fbpx Demolition support for local governments and companies | KredEx

Purpose

The purpose of demolition aid is to support local governments or subdivisions under their control, state authorities administered by governmental authorities or legal persons governed by private law in the demolition of buildings and structures that have fallen out of use, and which are located on an immovable belonging to them, which are in danger of collapsing or represent a fire hazard, if the renovation or transfer of such buildings and structures is not expedient.


Benefits

  • The functionality and safety of the living environment will improve.
  • It promotes the integral development of the living environment.

For who?

  • local municipality
  • for company

Service is suitable if

  • the building or structure that has fallen out of use is located on an immovable owned by a local government or a subdivision under its control, state authorities administered by governmental authorities, or legal persons governed by private law, or on an

Important conditions

  • Supported activities:
    Under the measure, support is provided for the partial or complete demolition of a building that has fallen into disrepair, is municipal property or is located on a registered immovable encumbered with a building right, as well as for the handling of demolition waste and for the clean-up of the plot, including the costs associated with landscaping.
  • Rate of support:
    • The rate of support is up to 90% of the eligible costs associated with supported activities (except for a legal person governed by private law)*.
    • The grant rate in case of an applicant who is a legal person governed by private law is up to 50% of the eligible project expenses.
    • Activities supported must be carried out within 12 months of the making of the decision approving the application.

    * valid for applications that are satisfied until 31 December 2020
  • Requirements for the applicant:
    • Upon receiving the support, the recipient of the support finances up to 10% of the eligible costs associated with the supported activities*
    • The support applicant ensures that the waste generated during the demolition of a building or structure is handled in accordance with the Waste Act and the procedure for the management of construction and demolition waste that is applicable within the territory of the local government.

    * applies to applications that are approved until 31 December 2020.

Good to know

    • Rules on demolition support
    • Eligible expenses:
      • the cost of the partial or complete demolition of a building that has fallen into disrepair
      • costs associated with the handling of demolition waste and the clean-up of the plot, including landscaping, in the amount of up to 10% of the total cost of the project*
        *applies to applications that are approved starting on 01 January 2021
      • costs associated with the handling of demolition waste, cleaning up the plot and landscaping, and the costs associated with designing the landscaped area with the required benches, park furniture and small architectural forms, in the amount of up to 20% of all total eligible project costs*
        *applies to applications that are approved until 31 December 2020
      • owner supervision costs* applies to applications that are approved until 31 December 2020
      • the cost associated with designing the demolition of a residential building that has fallen into disrepair, in the event that the demolition is to be carried out as part of the project within the framework of this measure.

Application process

Submit the application form along with annexes and supplementary documents to KredEx either by email in digitally signed form to kov@kredex.ee or on paper by registered post using Eesti Post.

An application submitted on paper must arrive in a sealed envelope, or if sent by registered post, to the address SA KredEx, Hobujaama 4, 10151 Tallinn. The envelope must have the full name of the applicant, address and the notation “Demolition support”. The date on which the email was sent may not be before the day on which the call for applications opens.

All supplementary documents must be appended to the application, and in the case of shortcomings a term of up to 10 business days shall be granted for eliminating them. If the deficiencies are not eliminated, or supplementary documents are not submitted, the application will be denied.

We process the submitted applications and make the decision to approve or deny the application.

The applicant performs the works noted in the application

The applicant submits the documents necessary for disbursing the support

  • Application
  • The applicant's confirmation of the availability of funds or the budget approved by the applicant, which shows the availability of funds in the necessary extent to ensure self-financing;
  • The applicant’s decision to demolish a building or structure;
  • If the registered immovable is encumbered with a building right, then a relevant document which confirms that the residential immovable is encumbered with a building right in favour of the local government for at least 15 years and that one of the conditions of the building right is the right of the holder of the building right to demolish the existing building or structure.

Contact us

Aire Oolup
Client Manager
aire.oolup [at] kredex.ee
Kersti Saar
Client Manager
kersti.saar [at] kredex.ee