How to Sell Part of an Agricultural Land Parcel in Ukraine

01

Identify what you intend to sell

Selling an entire parcel, selling an ownership interest in jointly owned land and subdividing a parcel are different transactions.

An entire-parcel sale concerns the existing formed object. A sale of a co-ownership interest transfers the relevant interest in the shared property; it does not automatically transfer ownership of a particular strip of the field. See the separate guide to selling agricultural land in co-ownership.

If you are the sole owner and want to retain one physical portion while selling another, the task is to form new parcels through subdivision. Article 79-1 of Ukraine’s Land Code links parcel formation to defining its area and boundaries and entering information in the State Land Cadastre. A sale also requires the appropriate registered property rights.

For illustration, an owner of four hectares may want to sell approximately 1.5 hectares. That description does not itself create a saleable parcel of “1.5 hectares under the existing cadastral number”. A land survey professional must assess the proposed layout and prepare the documentation, followed by the required registrations. These figures illustrate the process; they are not a permitted parcel-size rule or an approved subdivision plan.

02

Review the original parcel before commissioning work

Collect the document under which you acquired the land, current ownership information, cadastral records and any lease agreement. Compare the cadastral number, area, location and designated land-use purpose across those records.

Review other rights and restrictions as well as ownership. These can include a lease, mortgage, seizure, disposal restriction, easement or protected zone. The State Land Cadastre records parcel information and land-use restrictions. The State Register of Rights to Immovable Property records registered rights and encumbrances. One extract does not replace the whole review.

If an area or boundary discrepancy exists, establish its cause before settling the subdivision line. Otherwise, the proposed new layout may rely on incorrect underlying information. The guide to parcel area, boundary and cadastral discrepancies explains the initial checks.

03

Prepare the subdivision with a qualified land survey professional

For subdivision of an already formed parcel without changing its designated purpose, Article 79-1 provides for technical land-management documentation for parcel subdivision and amalgamation. Article 56 of the Law on Land Management sets out the documentation requirements.

Choose a land-management service provider and verify the responsible certified land survey engineer. Explain the approximate area you want to sell, the portion you intend to retain and any circumstances affecting the layout. Agree the work, deliverables, price and arrangements for correcting deficiencies in the service contract.

Article 56 provides for the documentation to be prepared under the owner’s decision with the consent of pledgeholders and land users. Article 79-1(6) separately addresses consent where the parcel is pledged or in use and requires notarisation of the signature on the relevant consent. For leased or pledged land, identify the appropriate consenting parties and the required form before the work proceeds.

A line drawn on a map or an informal agreement with the land user does not replace technical documentation and the applicable consents. Confirm the case-specific document requirements with the survey professional and notary before committing to the full work programme.

04

Register the new parcels and ownership rights

After the documentation has been properly prepared and approved, register the newly formed parcels in the State Land Cadastre. Each receives its own cadastral number. Under Articles 16 and 27 of the Law on the State Land Cadastre, subdivision cancels the registration and cadastral number of the original parcel, while the cadastral records retain the link to the new objects.

New cadastral numbers do not complete sale preparation. Ownership of the newly formed parcels must also be registered. Article 14 of the Law on State Registration of Property Rights governs closing the register section for the subdivided object and opening sections for the newly created objects.

Review the records for both new parcels, including the one you will retain. Check the area, cadastral number, owner, designated purpose, other registered rights and encumbrances. A cadastral number and the object’s registration number in the property-rights register identify different things; do not treat them as interchangeable.

05

Reconcile the lease documentation

Subdivision should not be treated as a way to terminate a lease automatically. If a tenant uses the land, address consent to the subdivision and then check how the new cadastral numbers and areas are reflected in the lease documentation and registered rights.

With the tenant and a suitable adviser, identify the amendments needed to record the new parcels covered by the lease, their areas, term, payment arrangements and registered lease right. Consent to subdivision should not be read as consent to early lease termination.

The notary must separately review any applicable pre-emption rights for the intended sale. New cadastral numbers do not establish that those rights are absent. The guide to selling leased agricultural land in Ukraine explains sale preparation for land already in use.

06

Review encumbrances on each new parcel

Article 110 of the Land Code provides that subdivision generally does not terminate restrictions and encumbrances. An exception concerns a restriction affecting only an area of the original parcel that is excluded from a particular new parcel. Applying that exception requires supporting documents and spatial information.

Where a mortgage, seizure or disposal restriction exists, review both the ability to subdivide and the ability to sell afterwards. Consent to one action does not authorise every later action. Ask the notary or legal adviser to compare the current entry and the instrument underlying it with the proposed transaction.

After registration, check the rights and encumbrances recorded against each new parcel. A new cadastral number is not evidence of an unencumbered asset. See the guide to selling agricultural land with an encumbrance.

07

Preserve access and the usefulness of both portions

Review the proposed area together with the layout. Will each parcel have lawful access? Could the subdivision line cut off a convenient entrance to the land you retain? Where do protected zones, drainage or irrigation infrastructure and existing easements run? Work through these questions on a plan with the survey professional.

In an ordinary subdivision without a change of designated purpose, the new parcels retain that purpose. Subdivision does not automatically permit agricultural land to be used for a different activity. A proposal that requires a change of designated purpose needs its own legal and technical review.

The value of the portion for sale will not necessarily equal the same proportion of the original parcel’s value. Access, shape, lease terms and restrictions may affect buyer interest. A preliminary market indication can be discussed before the work begins, based on the proposed layout. Valuation of the actual sale object should use the final parcel information and be coordinated with the transaction requirements. The guide to valuing agricultural land before sale explains the distinction between valuation measures.

08

Check the deliverable at each stage

This is a working process map rather than a universal document list. Timing and cost depend on the original records, necessary consents and scope of work.

09

Prepare for the preliminary valuation and notarial sale

For an initial discussion, prepare the location, total area, approximate area for sale, original cadastral number and information about the lease and known restrictions. Clearly state that subdivision is only proposed if the new parcel has not yet been registered.

Before finalising the notarial sale, check:

• subdivision documentation and the consents applicable to your circumstances;
• cadastral numbers, areas and registered ownership of the new parcels;
• lease rights, easements, encumbrances and any necessary contract amendments;
• the seller’s documents, including relevant marital-status or representation documents;
• valuation, transaction-specific taxes and the allocation of costs;
• the buyer’s eligibility to acquire agricultural land and applicable pre-emption rights;
• payment terms and evidence of bank credit.

Subdivision does not remove the agricultural-land acquisition rules in Article 130 of the Land Code. A smaller parcel does not automatically become available to any buyer. The notary must verify eligibility, including the applicable restrictions on foreign acquisition. Further preparation is covered in the guides to sale documents and safe payment.

This article provides general information. Verify the route for your parcel with a certified land survey engineer and Ukrainian notary, and involve a specialist legal adviser where needed.