THE NEW CODE ON URBANISM CHANGES THE RULES
REAL ESTATE DEVELOPPERS CONTRIBUTE TO INFRASTRUCTURE AND OWNERS HAVE ONE YEAR TO COMPLY

The new Code on Territorial Planning, Urbanism and Constructions rewrites the rules for real estate planning and authorizing. The message for developers is that the real estate investment and its impact on the area must be considered as a whole. Owners of unauthorized buildings or whose buildings exceed the construction permit have a limited time window to comply.

Teodora Koletsis, partner at GRUIA DUFAUT & ASOCIAȚII, broke down for ZF Live the two topics with immediate effect: new obligations on urbanism and infrastructure for developers and the regularization permit.

A long-awaited Code to be enforced in an unprepared system

The Code entered into effect on August 25, 2026, after years of work and postponements. Its adoption, also linked to a milestone committed to under the NRRP, caught the market and local administrations off guard at a time when real estate activity was already being disrupted by the breakdown of ANCPI’s IT systems.

„It is too soon to figure out its impact”, said Teodora Koletsis. We are already facing difficulties: some urbanism departments stopped receiving applications while forms and internal procedures need to be adapted. Still, the aim of the Code is noticeable.

The lawmaker seeks to close all loopholes exploited by developers to circumvent the law, on the one hand, and by authorities to act arbitrarily, on the other hand, to simplify procedures for low impact building works and to introduce stronger rules where a real estate project changes the density and functioning of an area.

Real estate development starts with land subdivision and includes the cost of infrastructure

An important change regards real estate project planning. Land subdivision must be done prior to implementation of the project and complied with. This is no mere cadastral subdivision, but lotting of the land for the purpose of construction, with rules applicable to each plot.

Under the old system, a land plot could be built on, then be successively dismembered to allow further use of the remaining surfaces, which inevitably led to increased density. The new Code aims to limit this practice. In other words, showed Teodora Koletsis, what is approved at the outset must remain the project’s benchmark up to completion. The same logic follows up to infrastructure. A residential complex or a large-scale building brings in residents, traffic, and increased energy consumption. This places a strain on roads and water and sewage networks, creating a genuine need for the development of related public services, such as kindergartens or schools.

The Code thus introduces a "territorial infrastructure fee," requiring the developer to contribute to the construction of the infrastructure required to support the project. The specific mechanism is to be set out through the Fiscal Code and local council resolutions, which will determine the fees payable by developers.

Furthermore, the law now provides for the possibility that the local authority may negotiate obligations going beyond the minimum requirements. For instance, the developer may be required to build water and sewage networks or carry out other works enabling the project to function without passing the full cost on to the community.

The financial impact cannot be ignored. When asked if the new rules would curb real estate investments, Teodora Koletsis gave a straight answer: "They will certainly make them more expensive."

Consequently, project costs will need to be calculated from the outset to include infrastructure obligations, rather than after approvals have been obtained.

The Code also introduces a requirement for buildings to comply, throughout their entire lifespan, with standards regarding construction quality, fire safety, accessibility, and other applicable requirements. The final acceptance should no longer be viewed as a point beyond which approved solutions can be altered without oversight. The interview cited the example of parking spaces included in the design but subsequently missing from the approved configuration.

Regularization permit: one year to take action

Another significant change concerns property owners who have built without a permit or in breach of an issued permit. The Code introduces a regularization permit and a one-year transitional period following its entry into force, by August 2027.

During this timeframe, the procedure may also apply to large-scale structures or those located in protected areas. Once this term expires, regularization will remain available only for specific low-impact structures and under the conditions stipulated by the Code.

It is important to note that the regularization or legalization of a construction or building works is not automatic.

"No amnesty!" emphasized Teodora Koletsis.

The owner must prepare the authorization documentation, the technical report, and specialized expert assessments. The authority verifies compliance with current regulations and may mandate additional works to ensure compliance or the demolition of elements built in breach of the law. The procedure also comes with costs. The fees payable are ten times higher than the amount due in cases of no breach.

Beyond August 2027, constructions no longer falling within the scope of the permanent regularization mechanism can no longer be legalized, even at the risk of demolition.

For owners, the available time is becoming a critical factor. Technical assessments and documentation cannot be done overnight, and the administrative procedures have not yet been fully implemented by the authorities.

The first step must be taken now: checking the legal and technical status of the construction and determining the works required for compliance.

Stricter rules, administration-dependent enforcement

The Code maintains the right of interested third parties to challenge urban planning documentation and building permits in court.

Furthermore, it introduces specialization for administrative litigation panels in the field of urban planning. For investors, conducting a legal and urban planning audit prior to acquisition remains essential, particularly when there are indications of permit unlawfulness or ongoing litigation.

The new legislation can reduce urban planning chaos only if administrative authorities apply the rules consistently.

The professionalization of urban planning departments is becoming just as important as the text of the Code itself.

For real estate developers, the new benchmark is liability for the impact of the project.

For owners of unauthorized constructions, the benchmark is the August 2027 deadline.

The full interview given by Teodora Koletsis on ZF Live on September 21, 2026, can be found here