Following the recent Investment Law No. 22-18 of 24 July 2022 (“Law 22-18”)
and its implementing regulations, a long-awaited new law on land allocation
was published in the Official Gazette of 16 November 2023.
With the aim of promoting and facilitating investment, Law No. 23-17 of 15
November 2023 (the “Law 23-17”) establishes the terms and conditions for the
granting of state-owned land for investment projects.
As a reminder, Law 22-18 stipulates that investments in economic activities
related to the production of goods and services, undertaken by either national
or foreign individuals/entities, whether residing within the country or abroad,
are now eligible to benefit from state-owned land.
Key Points:
- The Algerian Investment Promotion Agency (AAPI) plays a key role in the management of economic land, acting on behalf of the State.
- The concession of economic land is granted by the AAPI, according to standard specifications set by regulatory means.
- The concession’s duration is 33 years (renewable).
- The concession grants the beneficiary the right to obtain a building permit and also allows them to establish a mortgage.
- An annual rental fee is payable by the concessionaire from the date the investment becomes operational, as confirmed by the AAPI.
- The conversion of the concession into a sale is possible under certain conditions, with a market value set at the time of concession granting, and in return for a State right of pre-emption on future sales.
For more detail, please see the full version in LEX Africa member firm
for Algeria, Loucif + Co’s, newsletter: https://loucif.law/en/new-land-
allocation-law-investment-opportunities/
