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establish partial ownership

If you want to use rooms for commercial purposes rather than for residential purposes, you can establish so-called shared ownership.

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Detailed description

Partial ownership is the ownership (special ownership; also called room ownership) of non-residential rooms in a building in conjunction with the co-ownership share in the common property (land and parts of the building that are used jointly).

The most common examples of shared ownership are:

  • storage rooms
  • offices
  • practices
  • law firms
  • restaurants
  • workshops
  • studio for artists
  • cafes
  • shops

If you want to establish partial ownership, you must have this entered in the land register. Partial ownership land registers are created for this purpose. This means that a separate, special land register sheet is created for each spatial unit.

To do this, you as the owner must

  • submit a declaration of division to the land registry office or
  • conclude a partition agreement.

The declaration of division must be notarized and the division contract must be notarized.
The part ownership can then

  • be sold.
  • be encumbered with mortgages or other rights.
  • be inherited.

Note: The regulations for land registry entries and the associated formalities are complex. You should therefore always seek advice from a notary.

 

Information

Prerequisites

  • The rooms must be self-contained. You must prove this to the building authorities by submitting the division plans, among other things. The building authorities will issue you with a certificate of self-containedness.
  • The seclusion of the rooms (for example garages, basements) is a mandatory requirement for the division of the property into partial ownership rights.
  • The owner’s declaration of division must be notarized.
  • The contractual granting of special property, i.e. the division agreement, must be notarized.

Documents required

  • Written application for registration
  • Declaration of division (notarized or notarized) or division agreement (notarized)
  • division plan
  • certificate of completion
  • if applicable, the certificate of clearance from the tax office
  • Approval of the building authority according to Section 250 of the German Building Code (BauGB) and, if applicable, according to Sections 172 and 173 of the German Building Code (BauGB).

Please note

Legal advice is not available at the local court. Please contact the persons authorized to provide legal advice. These are lawyers or notaries. It is best to seek advice from a notary or lawyer regarding the formal requirements.
The Public Legal Advice Service (ÖRA) offers low-cost legal advice for people with low incomes.

Deadlines

No

Procedure

  • You must apply for registration at the land registry office. However, the registration is usually arranged by the notary who authenticated the declaration of division or notarized the division contract.
  • The land registry office will examine your application and request any missing documents if necessary.
  • If all requirements are met, the land registry office creates part-ownership land registers. This makes the division effective. Part-ownership land registers are special land register sheets that the land registry office creates for each co-ownership share (for example, for each garage).
  • Here it enters:
    • the fraction of the co-ownership of the property
    • the special property belonging to the co-ownership share (for example, garage)
    • the limitation of co-ownership by granting special ownership rights belonging to the other co-ownership shares
  • The notary and you will receive a registration notification.
  • The cost notice will be sent to you.

Processing time

The processing time depends on the individual case and the workload of the land registry office.

Fees


  • The specific fee is calculated based on the business value.

  • Goodwill is the value of the developed property or the value of the property plus the value of the building to be constructed.

  • Please note that the amount of the fee always depends on the circumstances of the individual case.

  • It is best to seek advice from a notary. In addition to the costs for the work of the land registry office, there are also costs for the work of the notary in accordance with the Court and Notary Fees Act (GNotKG). Please ask the notary's office for the amount of the notary fees.

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Keywords: Entering commercial use in the land register Registering a business in the land register Registering a practice in the land register Registering a Café in the Land Register

Last updated: 05.02.2025