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03 March 2021
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Impact of the Coronavirus Measures on the Real Estate Sector in CEE

Since the outbreak of the coronavirus pandemic, restrictions affecting the real estate sector have been introduced in all countries of Central and Eastern Europe. These emergency measures have been present in our daily lives for nearly a year and have had a serious impact.

In all of CEE, apart from the Balkan countries, Ukraine and part of Romania, restaurants and bars are closed and only serve for takeaway or home delivery. In several Balkan countries, as well as in Poland, Ukraine, Moldova and Turkey, hotels are open not only to business travellers but also to private guests. In most CEE countries, private gatherings at home are also limited, usually by restricting the maximum number of participants.

Extraordinary measures to protect tenants have persisted only in Austria, Hungary, Poland, Slovakia and Slovenia. Montenegro is the only country in the region to have banned the rental of residential property for business purposes to more than two people (except if they are family members). At the same time, the legal systems of each country still allow tenants to seek judicial redress. In Austria, Serbia and Turkey, court judgments protecting tenants appeared in the first instance, finding that the exceptional restrictions due to the coronavirus equated to an event of force majeure entitling the tenant to waive or reduce the rent.


Measures combatting the consequences of COVID-19 in CEE and affecting the real estate sector – status as of 16 February 2021

See the full country-specific overviews below - click to enfold the respective chapter:

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • There is a curfew between 8:00 pm and 6:00 am. Exceptions from the curfew are (i) support of sick and elderly people, (ii) purchasing goods for daily needs, (iii) walking / outdoor sports for physical recreation, (iv) necessary work which cannot be done from home (including travelling to work and back home), and (v) contact to close contact persons.
  • Besides the curfew, there is an obligation to wear higher standard masks (FFP2) in all public indoor spaces like stores, churches, courts, authorities and in outdoor markets; in vehicles used for public transport, in cars if you are travelling with persons from another household, in health and social institutions, and to maintain physical distance of at least 2 m from other people.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted and work from home is recommended; however, offices operate at a usage rate of around 50 %. It is obligatory to wear masks and to maintain physical distance of 2 m in offices with more than one person in the room.
  • Hotels are open for guests in relation to unavoidable and adequately verified business. In this respect it is possible to use the bar/restaurant of the hotel. The wearing of higher standard masks (FFP2) and distance obligations apply.
  • Restaurants are closed; only takeaway and delivery is possible.
  • Indoor sports are prohibited for amateurs.
  • Commercial units are open but must close at 7:00 pm (until 6:00 am) due to the curfew. The wearing of higher standard masks (FFP2) and distance obligations apply. Only one customer per 20 m2 (for services requiring close contact, like massage, hairdresser, the customer must also have a negative test not older than 48 hours and there may only be one customer per 10 m2).
  • The use of logistics centres is not affected. However, if the minimum distance of 2 m cannot be maintained, the employees must have a negative test every seven days or wear a higher standard mask (FFP2).
  • With respect to residential properties, only visits by one person from another household are permitted

Have events been closed?

  • The assembly of people is generally prohibited. All cultural and amateur sporting events are banned, professional sporting events may take place without spectators.
  • Museums and zoos have been allowed to open again since 8 February 2021, but must keep the same precautions as shops.
  • A maximum of 50 people can participate in funerals.
  • A maximum of one adult can meet with two people from one other household in residential properties.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There is a moratorium for Q2 2020 rent for residential properties until 31 March 2021.

Payment moratorium on mortgages affecting real estate financing

  • For consumers there is a 10-month payment moratorium on mortgages due until January 2021.

Protection against enforcement

  • Evictions of residential properties are restricted.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures described for offices above. In practice, all construction sites are currently operational.

Deadlines

  • The rules change practically from week to week. The current rules are in force.

Case law on the coronavirus crisis affecting the real estate sector

  • There are at least two first-instance decisions that the tenant is entitled to reduce the rent to zero if it has been forced to close the customer area of the shop due to governmental lockdown measures.

This overview includes the measures related to real estate and recommendations adopted at each state level of Bosnia and Herzegovina, the Federation of Bosnia and Herzegovina ("FBiH") and Republic Srpska ("RS").

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • There is a curfew between 11:00 pm and 5:00 am in FBiH. An exception to the curfew are persons with special permission, including employees and state officials such as firefighters, police officers and medical staff. No curfew imposed in RS.
  • Obligation to wear masks outdoors, in stores, public traffic, shopping centres, health and social institutions, etc.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not prohibited, but all office premises, commercial units and logistics centres may operate only if applying the health and safety measures, e.g. cleaning, disinfection and ventilation.
  • Meetings with a large number of participants should not be held in offices. If a meeting is necessary, it is obligatory to ensure a spacious meeting room, a distance of 1 to 2 m between the participants, and necessary health equipment (e.g. masks).
  • Restaurants, other food serving businesses and coffee shops are allowed to operate with limited working hours: from 6:00 am to 10:00 pm in RS and from 5:00 am to 11:00 pm (in line with the curfews) in FBiH.
  • Hotels are open for guests.

Have events been closed?

  • Public gatherings are limited to 30 people in FBiH and to 50 people in RS, while private gatherings in RS are additionally limited to 10 people. In all gatherings, social distance of at least 2 m must be maintained.
  • All sporting events are allowed, but without the presence of spectators (some local governments in FBiH allowed for an exception).
  • Movie theatres and other cultural facilities are allowed to organise public events, but with a limit to 70 people in FBiH and 50 people in RS. Health and safety measures apply.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There are no specific measures in place concerning lease agreements.

 Payment moratorium on mortgages affecting real estate financing

  • A moratorium on all (re)payments under bank loan agreements (including loans secured by mortgages) is in place as a single measure for a period of six months and for 12 months when combined with other measures. However, the deadline to apply for the measure lapsed on 31 December 2020 and has not been extended.

Protection against enforcement

  • There are no specific restriction measures adopted to protect against enforcement.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. Construction sites are currently operational.

Deadlines

  • The state of accident/emergency has been terminated in both FBiH and RS.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • The state of emergency in Bulgaria was extended.
  • During the state of emergency there are currently no curfews.
  • There is an obligation to wear masks at all hours in stores, public traffic, shopping centres, health and social institutions and places open to the public as well as in public areas in cities with a population over 10,000, designated by the local municipality.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted; however, offices operate at a usage rate of around 50 %. Based on the house rules it is obligatory to wear masks and to maintain physical distancing in almost every office.
  • Hotels are open. Mask wearing and physical distancing apply.
  • Restaurants are open only in hotels and only for hotel guests. Other restaurants are open only for takeaway and home delivery.
  • Commercial units are open. A mask wearing obligation applies.
  • The use of logistics centres and residential properties is not affected by the state of emergency.

Have events been closed?

  • The assembly of people is not encouraged but also not expressly prohibited. Sporting events are held behind closed doors, theatres are operating at 30 % capacity.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There are no special rules under the legislation related to COVID-19.

Payment moratorium on mortgages affecting real estate financing

  • A moratorium on payment of bank loans may be requested until 23 March 2021.

Protection against enforcement

  • There are no special rules providing for protection against enforcement currently due to COVID-19.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The state of emergency expires on 13 May 2021, unless prolonged by the Parliament.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • The state of emergency was extended until 15 February 2021.
  • There are currently no curfews.
  • There is an obligation to wear masks at all hours in stores, public traffic, shopping centres, health and social institutions and places open to the public, obligation to maintain physical distance of at least 1.5 m.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted, work from home is recommended but not mandatory. It is obligatory to wear masks and to maintain physical distance in almost every office.
  • Hotels are open, provided that special health and safety measures are observed. Maintaining a physical distance of at least 1.5 m and wearing masks is obligatory.
  • Restaurants are open only in hotels and only for hotel guests. Other restaurants are open only for takeaway and home delivery.
  • Coffee shops, bars, fitness centres and casinos are prohibited from operating. Retail shops and services continue to operate (such as food stores, pharmacies, medical supplies, banks, post offices, gas stations), but have altered working hours and restrictions on the number of customers admitted at one time.
  • The use of logistics centres is not affected by the state of emergency.
  • A maximum of 10 people from at most two different households can be present at private gatherings in residential properties.

Have events been closed?

  • A maximum of 25 people may be present at public events and gatherings. All public events must end by 10:00 pm.
  • A maximum of 25 people may attend funerals. Mask wearing and physical distancing are obligatory.
  • All sports competitions are prohibited except for 1st and 2nd category on a national level. Competitions and practices may be held behind closed doors with no spectators and while complying with all epidemiological measures. The prohibition does not apply to water sports and non-contact individual sports.
  • Theatres, public libraries and museums are open, but with a restricted number of visitors.
  • Public fairs, tourist events and artistic performances are prohibited.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There are no special rules under the legislation related to COVID-19.

Payment moratorium on mortgages affecting real estate financing

  • Banks have offered a moratorium on mortgages for entrepreneurs whose business is affected by the coronavirus for minimum of three months. Requests are filed through the Croatian Financial Agency. Banks prescribe different conditions and possibilities for repayment.
  • The respective measure is also applied to citizens who are severely affected by the effects of the coronavirus crisis (loss of employment, salary reduction, etc.). Banks offer a moratorium period between three and six months.

Protection against enforcement

  • The new Enforcement Act prescribes that enforcement for the purpose of vacating and handing over real estate will not be carried out from 1 November 2020 to 1 April 2021 against a natural person who does not perform a certain registered activity and a natural person who performs a certain registered activity, if enforcement is not carried out in connection with that activity. As the pandemic led to a reduction in economic activity, which inevitably led to work losses and a reduction in the ability of citizens to meet their regular obligations, legislative intervention was necessary to preserve the existential security of citizens and economic activity.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed while complying with safety measures prescribed by the Croatian Chamber of Civil Engineering (e.g. maintain a minimum physical distance of 1 m, divide workers into separate groups, decrease the number of meetings to a minimum or ensure that they are held outside, etc.).

Deadlines

  • The state of emergency expires on 15 February 2021 and is expected to be prolonged, but with gradual relaxation of some measures depending on the number of infected people.
  • There is no specific governmental action regarding deadlines affecting land registry procedures.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available affecting the real estate sector as of now.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • The state of emergency was extended up to 14 February 2021.
  • There is a curfew between 9:00 pm and 5:00 am. Exceptions are (i) working (including travelling from and to home), (ii) performing activities to ensure security, protection of health, services for residents, incl. deliveries, (iii) journeys for the purpose of protecting life, health, property or other legally protected interests, (iv) walking with dogs up to 500 m from the place of residence, and (v) journeys back to the place of residence.
  • There is a prohibition of free movement between 5:00 am and 9:00 pm. Exceptions are (i) journeys to and from work, (ii) essential journeys to visit family members or close persons, (iii) essential journeys for purchasing goods and services or providing services and essential needs (e.g. provision of care, volunteer work), (iv) journeys to healthcare, social services and veterinary facilities, (v) performing activities to ensure security, protection of health, services for residents, incl. deliveries, and (vi) walking / outdoor sports for physical recreation.
  • There is a limit of a maximum of two people in publicly accessible places (excluding household members, employees, pupils and students).
  • Mask wearing is obligatory in stores, public transportation, shopping centres, health and social facilities and places open to the public as well as in public areas, if a physical distance of 2 m between people cannot be maintained.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted; however, offices operate at a usage rate of around 50 % (working from home strongly advised if possible). It is obligatory to maintain physical distance and wear masks if a distance of 2 m between people cannot be maintained.
  • Hotels are open for guests on unavoidable and verified business trips. These guests may use the bar/restaurant of the hotel. Mask wearing and physical distance rules apply.
  • Restaurants are closed; only takeaway between 5:00 am and 9:00 pm and food delivery is possible.
  • Indoor sports are prohibited for amateurs.
  • Commercial units are open (except for certain non-essential shops and services providers), with a closing hour of 9:00 pm due to the curfew. Mask wearing is obligatory.
  • The operation of logistics centres is not specifically affected.
  • With respect to residential properties, there is an order to restrict contact with other persons apart from household members except where absolutely necessary.

Have events been closed?

  • Meeting of people is generally prohibited (with exceptions). All cultural and sporting events are generally banned; sporting events are held behind closed doors.
  • Mass events of important state interest or important sporting events may take place according to hygienic and epidemiologic conditions set by the Ministry of Health for each separate event (concerts and other musical, theatrical, film and artistic performances can take place only without the presence of an audience).
  • A maximum of 15 people can attend weddings and funerals.
  • Wedding parties cannot follow wedding ceremonies.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There is no specific governmental measure concerning lease agreements. The period protecting tenants and prohibiting termination of the lease by a landlord for non-payment of rent ended on 31 December 2020 and was not prolonged.

Payment moratorium on mortgages affecting real estate financing

  • There is no payment moratorium on mortgages affecting real estate financing at the moment. The banks will deal with individual requests for moratoria on a case-by-case basis.

Protection against enforcement

  • Auctions, onsite enforcement procedures and measures can be taken. However, the Czech Chamber of Executors recommends not to proceed with executions of movable assets on site, if possible.
  • Evictions and related enforcement measures can take place.

Protection against insolvency

  • Certain debtors are not obliged to file a petition to open insolvency proceedings against their assets up to 30 June 2021.
  • Certain debtors may request a moratorium with respect to their creditors (without the creditors' consent).

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The state of emergency expires on 14 February 2021, unless prolonged by the Parliament. Nevertheless, it is expected that the protective measures will continue, even if the state of emergency is not prolonged.

Case law on the coronavirus crisis affecting the real estate sector

  • No relevant case law has been issued so far.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • The state of emergency was extended.
  • During the state of emergency there is a curfew between 8:00 pm and 5:00 am. Exceptions are (i) walking with pets within a 500 m range from home, (ii) working (including travelling from and to home), (iii) purchasing medicine, (iv) training or matches of professional athletes.
  • Mask wearing is obligatory at all hours in stores, public traffic, shopping centres, health and social institutions and places open to the public as well as in public areas in cities with a population over 10,000, designated by the local municipality.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted; however, offices operate at a usage rate of around 50 %. Based on the house rules it is obligatory to wear masks and to maintain physical distance in almost every office.
  • Hotels are open only for guests on verified business trips, who may use the hotel bar/restaurant. Mask wearing and physical distance obligations apply.
  • Restaurants are open but only for takeaway and home delivery.
  • Commercial units are open, usually closing at 8:00 pm due to the curfew. Mask wearing is obligatory.
  • The use of logistics centres and residential properties is not affected by the state of emergency.

Have events been closed?

  • The assembly of people is generally prohibited; all cultural and sporting events are banned; sporting events are held behind closed doors.
  • A maximum of 10 people can participate in family and private events and a maximum of 50 people can participate in funerals.
  • Wedding parties cannot follow wedding ceremonies.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • Landlords that are the state, a state-owned company, municipality or municipality-owned company, cannot terminate leases concerning tourist, catering, leisure, gambling, film industry, performing artist, event planning and sports services until 30 June 2021 (inclusive), which deadline may be extended.
  • In the case of leases of real properties (flat or other properties) owned by municipalities or the Hungarian state, the tenant will have the right to unilaterally extend the lease term until the end of the state of emergency by a unilateral declaration, if the lease term expires during the state of emergency.
  • The parties may deviate from the special rules applicable to such leases during the state of emergency.
  • A rent-free period is granted to certain tenants who provide hotel, entertainment, catering, transport, sport and fitness, etc. services, from February to June 2021 if their leased premises are owned by the state, a state-owned company, municipality or municipality-owned company, and the lease agreements were concluded before 10 February 2021. The decree does not cover the National Bank of Hungary and its subsidiaries, because the NBH indirectly owns several office buildings. Such a landlord must repay the already paid rents for the rent-free period to the tenants by 15 March 2021.

Payment moratorium on mortgages affecting real estate financing

  • There is a payment moratorium on mortgages, which was extended until 1 July 2021.

Protection against enforcement

  • Auctions, onsite enforcement procedures and measures cannot be taken. Property evictions and all related enforcement measures cannot take place.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, almost no construction sites are currently operational.

Deadlines

  • The state of emergency expires on 1 March 2021, unless prolonged by the Parliament. The payment moratorium lasts until 1 July 2021. The enforcement restrictions expire on 1 July 2021.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • The state of emergency in public health was extended until 15 February 2021. No curfew or other major internal travel restrictions applied.
  • Visiting public places (e.g. parks and forests) in groups of more than three people is forbidden.
  • Mask wearing and minimum physical distance (i.e. 1 m) are mandatory. No special type of mask requirement implemented so far.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted. Mask wearing and minimum distance are mandatory for all employees and visitors.
  • Hotels are open, but must comply with all prescribed sanitary and anti-COVID-19 measures.
  • Restaurants are open between 7:00 am and 10:00 pm and must comply with all prescribed sanitary and anti-COVID-19 measures. After 10:00 pm and until 7:00 pm, restaurants and similar businesses may serve only takeaway and home delivery orders.
  • Commercial units are open. Mask wearing and physical distance obligations apply. Businesses are obliged to turn away customers who are not wearing a mask or who refuse to have their temperature measured.
  • The use of logistics centres and residential properties is not affected by the state of emergency in public health.

Have events been closed?

  • Cultural events, except cinemas and night clubs, are allowed to operate at 50 % capacity, but in any case, not more than 250 visitors.
  • Sporting events are held without the presence of spectators.
  • A maximum of 50 people can participate in funerals, wedding parties, other private events and meetings. All prescribed sanitary and anti-COVID-19 measures are applied.
  • Meetings may not be held in public institutions, schools, hospitals or other places at high risk of infection.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There are no specific governmental measures concerning lease agreements.

Payment moratorium on mortgages affecting real estate financing

  • There is no payment moratorium on mortgages affecting real estate financing.

Protection against enforcement

  • Auctions, onsite enforcement procedures and measures can be taken. Property evictions and all related enforcement measures can take place.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The state of emergency in public health expires on 15 February 2021, unless prolonged by the National Extraordinary Public Health Commission.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • There is a curfew between 9:00 pm and 5:00 am. Exceptions are (i) persons performing work of public interest possessing a permit from their employer, (ii) persons taking pets out for a walk (max. 60 minutes), (iii) persons employed with foreign diplomatic and consular missions.
  • Intercity traffic is banned from Friday 9:00 pm to Monday 5:00 am.
  • It is obligatory to wear masks at all hours both indoors and outdoors, including in stores, public traffic, shopping centres, restaurants and pubs.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted, but all employers are recommended to organise remote work, if possible. It is obligatory to wear masks and to maintain physical distance in offices with more than one person in the room.
  • Hotels are operating regularly, with the obligation to respect general measures, except in the municipalities of Budva and Tivat, where it is forbidden to use communal areas (pool, gym, SPA centre, etc.), and only room service available.
  • Restaurants, pubs and bars may open from 7:00 am to 6:00 pm, with the mask wearing obligation, 2 m distance and plexiglass panels between the tables, a maximum of four people per table and no music allowed at all (except in the municipalities of Budva and Tivat where restaurants, pubs and bars are open only for delivery).
  • Indoor sports are prohibited for amateurs.
  • Commercial units are open until 6:00 pm (except in the municipalities of Budva and Tivat where all commercial units are closed 24/7). A mask wearing obligation applies.
  • The use of logistics centres is not affected.
  • Visits to residential properties are not permitted at all.

Have events been closed?

  • Public gatherings, public events, sports, political, cultural, artistic and private gatherings, weddings, as well as other events other than professional, scientific, work and official activities are prohibited, except for registered public gatherings of up to 25 people lasting no longer than 60 minutes.
  • The assembly and presence of more than four adults in an open public place is prohibited.
  • Sporting events are held without spectators.
  • A maximum of 10 people can participate in funerals.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • It is prohibited to lease residential units (except for the stay of one or two people or members of joint family household).

Payment moratorium on mortgages affecting real estate financing

  • A moratorium based on a decision of the Central Bank of Montenegro on all (re)payments under loan agreements is applicable to:
    (i) borrowers from the tourism, agriculture, forestry and fishing sectors – can be used between 1 September 2020 and 31 August 2021 by borrowers who are not past due on loan repayments for more than 90 days as at 31 December 2019 and whose loans have not been classified as non-performing assets; (ii) natural persons whose employment was terminated from 31 March 2020 or at a later date as a result of COVID-19. The moratorium can be used for a period of six months by borrowers who were not past due on loan repayments for more than 90 days as at 31 December 2019 and whose loans have not been classified as non-performing assets.

Protection against enforcement

  • Banks may not initiate enforcement procedures during the moratorium.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The loan repayment moratorium lasts until 31 August 2021 for borrowers from the tourism, agriculture, forestry and fishing sectors.

Case law on the coronavirus crisis affecting the real estate sector

  • Not available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • No curfew in place.
  • Every citizen must wear personal protective equipment when leaving the home, i.e. when in public places and open and closed areas, in markets, on public transport and when entering closed spaces where several people gather.
  • Ban on gatherings of more than four people in public spaces, i.e. parks, public areas or anywhere outside every day of the week.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The working hours of shopping malls are 10:00 am to 10:00 pm.
  • The working hours of restaurants and other catering facilities are limited until 9:00 pm, except for restaurants and other catering facilities at airports and hotels, which are able to operate full-time.
  • Prohibited organisation of celebrations (birthday parties, weddings, etc.), as well as live music performances.
  • The maximum number of people at one table is limited to four.
  • The number of visitors in closed shopping centres is limited to one per 8 – 10 m2.
  • The use of offices is not restricted, but hygiene-preventive measures must be applied.

Have events been closed?

  • Outdoor events can be organised with 50 % capacity and the number of visitors is limited to 1,000.
  • Indoor events can be organised with 30 % capacity and the number of visitors is limited to 1,000.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • N/A.

Payment moratorium on mortgages affecting real estate financing

  • N/A.

Protection against enforcement

  • N/A.

Building sites

  • No specific restrictions, other than the general obligation of employers to apply the hygiene-preventive measures.

Deadlines

  • N/A.

Case law on the coronavirus crisis affecting the real estate sector

  • N/A.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • No formal state of emergency was declared, no curfew is in place.
  • All persons are obliged to cover their nose and mouth when entering public areas, with a list of exceptions (e.g. forests and parks).
  • All persons entering public areas are obliged to maintain a distance between each other of no less than 1.5 m, unless they are covering their nose and mouth or in case of families or disabled people and their attendants.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • Working from home is recommended if technically feasible, but it is not mandatory.
  • There is no specific governmental action regarding the activity of office buildings. Each employer or user of the office space is obliged to comply with sanitary restrictions regarding the presence of employees at the workplace: it must be ensured that a minimum distance of 1.5 m between persons is maintained.
  • Hotels reopened on 12 February 2021; mask wearing obligation and 50 % visitors limit apply.
  • Restaurants are open but only for takeaway and home delivery.
  • Shopping centres have been open since 1 February 2021. Limitation on customer numbers and mask wearing obligation apply.
  • The use of logistics centres and residential properties is not affected by the restrictions.

Have events been closed?

  • The assembly of people is generally prohibited, with some exceptions (up to five participants); all cultural and sporting events are banned, professional sporting events are held behind closed doors.
  • Theatres, cinemas and concert halls to be reopened on 12 February; the mask wearing obligation and 50 % visitors limit apply.
  • A maximum of five people can participate in family and private events.
  • Wedding parties cannot follow wedding ceremonies.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • Mutual obligations of parties under lease agreements in commercial facilities with sales area exceeding 2,000 m2 expire from the date the activity of such facilities was suspended. Tenants should (but are not obliged to) offer landlords their unconditional and binding offer regarding the prolongation of lease terms, for a period not shorter than the period of the suspension of the activity in such facilities plus an additional six months. Offers should be delivered to the landlords no later than three months from the date of termination of the suspension.
  • Parties may seek limitations of the rent due to force majeure. In such cases, the party seeking the limitation of its obligation due to force majeure is obliged to verify the contractual provisions in this respect and to prove that force majeure had a direct impact on its ability to perform its obligations.
  • Parties may also seek to limit their obligations based on the principle of an extraordinary change in circumstances, but only via court proceedings.

Payment moratorium on mortgages affecting real estate financing

  • There is no payment moratorium on mortgages.

Protection against enforcement

  • There is no protection against enforcement, subject to the expiration of the parties' mutual obligations under the lease agreement in commercial facilities.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures.

Deadlines

  • The restrictions are implemented formally by 14 February 2021, but practically they are extended and/or modified every two to four weeks.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • State of alert extended until 15 March 2021.
  • Nationwide curfew imposed between 11:00 pm and 5:00 am. The main exceptions are: (i) travelling to and from work, (ii) seeking medical attention that cannot be postponed or done from home, as well as purchasing medicine, (iii) taking care of the elderly, children, people with disabilities or attending the funeral of a family member.
  • Persons above the age of five are required to wear a mask in public, at work, in stores and while traveling on public transport.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • Offices are open as usual, but all employees are required to wear masks and to observe the health and safety regulations. It is recommended to work from home if possible.
  • Public venues, such as restaurants, hotels, cinemas, concert halls, public libraries, museums, churches and casinos are open at a limited capacity of either 50 %, 30 % or fully closed, depending on the number of cases reported in the last 14 days in each county and only outside the curfew hours.
  • Businesses may open between 5:00 am and 9:00 pm; home delivery services can operate outside curfew hours.

Have events been closed?

  • Large events such as protests and concerts cannot be held indoors.
  • Private events (i.e. weddings, birthday celebrations, etc.) are forbidden both indoors and outdoors.
  • Sporting events are only allowed without spectators or with a limited number of persons present if the event is outdoors.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • There are no special rules under the legislation related to COVID-19.

Payment moratorium on mortgages affecting real estate financing

  • A moratorium of up to nine months is applicable for loans granted until 30 March 2020 and is available to virtually any type of borrower directly or indirectly affected by COVID-19 (except for credit institutions), who do not register overdue payments at the date of the request / whose loan was not accelerated until 31 December 2020. For legal persons, there are two additional criteria to be met: (i) the entity declares through a sworn affidavit that its revenues / average monthly income from the last three months prior to the request have decreased by 25 % compared to the similar period in 2019/2020; and (ii) the entity is not subject to insolvency, as evidenced by the commercial registry online database.
  • Debtors having been granted deferral of payments based on the legal provisions granting such rights in 2020 (i.e. the initial version of the law provided 31 December 2020 as the deadline for the moratorium) may continue to benefit from the moratorium if the total granted deferral period does not exceed nine months (irrespective of whether these nine months have been granted based on a legislative or non-legislative moratorium). Thus, debtors having benefited from a deferral of less than nine months are entitled to request an additional period of deferral up to a total of nine months.
  • Debtors who have not already requested a deferral based on the initial provisions applicable in 2020 are entitled to submit such a request according to the recent legal amendments by 15 March 2021.

Protection against enforcement

  • There is no protection against enforcement, except for limited situations regarding tax payment obligations.

Building sites

  • No specific restrictions, other than the general obligation of employers to apply hygiene-preventive measures.

Deadlines

  • Restrictions are prolonged monthly by the Government and the National Committee of Emergency Situations. Latest renewal in place as of 12 February 2021.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • No curfew in place.
  • Obligation to wear masks and keep a 2 m distance in closed public areas, the number of people in such areas being limited to one per 4 m2.
  • Obligation to wear masks in public road and rail transport, and in open public areas in cases where it is not possible to maintain a 2 m distance.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The working hours of shops, shopping centres and other retail facilities, organisers of special and classic games of chance, catering services (save for food delivery, which is not restricted), fitness centres, gyms, hair and beauty salons, are limited until 8:00 pm.
  • The working hours of food retailers, newsstands, cinemas, theatres, museums and galleries are limited until 9:00 pm.
  • No limitation for the working hours of pharmacies, medical, dental and veterinary clinics, gas stations.
  • Live music performances in catering facilities are not allowed, and the playing of music in any other form is limited until 5:00 pm.
  • The number of visitors in closed shopping centres is limited to one per 9 m2;
  • The use of offices is not restricted, but employers are obliged to ensure that hygiene-preventive measures are applied in the workplace.

Have events been closed?

  • Public gatherings are generally limited to five people, who must keep a 2 m distance and obey the one person per 4 m2
  • Public cultural and artistic events are limited to 500 visitors, with the obligation to wear masks and keep a 2 m distance or leave every second seat free.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • N/A.

Payment moratorium on mortgages affecting real estate financing

  • N/A.

Protection against enforcement

  • N/A.

Building sites

  • No specific restrictions, other than the general obligation of employers to apply hygiene-preventive measures.

Deadlines

  • N/A.

Case law on the coronavirus crisis affecting the real estate sector

  • First-instance courts recognise Covid-19 as a hardship and allow for termination of leases on that ground. This is still to be confirmed by the higher instance courts. 

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • There is a curfew between 1:00 am and 5:00 am with a few exceptions.
  • There is an all-day obligation to wear masks outdoors and indoors, except for areas outside of the municipality (extravilan) where the distance between two individuals is greater than 5 m.
  • Travel between districts is restricted to only specific needs that cannot be done in the district of one's permanent residence.
  • Work from home is mandatory if the nature of the work allows for it.
  • On 8 February 2020 a so-called Covid-19 Automat entered into force, which introduced an automatic change of applicable restrictions on a weekly basis depending on selected criteria (e.g. number of new cases, number of people in hospitals, reproduction number). Some restrictions apply countrywide and some only district-wide.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • Takeaway restaurants are allowed only (eating out is prohibited), hotels are closed except for state needs, quarantine needs and long-termed accommodation.
  • Commercial units are closed, except for essential businesses and services (e.g. food shops, drugs stores). The maximum number of visitors is limited to one person per 15 m2.
  • Logistics centres are not restricted, but like offices must ensure that employees have negative tests and must order everyone who can to work from home.
  • Residential properties are open if they are used by the state, for quarantine, or for long-term accommodation, which in practice means that the vast majority of residential properties are not subject to restrictions.

Have events been closed?

  • The assembly of people is generally prohibited, all cultural and sporting events are banned, sporting events are held behind closed doors.
  • Ceremonies are allowed for up to six people only, except funerals.
  • Sporting events are allowed only for participants with a negative RT-PCR certificate.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • N/A (the possibility to terminate lease agreements was limited during the first wave, but this protection expired on 31 December 2020).
  • Specific COVID rent support schemes are in place for businesses (with participation by the state and the landlord).

Payment moratorium on mortgages affecting real estate financing

  • Natural persons, self-employed persons and small businesses can request postponement of mortgage payments, which must be granted by the bank.

Protection against enforcement

  • Private enforcement by a pledgee is not restricted.
  • Public enforcement by way of a public auction by an enforcement officer or public auctioneer is prohibited until 28 February 2021.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The current restrictions are generally valid until further notice (selected exceptions are mentioned above).

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • There is a curfew between 9:00 pm and 6:00 am. Exceptions are (i) necessary work (including travelling from and to home), (ii) access to emergency services, (iii) eliminating an imminent threat to health, life and property, (iv) delivery services for food or medicine, and (v) travel of persons who entered Slovenia for the purpose of transit to a neighbouring country or to their place of residence in Slovenia.
  • Besides the curfew there is an obligation to wear masks at all hours in stores, public traffic, shopping centres, health and social institutions and places open to the public. Masks are also obligatory in public areas if it is not possible to ensure at least a 2 m distance between people as well as in personal vehicles if passengers are not members of the same household.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted; however, offices operate at a usage rate of around 50 %. It is obligatory to wear masks and to maintain physical distance in offices.
  • Hotels are open for guests on unavoidable and verified business trips, who may also use the bar/restaurant of the hotel. Mask wearing and distance obligations apply.
  • Restaurants are closed; only takeaway and delivery is possible.
  • Indoor sports are prohibited for amateurs.
  • Commercial units are open, but must close by 8:45 pm due to the curfew. A mask wearing obligation applies.
  • The use of logistics centres is not affected.

Have events been closed?

  • The assembly of people is generally prohibited, all cultural and sporting events are banned, sporting events are held behind closed doors.
  • Wedding ceremonies are only allowed with the permission of the Minister of Labour, Family, Social Affairs and Equal Opportunities. Wedding parties are prohibited.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • Tenants of commercial leases and sports facilities owned by the state or municipality are not required to pay rent, in whole or in part, if their commercial activities are prevented or significantly disrupted during the pandemic.
  • COVID-19 relief legislation introduced a special termination right to tenants of commercial premises by way of serving an eight-day termination notice to the lessor, if their commercial activities have been prevented or significantly disrupted due to (governmental) regulations. The termination right is available until 30 June 2021 (the government can extend it by a maximum of six months).
  • It also enables tenants of commercial premises to (i) defer lease payments and/or (ii) extend the lease term by the number of days that the relevant COVID-19 regulations prevented or significantly restricted the use of the premises.

Payment moratorium on mortgages affecting real estate financing

  • There is a possibility of a moratorium for 12 months on payment obligations stemming from bank loan agreements which have fallen due after the official announcement of the COVID-19 pandemic in Slovenia. If statutory prescribed conditions are met, a certain percentage of the obligations which are subject to the moratorium are secured by a State guarantee. The moratorium does not apply automatically; application by the eligible borrower and approval by the affected creditor is required (the deadline for applications is 26 February 2021). The borrower needs to submit the application within six months after the end of the pandemic has been officially declared.
  • A moratorium for nine months is also available on bank loan agreements that were concluded after 28 November 2020, subject to the approval of the affected creditor.

Protection against enforcement

  • Enforcement is suspended in cases where the debtor is a natural person, except in urgent matters that are adjudicated by the courts even during the pandemic and in cases of enforcement for recovery of claims for maintenance and compensation for lost maintenance due to the death of the provider.
  • Tax enforcement may only be initiated in urgent matters (where there are reasonable grounds for the tax authority to assume that the recovery of payment of compulsory duties or other non-pecuniary tax liabilities will be prevented or significantly more difficult following the termination of this measure).

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The state of emergency expires on 17 March 2021, unless prolonged by the Government. The enforcement restrictions expire on 17 March 2021.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • There is a curfew between 9:00 pm and 5:00 am on weekdays and a weekend curfew beginning at 9:00 pm on Friday, continuing through 5:00 am on Monday. During the weekend curfew, travel outside the home is limited to individuals between the ages of 20 and 65, who are obtaining basic food items from stores within walking distance to their residence, and do not drive, between 10:00 am and 5:00 pm. Exceptions are (i) public and private health institutions and organisations, pharmacies, veterinary clinics, and animal hospitals, (ii) public institutions and organisations and enterprises required for the maintenance of compulsory public services (airports, ports, border gates, customs, highways, nursing homes, elderly nursing homes, rehabilitation centres, Emergency Call Centres, etc.), (iii) companies engaged in domestic and international transportation and logistics, (iv) animal shelters, animal farms and animal care centres, (v) vegetable and fruit wholesale markets, (vi) fuel stations and tire repair centres: those that may remain open during curfews will be determined by the governors of each province; Turkish citizens and residents (i) those assigned to ensure public order and security (including private security officers), (ii) those maintaining or repairing infrastructure systems for electricity, water, natural gas, telecommunications and other utilities, (iii) technical service employees, provided they document that they are out to provide service, (iv) those with mandatory health appointment, (v) veterinarians, (vi) people with special needs and their parents/guardian/accompanying persons, (vii) those who go out to meet the compulsory needs of their pets, provided it is limited to the front of their residence, (viii) those attending central exams, (ix) those with purchased tickets to travel to another city while transporting to/from airports/terminals, (x) drivers and officers of urban public transportation vehicles, including taxis.
  • Turkish citizens and residents aged 65 and older are restricted to their place of residence, and only allowed outside between 10:00 am and 1:00 pm every day. Turkish citizens and residents aged 20 and below are only allowed outside between 1:00 pm and 4:00 pm every day. During the weekend curfew between the aforementioned hours, such individuals can obtain basic food items from stores within the walking distance of their residence and do not drive.
  • Foreign tourists are exempted from weekend curfews.
  • Intercity travel permits are required for Turkish citizens and residents aged 65 and over.
  • There is an obligation to wear masks everywhere except at home, such as in stores, public transportation vehicles, in cars if travelling with persons from another household, in shopping centres, in public institutions, in health and social facilities and places open to the public, the number of people in such areas being limited and an HES code (personal code sharing the Covid-19 risk status with institutions) is required to enter such areas.
  • From 15 January, the use of all means of public mass transport in Istanbul is banned for persons under 20 and over 65 years of age.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted and home office is recommended; however, offices operate at a usage rate of around 70 %.
  • The working hours of public institutions and organisations are between 10:00 am and 4:00 pm.
  • Hotels are open for guests; only hotel guests can use the bar/restaurant of the hotel.
  • Cafes and restaurants are closed; only takeaway and delivery is possible.
  • Swimming pools, Turkish baths, saunas and massage salons are closed.

Have events been closed?

  • The assembly of people is generally prohibited; professional sporting events may take place without spectators.
  • Cinemas, theatres, museums, bars and night clubs are closed.
  • A maximum of 30 people can participate in funerals and wedding ceremonies.
  • Activities in the home (such as home visits, mawlid, condolences, parties, celebrations) are restricted.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • N/A

Payment moratorium on mortgages affecting real estate financing

  • The qualification for non-performing loan was temporarily extended from 90 days to 180 days until the end of 2020. This measure is now extended to 30 June 2021.
  • Restructured debts whose payment is delayed for more than 30 days during the monitoring period of one year or restructured once more within this monitoring period will continue not to be classified within delayed receivables until 30 June 2021.

Protection against enforcement

  • N/A

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures for workplace safety. In practice, all construction sites are currently operational.

Deadlines

  • N/A

Case law on the coronavirus crisis affecting the real estate sector

  • A regional court ruled to decrease the rent of a store by 50 % due to hardship stemming from Covid-19. This is still to be confirmed by the Supreme Court

Declaration of state of emergency or other extraordinary measures (e.g. curfew)

  • Quarantine measures are extended until 28 February 2021.
  • No curfew is in place.
  • Mask wearing in public places and transport, minimum distance (i.e. 1.5 m), availability of ID documents are mandatory. No special type mask requirement implemented so far.
  • Crossing the Ukrainian border by foreigners (not permanently residing in Ukraine) is possible upon availability of both (a) insurance certificate covering the costs associated with the treatment of COVID-19, and (b) a negative polymerase chain reaction test result for COVID-19 issued not later than 48 hours before crossing the border.

Restrictions on the use of certain premises, such as offices, hotels, restaurants (hospitality), commercial units and logistics centres. Is there any kind of restriction on the use of residential properties?

  • The use of offices is not restricted. Mask wearing and minimum physical distance are mandatory for all employees and visitors.
  • Hotels are open and must comply with all prescribed sanitary and anti-COVID-19 measures.
  • Restaurants are open between 7:00 am and 11:00 pm and must comply with sanitary and anti-COVID-19 measures and minimum distance of 2 m between tables. After 11:00 pm and until 7:00 am, restaurants and similar food businesses may serve only takeaway and home delivery orders.
  • Commercial units, logistics centres and residential properties are open. Businesses are obliged to turn away customers who are not wearing a mask.

Have events been closed?

  • Holding mass events (cultural events, including concerts, sports, social, advertising, etc.) is allowed with the participation of not more than 20 people and while complying with minimum distance requirements.
  • Holding public scientific, educational and professional thematic events is allowed only at 50 % visitor capacity of the venue.
  • The number of visitors to museums, exhibitions and galleries is limited to one person per 10 m2 of total area.
  • Gyms and fitness centres are allowed one visitor per 20 m2 of total area.

Measures concerning lease agreements, e.g. keep-open obligations, ban on rent increase or the termination of leases

  • Tenants will have the right to demand a reduction in payment if, due to circumstances beyond their control, the ability to use the property was substantially decreased (Civil Code (Art. 762(4)) or may be exempt from payment for the whole period during which the property could not be used due to circumstances beyond their control (Civil Code (Art. 762 (6)).
  • For the period of quarantine and before its cancellation, the payment for use of real estate (its part) is subject to reduction at the request of the tenant carrying out business activity in this property, during the whole time when the property could not be used for business activity in full due to the quarantine restrictions (Final and Transitional provisions of the Civil Code).

    In such a case, the rent may not exceed the total costs (in proportion to the leased area) incurred by the landlord to pay (a) for the land, (b) real estate tax (other than land), and (c) utilities. These costs are borne by the tenant as a fee for the use of the property for the relevant period in proportion to the lease, unless the lease agreement provides for the tenant's obligation to pay these costs in whole or in part.

    This provision will not apply if (a) the premises were fully and legally used during the quarantine period, and (b) the real estate belongs to the local community.

Payment moratorium on mortgages affecting real estate financing

  • There is no payment moratorium on mortgages affecting real estate financing.

Protection against enforcement

  • Auctions, onsite enforcement procedures and measures can be taken. Property evictions and all related enforcement measures can take place.

Building sites

  • There is no specific governmental action regarding building sites and construction. Construction work may be performed, provided that the contractors and their employees or workers comply with all prescribed measures. In practice, all construction sites are currently operational.

Deadlines

  • The quarantine measures expire on 28 February 2021, unless extended by the Cabinet of Ministers of Ukraine.

Case law on the coronavirus crisis affecting the real estate sector

  • There is no case law available yet.