RJUE Revision: The 8 Measures Transforming Urban Licensing in Portugal

RJUE Revision: The 8 Measures Transforming Urban Licensing in Portugal

As part of the recent measures for the housing sector, the Government has approved a Decree-Law that profoundly revises the Legal Regime of Urbanization and Building (RJUE). The main objective is clear: to create more transparent rules, more predictable processes, and shorter deadlines, thereby reducing "context costs" for developers and promoting an increase in housing supply.

The Real Estate and Urban Planning Law team at Global Lawyers highlights the 8 main changes introduced by this new legislation:

1. Cutting Red Tape in Prior Communication Prior communication (comunicação prévia) undergoes a paradigm shift: it formally ceases to constitute a mechanism of "prior control". Furthermore, its use is generalized whenever urban parameters are already defined (e.g., in allotments), accelerating the start of construction.

2. Maintained Exemptions for Reconstruction Reconstruction works maintain their exemption from both licensing and prior communication, facilitating the rehabilitation of existing buildings.

3. Single Conference for Conflicting Opinions One of the biggest bottlenecks in licensing was the contradiction between public entities. The new RJUE creates a mandatory "single conference" to resolve contradictory opinions, preventing projects from being paralyzed indefinitely.

4. Streamlined Fee Payments More agile mechanisms have been introduced allowing for the direct settlement of fees by real estate developers, eliminating administrative downtime.

5. Conflict Resolution: Arbitration To avoid the chronic delays of Administrative Courts, the law expands the possibility of using arbitration agreements to resolve urban planning conflicts.

6. Stability and Legal Certainty The regime of invalidities for urban planning acts has been unified. This measure aims to reinforce the stability and predictability of municipal decisions, providing greater security to investors.

7. Specific Rules for the State The legislation also defines specific and adapted rules for public works promoted by the Public Administration itself, also aiming for their swiftness.

Impact on Developers and Investors This revision represents a unique opportunity for the real estate sector. However, the transition to a model of "less prior control" requires greater technical and legal rigor from developers. The Global Lawyers team is available to advise you on structuring your new projects in light of this RJUE revision.

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