What is a Split Title? What to Do After Receiving Split Titles from Developers?

• 3 February 2022
• Local News
• 6182 Views

Split or divided title deeds have become popular in Cambodia’s real estate market, especially for the borey or Dey Lo (divided land plot business) sector. But what exactly is a split title? How many types are there? And as a buyer, what should you do after receiving a split title from the developer?

According to Prakas No.087 on Land Development, a split title refers to the division or splitting of a large land plot into multiple smaller ones for sale or for other development purposes.

By law, after splitting the title, the landowner must ensure proper public infrastructure, public space, green space, and public services in accordance with land use regulations.

There are two forms of title split: split with ownership transfer and split without ownership transfer.

The split with ownership transfer is the division of land into small plots and transferring them to other owners immediately, which can be done in the form of purchasing, gift, exchange, inheritance, or court order.

On the other hand, the split without ownership transfer, as the name would suggest, is the split for only sale purposes with no immediate ownership transferral. The transfer can be done plot by plot upon the completion of the sale.

Therefore, as a buyer of a Dey Lo or borey unit, after receiving the split title deed, it is essential to re-register or transfer ownership to the buyer’s name at the Cadastral Administration.

From 2022 onwards, all borey owners and co-owned building developers are urged to split the land title deeds and register the strata-title first before making any sale transactions.

The new order aims to increase transparency in sale transactions and reduce real estate disputes between project owners and buyers. (Read more)

 

 

• Laws and Regulation