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Grace-and-favor homes to be sold through public auction | | The Diplomat Bucharest
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Bogdan Nitulescu, Tremend
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Grace-and-favor homes to be sold through public auction

The Government has approved by ordinance the sale of 733 grace-and-favor properties of a total of 1,100 real estate assets owned by RA-APPS, the authority that administers government properties. Another 108 courtesy homes will be put up for sale when their legal status is clarified.

December 2011 - From the Print Edition

RA-APPS has 650 grace-and-favor properties, over 75 villas and 250 hectares of land inherited from the communist regime and currently occupied by former state officials and their relatives. The auction prices will be established by authorized experts and the sale will be made through public auction, according to government information. Private and individual investors will be able to bid along with the current owners of the properties, unless they have run up debts or are involved in other litigation with the authority. Buildings occupied by public institutions, diplomatic missions, consulates, embassies, inter-governmental institutions and political parties, and those being used by former state presidents, will not be sold off.
Within the state budget established for 2012, the Romanian Government plans to make EUR 164 million (RON 706 million) from the sale of the 773 residencies. Following a decision last month, the Government will exempt public institutions and RA-APPS from paying local taxes on their buildings, says the emergency ordinance on the sale of the state residences.



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