Land Lease: New Rules For Calculating Starting Prices At Auctions

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Land Lease: New Rules For Calculating Starting Prices At Auctions

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WHEN:
MARCH 2025
STATUS:
WHERE:
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The Cabinet of Ministers of the Republic of Uzbekistan has approved Resolution No. 136 dated March 3, 2025, which changes the procedure for leasing land plots. Now, the rental cost will be calculated using a unified formula, and the process itself will become more transparent and digitalized.

What has changed?

Previously, the starting price of land could be determined based on expert assessments or individual decisions, which often led to disputes. Now, clear criteria have been established, and the price will depend on the following factors:

  • The area and location of the plot

  • Land tax rate

  • Infrastructure costs

  • Intended use (construction, industry, agriculture, etc.)

Additionally, upward and downward adjustment coefficients are introduced:

  • For industrial zones — an increased coefficient is applied, as such plots have high economic value.

  • For agricultural land — a lower coefficient is used due to limited use.

  • For residential and commercial zones — the coefficient depends on the market value of real estate.

If the coefficients are not officially approved, a default value of 1.0 is applied.

How will the leasing process work now?

The leasing procedure becomes fully digital – auctions will be conducted through the Yerelektron platform. This will:

  • Eliminate subjective decisions and reduce corruption risks

  • Make the process transparent and convenient for entrepreneurs

  • Shorten the application review period

Thus, the new rules will create fair conditions for all market participants and speed up the development of land plots.