Right of perpetual usufructPrint

In Poland most of the land is owned by the State Treasury. Owners of real properties erected on land belonging to the State Treasury purchase the right to so-called perpetual usufruct of land. During the period of the agreement, the perpetual lessee may use their real property in the same way as the owner of the property. The right to perpetual usufruct is transferable and may be inherited, but is limited in time. The period of perpetual usufruct usually lasts for 99 years. In special cases this period may be shortened. However, it may not be shorter than 40 years. Five years prior to the expiry of the right to perpetual usufruct the lessee may apply for prolongation thereof for a subsequent period.

The manner of land usage by the perpetual usufructor is specified in the notarial deed. This deed should specify:

  • the dates of commencement and completion of construction works on the given plot of land,
  • the type of erected buildings and created facilities,
  • conditions and dates of rebuilding (in the case of destruction or demolition of buildings during the period of perpetual usufruct),
  • the remuneration due to the perpetual usufructor upon the expiry of his right.

Note: Obtaining the right to perpetual usufruct of land requires the payment of an initial fee. Moreover, for the whole period of perpetual usufruct the user is obliged to pay an annual fee for perpetual usufruct -> by 31 March each year (in advance for a given year, without additional notification).