;
-The majority of the buildings are in poor condition, mainly due to old age and insufficient management. & Nbsp;
Regarding the current situation of T/C Property Management Service, the following results: Weaknesses of the Computer System. . & nbsp;
-Problems of organizational structure and understaffing of the Service. & nbsp;
– Absence of a structured framework for staff training. & nbsp;
For the Turkish Cypriot Property Management Service itself, the following assumptions arise: & nbsp;
-Absence of a meritocratic institutional framework for the fair and equal treatment of the beneficiaries. & nbsp;
-Violation of the terms of the contracts by existing tenants of T/C properties. p> – Non-recognition of the right of inheritance to legal owners of T/C properties. & nbsp;
– Non-rational use of T/C assets granted for professional purposes. & Nbsp;
– Inability to select eligible applicants with clear, objective and measurable criteria. & Nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp ; & nbsp;
Legislative management framework
The Legislative framework governing the management of T/C assets, their concession procedures, the competent bodies (Advisory Committee/Special Committees) and their responsibilities are as follows: & nbsp;
-On the management of T/C assets Law 139 (1) 91 until 2018. & nbsp;
-The On T/C Assets (Management and Other Issues) (Provisional Provisions) Regulations of 1993 to 2003. & nbsp;
At the same time, it is noted that the Law of 1991 and the regulations that were adopted, it is generally accepted that they did not lead to the required rationalization of the management of T/C assets. & nbsp;
Appropriate actions & nbsp;
The arrangements promoted by the government include the modernization of the financial management of Turkish Cypriot assets and the operation of the relevant department. At the same time, the rationalization of the concession procedures is promoted, the rational utilization of the Turkish Cypriot properties and especially those located in special areas. It is also proposed to introduce new laws and regulations for the proper management of Turkish Cypriot property. & Nbsp;
It also provides for the granting of rights to refugee owners of Turkish Cypriot property. & nbsp;
-Establishment of inheritance rights and transfer of use license of refugees holding T/C residences. & nbsp; & nbsp; & nbsp;
-Taking responsibility for ensuring static adequacy, maintenance and tenant security (will apply to new contracts). & nbsp; & nbsp; & nbsp; & nbsp;
-Concession of non-refugee properties to non-refugees. & Nbsp; & nbsp; & nbsp;
-Legislative regulation of existing practices. & Nbsp; & nbsp; & nbsp; & nbsp;
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-Creation of a more meritocratic system of selection of beneficiaries. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp;
& nbsp; & nbsp; & nbsp; & nbsp; & nbsp;
-Rationalization of rental policy. & nbsp; & nbsp; & nbsp; & nbsp;
-Recognition of an investment by the lessee for restoration/restoration ensuring its amortization. & Nbsp; & nbsp;
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-Introduce a system of eligibility and scoring of applicants with clear, objective and measurable indicators. & nbsp;
-Legislative regulation for categories of employees not covered by existing regulations. & nbsp;
< p>– Interconnection of the available housing with the composition of the applicant's family, so that there is a targeted provision of housing and the needs of the refugees are served more effectively. & Nbsp;
-Connection/Premium of any privately owned property located in the occupied areas . & nbsp;
-Provision of professional housing/Open spaces. & nbsp;
-Introduction of eligibility and scoring system through the introduction of measurable indicators during the evaluation of requests. The financial adequacy of the applicant to finance the cost of his professional activity on the requested T/C property will be taken into account, so as not to burden the Guardian Fund or leave the property unused due to the applicant's inability to develop specific areas, which have special characteristics (Special Areas) in which the concession of properties will be done through an auction. & nbsp;
-Introduction of an eligibility and scoring system when evaluating applications for agricultural land concessions.
-Interconnection and premium of the property of the applicant located in the occupied with the area of land granted to him. & nbsp;
-The lease of plots of land for agricultural use in companies that already have a share affected plot of land in a new housing context. & nbsp;
The measures include the definition of a ceiling on the area of c/c land that will be granted to beneficiaries for agricultural use. & Nbsp;
& gt; & gt; Concession by auction & nbsp;
A new form of concession of property is introduced (bidding), which are located in specific areas with special urban, economic, commercial and/or other characteristics. & nbsp;
These areas will be characterized as special, upon the recommendation of the Director of the Department of Urban Planning and Housing to the Guardian of T/C Properties, based on the specific urban, economic, commercial and/or other characteristics of each area. & Nbsp;
According to the text of the presentation, the introduction of this arrangement will contribute to: & nbsp;
1. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; rational management of high value assets (based on the economic/commercial and/or other environment of the area). & nbsp;
2. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; in reducing the costs that the Guardian bears today for the support and maintenance of t/c properties that remain unavailable due to the high costs required for their full restoration. & Nbsp;
3. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; in the development of land located in central geographical points for the benefit of the whole region. & nbsp;
4. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; creating new growth/business opportunities for eligible refugees. & nbsp;
5. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; in the release of the Guardian from the problematic and irrational existing practices of property management. & Nbsp;
6. & nbsp; & nbsp; & nbsp; & nbsp; & nbsp ; & nbsp; to harmonize Guardian's policies with the provisions of the legislation concerning the development of property for the benefit of T/C owners. & nbsp;
& gt; & gt; Determination of rent & nbsp;
< p> The policies promoted for the rationalization of the management of the Turkish Cypriot properties, include: & nbsp;
p>
-Define a single economic policy and streamline the rent-fixing policy to remove existing distortions (especially in agricultural land leasing) and ensure equal treatment of refugees. & nbsp;
-Study studies and projects to ensure the static adequacy of T/C assets. & nbsp;
Implementation of studies and projects to ensure the static adequacy of T/C properties (residences). & Nbsp;
& gt; & gt; Land for farmers and stockbreeders & nbsp;
Regarding the disposal of agricultural land, a suggestion is submitted to be granted to refugees who are engaged in the profession of farmer or breeder. & Nbsp;
Beneficiaries will also include refugees with incomes of households with incomes that do not exceed the reasonable living expenses determined by the relevant service and are owners of land in the occupied areas. & Nbsp;
Beneficiaries will also be non-refugee professional farmers or and farmers whose significant part of their agricultural land has been occupied or is inaccessible due to the Turkish invasion. & nbsp;
& gt; & gt; Expected benefits & nbsp;
From The implementation of the new policy is expected to bring the following benefits: in other refugee programs. & nbsp;
-Strengthening transparency, meritocracy and equality for the benefit of both refugees and society at large. of the Fund's finances (eg increase of revenue of the Fund and therefore a greater benefit for the refugees as a whole).
