An Unprecedented Opportunity for Tenants in Brussels: The Right of Pre-emption in Real Estate
An Unprecedented Opportunity for Tenants in Brussels: The Right of Pre-emption in Real Estate
A new legislation is revolutionizing the real estate landscape in Brussels, offering an unprecedented opportunity to tenants. But what does this advancement truly mean in practice?
Now, when a landlord in the Brussels region intends to sell a property they rent out, their tenant holds a right of pre-emption. In other words, the tenant is placed at the top of the list for purchasing the dwelling they occupy.
Previously, the law required Brussels landlords to inform their tenants of their intention to sell. The tenant then had the option to participate in the sale by submitting an offer but had to compete with other potential buyers.
The process is now simplified: when a Brussels landlord puts a rented property up for sale, they must inform the tenant by registered letter with acknowledgment of receipt. The tenant then has 30 days to accept the offer. It is important to note that the offer is non-negotiable in terms of price and conditions. If the tenant refuses or does not respond within 30 days, the property is then put on the market in the usual manner.
But that's not all! If the property is subsequently offered to another buyer at a lower price or under more advantageous conditions, the tenant must be informed and will then have an additional 7 days to exercise their right of pre-emption.
Conditions and exceptions of the right of pre-emption in Brussels:
• The accommodation must be subject to a lease for principal residence.
• The tenant must be domiciled there.
• Long-term leases for principal residence are targeted here.
Moreover, the tenant is not the only one who can exercise this right, but also individuals domiciled with them, such as their spouse, cohabitant, children, or their partner's children.
Sanctions for non-compliance with this priority right: If the landlord does not respect the tenant's right of pre-emption, the tenant can bring an action for subrogation against the buyer. In other words, the initial buyer could be replaced by the tenant whose right of pre-emption was disregarded (subject to reimbursement). This action can be brought up to 1 year after the sale.
This recent legislative development thus provides increased protection for Brussels tenants, strengthening their position in the real estate market and ensuring a certain residential stability.