Current issue

Volume 27, Issue 1, 2024
Online ISSN: 1451-8341
Volume 27 , Issue 1, (2024)
Published: 22.08.2024.
Open Access
All issues
Contents
07.07.2021.
Professional paper
DEMINISHED MARKET VALUE OF REAL ESTATE DUE TO THE ESTABLISHMENT OF RIGHT OF WAY
In the last 10–15 years, we have witnessed significant infrastructural investments in Serbia, including the construction of energy corridors. Unlike complete expropriation (construction of roads, surface mines, etc.), incomplete expropriation is applied to energy corridors, which implies the establishment of right of way on real estate without a change of ownership. As the legal solution provides for the possibility of determining the fee for reducing the market value of real estate due to the establishment of servitude, the proper calculation of this type of fee has become important, primarily due to the costs of proceedings for determining fees and court burdens (dissatisfied owners and business lawyers). The need to establish socially acceptable criteriaand rules of the profession in these proceedings. The paper presents the legal framework, definitions and restrictions imposed by energy corridors on real estate, technical regulations and possible ways of calculating deminiton in market value. Market, cost and yield approach are applicable in this topic as well. The results of the research of market prices of traded agricultural land on the routes of energy corridors, which was carried out in order to empirically find the degree of reduction of market values, are also presented. The aim of this paper is to systematize regulations, theoretical and experiential knowledge in this field as a contribution to the profession or experts, assessors and lawyers who act in these cases. Impairment of the market value of real estate is very little dealt with in the literature and is mainly based on "experiential data" of experts or appraisers. The results of the research (reduction) of market prices of traded agricultural land indicate that empirical data will not be easy to obtain for some time and that alternative methods of estimating the reduction must be developed.
Tibor Bodolo, Vojin Bigović, Aleksandar Adam