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RURAL LIFE AND TERRITORY PROTECTION BILL (which amends the General Law on Urban Planning and Construction, and other legal bodies, to regulate the development of residential areas in rural areas)

On July 30, 2024, a bill (hereinafter referred to as the "Bill") was presented and submitted by the Executive to the Chamber of Deputies. This Bill, drafted by the Ministries of Housing and Urban Planning and Agriculture, aims to protect rural life and territory. In this context, it proposes various modifications to the regulations governing rural subdivisions and constructions in our country. The main modifications and new aspects presented by the Bill are as follows:

I. Regarding the General Law on Urban Planning and Construction:

  • Respecto de la Ley General de Urbanismo y Construcciones:
  1. 1. Land Use and Minimum Lot Size: The Bill allows territorial planning instruments to establish land use and minimum lot size concerning the application of Article 55 of the General Law on Urban Planning and Construction, specifically regarding cases where subdivision and construction in rural areas will be permitted.
  2. 2. Replacement of Article 55: Article 55 of the General Law on Urban Planning and Construction is replaced, specifically and restrictively listing the cases where rural land can be subdivided, plotted, and constructed, and for what land uses. This change eliminates the exception allowing for the construction of the owner's and workers' houses.
  3. 3. Introduction of Article 55 bis: A new figure called Rural Residential Complexes is introduced. These complexes consist of subdivisions where a single-family house can be built on the resulting lots, provided that part of the surface is maintained for silvoagricultural, conservation, preservation, and/or environmental restoration purposes. This is subject to the requirements outlined in the newly created articles 55 ter, quáter, and quinquies.

These projects: (i) cannot allocate less than 70% of their area for silvoagricultural, conservation, preservation, and/or restoration purposes, keeping that portion of the land completely free of buildings; (ii) can allocate up to 20% of the area for complementary installations to the activities mentioned in (i); and (iii) allow up to 10% of the land for housing, permitting a single-family home with a maximum of two floors and an attic.

  1. Urbanization Works: Rural Residential Complexes must include various urbanization works, an internal coexistence regulation, a monitoring plan, and a fire control and prevention management plan.
  2. Access to Water Bodies: If applicable due to their location, Rural Residential Complexes must provide access routes to beaches or lakeshores and water bodies every 500 meters along the shore or length of the water body that borders or crosses the original land, facilitating access for recreational, control, cleaning, or conservation purposes.
  3. Access to Public Goods: The new article 55 bis stipulates that the divided land must have direct access to a national public good, a public road, or a road resulting from the agrarian reform parceling process. The lots resulting from this subdivision must have direct access or transit easements whose length does not exceed 400 meters of pedestrian path, measured from access to the national public good, public road, or the road resulting from the agrarian reform parceling process.
  4. Authorization for Sale: For the public works directorates to authorize the sale of the resulting lots of Rural Residential Complexes, the urbanization works must be completed and received, and the internal regulation, monitoring plan, reciprocal easements, and/or real conservation rights must be registered with the competent Real Estate Registrar. Additionally, the subdivision plan and the final reception certificate of the enabling works must be filed with the competent Real Estate Registrar
  5. Insurance for Pre-sale Payments: Article 138 Bis of the General Law on Urban Planning and Construction includes Rural Residential Complexes, obligating the guarantee of pre-sale price advances with an insurance policy or bank guarantee for these types of projects.
  • Regarding Decree Law No. 3,516 of 1980, of the Ministry of Agriculture, which establishes rules on the subdivision of rural properties:
  1. Replacement of Article 1: The Bill replaces the first paragraph of Article 1 of the mentioned decree, maintaining the minimum area of 0.5 physical hectares but explicitly stating that they can only be used according to their agricultural, livestock, or forestry aptitude. Additionally, it establishes the legal presumption (admitting contrary evidence) that any project involving six or more adjacent lots with an individual area not exceeding three physical hectares, individually considered or added to a previous adjacent subdivision, is intended for the establishment of a Rural Residential Complex, consequently having to comply with all applicable regulations in this matter.
  2. Strengthening Control: The control regime of deeds and registrations by notaries and registrars is strengthened.
  3. Fines for Infringements: The fines regime for infringements of Decree Law No. 3,516 is improved.
  • Regarding Law No. 18,755, which establishes rules for the Agricultural and Livestock Service:

The certification issued by the respective Service regarding compliance with the applicable regulations for the subdivision of a rural property will expire if more than 3 years have passed since its issuance without the subdivision being filed with the competent Real Estate Registrar.

  • Transitional Provision of the Bill:

Property owners of lots resulting from a subdivision of a rural property, certified under Decree Law No. 3,516, before the new Law comes into effect, can, within 3 years from the publication of the new Law, request authorization to build a single-family home, provided they comply with all the requirements of the General Law on Urban Planning and Construction.

En caso de requerir información adicional sobre esta materia, puede contactar a Julio Trucco (jtrucco@jdf.cl), Rafael Valdivieso Bulnes (rvaldiviesob@jdf.cl) o a Josefina Ossa (jossa@jdf.cl).

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