Ensuring formal property rights is…
Ensuring formal property rights is fundamental. Effective administration of land is part of that. If formal property transfer is too costly or complicated, formal titles might go informal again. Moreover, where property is informal or poorly administered, it has little chance of being accepted as collateral for loans—limiting access to finance.
The parties (buyer and seller):
- Are limited liability companies, 100% domestically and privately owned and perform general commercial activities in the economy’s largest business city.
- Have 50 employees each, all of whom are nationals.
The property (fully owned by the seller):
- Has a value of 50 times income per capita. The sale price equals the value and entire property will be transferred.
- Is registered in the land registry or cadaster, or both, and is free of title disputes.
- Is located in a periurban commercial zone, and no rezoning is required.
- Has no mortgages attached, has been under the same ownership for the past 10 years.
- Consists of 557.4 square meters (6,000 square feet) of land and a 10-year-old, 2-story warehouse of 929 square meters (10,000 square feet). The warehouse is in good condition and complies with all safety standards, building codes and legal requirements. There is no heating system.
Globally, Iran, Islamic Rep. stands at 86 in the ranking of 190 economies on the ease of registering property.
Procedures are those that apply to a transaction matching the standard assumptions. The procedures, along with the associated time and cost, are summarized below.
Summary of time, cost and procedures for registering property in Iran, Islamic Rep
Source: Doing Business database. * Takes place simultaneously with another procedure.