ARBITRARY SETTLEMENT (L.4014/2011)

The process of settling the arbitrary, based on the new regulations of the Ministry of Environment, N4014/2011, takes place in two phases. Excluded are buildings built in forests, coastal and beach zones, public areas, streams, archaeological zones, as well as illegal additions to listed buildings.

The first phase started on October 1, 2011 and will be completed by January 31, 2013. The submission of supporting documents is only done electronically, through an application provided by the TEE and with the help of an engineer.

About one million freehold owners must file the following:

1. Application by which the freehold owner accepts the subjection of his property to the new measures.
2. Parabola with the payment of the amount due in favor of the State. Its height is determined according to the surface of the illegal building. The amount is offset against the corresponding fine, which will be paid afterwards.
3. Form with which the fine for the arbitrary building will be calculated. Theoretically, it is 15% of the zone price of the area, but decreasing or even increasing coefficients are foreseen which in some cases reach more than doubling the debt, such as e.g. off plan property, without building permit.

The second phase starts four months after the initial declaration is submitted and the owner has to proceed with the help of an engineer. His fee is a product of free negotiation with the client in accordance with Law 3919/2011.

The new folder should contain:

1 Responsible statement in duplicate with all the details of the owner, such as VAT number, DOU, building permit number and year of issue if any. Illegal square footage, property use and construction completion will also be reported.
2. Copy of E-9, from which the time of construction will be certified. It will also be documented that the arbitrary is the main and only residence of the owner, in order to have a reduction of the corresponding fine by 50%.
3. Technical report drawn up by the engineer, in which all the elements of the arbitrariness will be described.
4. Topographic diagram of the plot with geographical coordinates that will precisely determine its location. Especially for properties within the plan, an extract of the layout plan is also submitted.

After checking the above information, there is the phase of paying the fine. The first installment is paid within three months and the amount is repaid in installments within 46 months. If paid in one lump sum, a 20% discount is provided. If 30% of the fine has been paid by 31/1/2013, a 10% discount is provided. If, after deducting the tax, the debt is less than 400 euros, then the amount is paid once and without discount. Late payment of installments is charged with an additional 1% per month. Arbitrary that will not be declared are deemed to be demolished and are charged with an erection fine equal to 30% of the zone price. They will also pay 5% of the fine for each year that elapses from the construction to the demolition of the building. Those who submit a declaration but do not complete the process will have the same burden