People’s Democratic Republic of Algeria

Ministry of Industry and Mines

Intermediation and Land Regulation National Agency
A delegation of the ANIREF carried out a mission at the AFI

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1-Who athorizes the concession?

The mutual agreement concessionis authorized by an order of the wali:

         On proposal of the Director in charge of investment, for lands under the private domain of the state, residual assets of dissolved public enterprises, excess assets of public enterprises, as well as lands located in industrial and activity zones;

         On proposal of the managing organization of a new town for lands located inside the new town, after the agreement of the minister in charge of towns;

        After a favorable opinion of the National Agency of Tourism Development for lands located in a tourism expansion zone, and after the agreement of the minister in charge of tourism.

2- What is aniref ?

ANIREF (Intermediation and Land Regulation National Agency) is a government agency and is under the umbrella of the Ministry of Industry and Mines.

It is in charge of economic land regulation by the implementation of observation and analysis tools;

It pilots the national program of new industrial parks.

3-What is the investment national council?

The Investment National Council (CNI) is a body chaired by the head of government; It sets up the investment development strategy and ensures its monitoring.

4- Once the good is clearly identified, how to obtain it?

It all depends on the legal status of the targeted good:

If the good belongs to private individuals, you can get it by either transfer or rental

If the good is under the private domain of the state, you can get it by concession only.

5-What is a concession?

It is a contract whereby the state which is the owner of the property, grants you the use of it. It is a deed issued to the land conservation.

6-What is the difference between a concession and a transfer?

The transfer or sale transfers to you the possession of the good subject of the transaction. While the concession grants you the right to use the good.

7-What is the procedure for granting a concession?

A sole procedure: the mutual agreement.

8-how long does a concession last?

33 years, 66 years or 99 years maximum.

9- What happens when the duration of the concession reaches its end?

The concessioner can ask the domain for a continuation of the duration of the concession.

10-how to proceed in order to renew the concession?

You just have to send, on due date, a request of renewal to the estates officer.

11-What happens in case of non-renewal of the concession?

Two hypotheses are possible:

The concession concerns a real estate set, the state gets back its property.

The concessioner has built on the ground: he remains the owner and becomes tenant of the granted good.

12-What happens at the end of the maximal duration of 99 years?

  • If the granted good is a bare ground, the investor changes status and becomes tenant
  • If the granted good is a real estate set, the state gets it back.

13-Does the concession enjoy guarantees?

Absolutely! The concessioner enjoys law protection. The concession is not revocable and can neither be forfeited nor terminated unless the failure of the concessioner has been established.

14-Does the concession offer any benefits?

The concession benefits are numerous:

  • The stability concerning the enjoyment of the good over a long period of time.
  • The exemption from paying property tax.
  • The payment of a simple rental fee instead of a purchase price.
  • Rental fees deductible in determining taxable profits.
  • Stability of the rental fee over 11 years, after which it is updated.

15-Can we obtain a building permit with a mere concession?

Perfectly! You can get a building permit, or even a demolition permit if you want to destroy the buildings constructed on the land on which you are a concessioner.

16-May built granted properties be demolished?

The concessioner can demolish the buildings that do not fit his project at his own expense.

17-Who is the owner of constructions built once the pre- existing buildings have been demolished?

The investor / concessioner is the owner of the constructions. He must establish a notarized deed of property.

18-Can the concession be used to secure a bank loan?

Sure! You can mortgage the real right arising from the concession to guarantee bank loans.

19-Is the concession transmissible?

The concession can be transmitted by means of transfer or by inheritance to heirs

20-Is the concession assignable?

Once the project is completed, the real right arising from the concession may be transferred along with the buildings erected on the granted bare ground.However, a non-transferability period of 5 years must be observed when the concession is a real estate built asset.

 21-Can you sublet the right to concession?

If the concession covers bare land, once the project is completed and after its commissioning has been established, the concessioner may sublet his right to enjoyment of land and lease the buildings he owns in fee.

22-Can you change activity after the project is completed?

Yes, if all the commitments mentioned in the specifications are met.

23-How to know the obligations of the concessioner?

The rights and obligations of the investor / concessioner are defined and detailed in the specifications signed by him and which is an integral part of the concession.

25-What are the main obligations of the concessioner?

The concessioner is subject to a series of bonds mentioned in the specifications but he is chargeable of two key commitments:

  • The completion within the allotted time (possibility of extension, under condition), of the project which the concession was granted for,
  • The annual payment of the rental fee.

26-What is the counterpart of the concession?

In return for a concession, you must pay the owner a rent called rental fee.

27-Is the amount of the rental fee fixed and final?

The amount stipulated in the concession remains stable over a period of 11 years. After this period, it is updated on the basis of the land market price.

31-How do i pay the rental fee?

The payment of the rental fee is annual.

28-Where do i pay the rental fee?

The payment of the rental fee is made at the territorially competent estate inspection cash desks. 

29-What are the risks if the concessioner fails to meet his obligations?

  • The investor / concessioner who does not respect his commitments incurs two penalties: Termination for non-compliance with the terms of the specifications.
  • Forfeiture for breach of the legislation and the obligations listed in the specifications, after two formal warnings remained unsuccessful.

30-Do foreigners benefit from any preferential treatment?

No! Law applicable to investment prohibits discrimination between Algerians and Foreigners.

31-When do we take possession of the granted good?

The taking possession is effective after signing the minutes of delivery of the concession deed drawn up by the estates Manager.

32- Does law provide for any benefits to be granted to investors/concessioners?

Absolutely yes!

  • They are granted allowances on rental fees, depending on the geographical location of the project:

  Projects achieved in northern wilayas:

  • 90%: during the implementation phase of the project that may range from 1 to 3 years.
  • 50%: during the operation phase that may range from 1 to 3 years.

  Projects achieved in the wilayas of the Highlands, the South and the Far South:

  • 1 AD per square meter over a period of 10 years. This period is extended to15 years for investments achieved in the wilayas of the Far South ( Illizi, Adrar,and Tamanrasset).
  • Beyond: 50% on the cost of the annual fee.

  Projects of national interest:Other allowances may be granted by the Cabinet, on proposal of the National Investment Council, for projects deemed of national interest.

  • Exemption of the concession from registration fees, land advertisement fees and the domain compensation provided that the investment is declared to the National Agency of Investment Development.

33- What is a project of national interest?

Fall into this category:

-       Projectsconsideredpriority,

-       Projects contributing to the satisfaction of the housing demand,

-       Projects with a strong added-value or job-creating,

-       Projects contributing to the development of deprived or landlocked areas.

34-What is new in industrial land supply?

  • Rehabilitation of existing industrial zones,
  • Production of a new land supply by implementing a national program of development of new industrial parks.

35-What is the purpose of these new industrial parks?

  • Increaseland supplyforinvestment,
  • Job creation,
  • Increaseeconomicgrowth .

36-Who pilots the program?

The Intermediation and Land Regulation National Agency is at the core of the program.  

37-What about the implantation of the new parks?

  • Coverage of the national territory:
  • 39wilayasof 48benefit from the program,
  • 9Territorialprogrammingspaces of 9are concerned.
  • East-West Highway    
  • Future Highlands bypass      
  • Reduction of territorial imbalancein industrial land,
  • Response to the requirement of territorial equity( guidelines of the SNAT),
  • Ensure the profitability of basic infrastructures:

38-What vision of the future industrial parks?

TheANIREFaims atachievingintegratedindustrial parks,offering:

  • Roads and optimalconnectivity: connectionto networksadaptedto traffic andflows,
  • Efficientoperational conditions: good quality support infrastructures, adapted to investors’ needs,        
  • A development that takes into account the environment:risk and pollution control,reduction of ecologicalimpacts...,  
  • Variousamenities togenerate modernand secureliving spaces,
  • A sustainable,environmentally responsibleand innovative management.

39- What is the content of this program?

  • Realization of 49 new industrial parks that will induce the
  • Production of 11.623 ha of industrial land.

40-What means for the realization of these industrial parks?

  • Public funding : the state allocates 290,6 billion AD,
  • Deployment of ANIREF’s staff around the program ,
  • Resort to national and international expertise to realize parks to international standards,
    • Setting up of partnershipsto benefit from highly specialized know-how.

New industrial parks project

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