Revolution in Spatial Planning, Part I

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Investment and construction process

With today’s article, we are launching a series of publications dedicated to the amendment of the Spatial Planning and Development Act, most of whose provisions came into effect on September 24, 2023. The scope and nature of the changes allow us to state with full responsibility that we are witnessing the most significant reform and, at the same time, a revolution in spatial planning since 2003, when the currently binding Spatial Planning and Development Act came into force. The introduced changes, which we will discuss in more detail in future publications, will impact all participants in the investment and construction process, with investors and municipal government bodies being the most affected.

Municipal General Plan

The first significant change introduced by the amendment to the Spatial Planning and Development Act is the replacement of the Municipal Study of Conditions and Directions of Spatial Development with the Municipal General Plan. Unlike the Study, this document is to be an act of local law, meaning it will be a legally binding regulation. This means that its provisions will apply to both public administration authorities and citizens, including investors.

The Municipal General Plan is intended to serve as the foundation for spatial planning in every municipality and will primarily define municipal urban standards and planning zones. The purpose of the Municipal General Plan is to establish guidelines for drafting Local Spatial Development Plans, which will continue to function within the legal framework, albeit with some changes in their nature.

The deadline for municipalities to prepare General Plans has been set for December 31, 2025. However, since the enactment of the amendment, municipal authorities have been raising concerns about the inability to adopt the General Plans within this timeframe due to the extensive and time-consuming procedure. Therefore, an extension of this deadline is expected, with efforts in this direction already underway at the end of 2023.

Integrated Investment Plans

A significant innovation in the Spatial Planning and Development Act is the introduction of Integrated Investment Plans.

This concept was previously unknown in Polish legislation, although some of its elements existed within legal practice and were regulated through civil law agreements between investors and public administration bodies. The Integrated Investment Plan will be adopted by the relevant municipal council upon an investor’s request and will serve as the basis for repealing the relevant part of the Local Spatial Development Plan. Additionally, it will enable the conclusion of an agreement in the form of a notarial deed between the investor and the municipality, specifying the terms for implementing a specific investment and the investor’s obligations.

The Integrated Investment Plan is intended to facilitate the implementation of large-scale projects in areas where such development was previously prohibited, in exchange for specific commitments from the investor to the municipality, such as constructing roads, sanitation infrastructure, or even educational facilities to serve a broader community.

Limited Issuance of Land Development Conditions Decisions

The amendment to the Spatial Planning and Development Act also significantly restricts the issuance of land development conditions decisions. Previously, such decisions were issued for properties not covered by a Local Spatial Development Plan.

Following the amendment, and specifically after the adoption of Municipal General Plans, this possibility will only remain for designated infill development areas specified in the Municipal General Plan. This measure aims to limit development in areas without local plans, which will undoubtedly reduce the supply of land available for investment, consequently increasing the value of investment properties. This approach has not yet been widely implemented, making it difficult to predict how legal doctrine and administrative court rulings will interpret these provisions.

Public Participation in Spatial Planning

The changes introduced to the Spatial Planning and Development Act on September 24, 2023, also provide for greater public participation in spatial planning by allowing citizens to submit proposals for planning documents and to express their opinions on proposed planning solutions.

Urban Register

The amendment also introduces the obligation to publish spatial planning data in a publicly accessible and free Urban Register, maintained in an electronic system, which is set to be established by January 1, 2026.

The details of the individual changes in the Spatial Planning and Development Act will be discussed in future publications.

We also encourage you to contact us, as we offer support to participants in the investment and construction process in adapting to the new legal landscape.