Real Estate Sector - new obligations to prevent and combat money laundering

The Institute of Public Markets, Real Estate and Construction, IP (IMPIC, IP), approved the regulation to prevent and combat money laundering and terrorist financing in the real estate sector, which provides for the communication of various information to IMPIC by August 25, 2019.

The Regulation aims to reinforce existing rules and obligations in order to create greater risk assessment requirements in the real estate sector and, to that end, sets a set of obligations for entities with real estate activities, such as the duty to control, the duty of identification and diligence, the duty of conservation, the duty of training, and last but not least, the duty of Communication to the IMPIC.

In this context, special attention should be given to the fact that these entities are required to communicate to IMPIC the date of commencement of business, the elements relating to each real estate transaction, the elements relating to lease agreements whose monthly rental value is equal to or above €. 2,500.00 (contracts entered into after July 1, 2019), and the mandatory appointment of a regulatory compliance officer (RCN) when the entities are public limited companies or limited liability companies or sole proprietors whose number of employees, in employment or service contract regime exceeds five.

This communication of the RCN figure must be made to IMPIC, in a proper form available on the authority's website from July 1, 2019 and until August 25, 2019.