School Construction PPPs

Who owns the land?

The land remains state property. The investor gets usage rights (build-operate rights) for the project duration.

What happens after the contract ends?

Usually, the built school is transferred back to the state free of charge or for a nominal fee.

Can the company rent out part of the school?

Yes, if allowed by contract. For example, renting out the gym during non-school hours for extra revenue.

Who controls construction quality?

The State Supervision Service and an independent engineer hired by the state or funding bank.

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School Construction PPP (Public-Private Partnership) is a specific service focused on creating new educational infrastructure. In Georgia, the state often lacks resources to build or renovate all schools, so it invites the private sector. In this model, a private company builds the school at its own expense, and the state pays an "Availability Payment" over years, or the company gets rights to use part of the space commercially. This is a complex construction and financial project requiring strict legal regulation: land allocation, building permits, compliance with standards, and long-term operation terms. Legal.ge offers lawyers who will help you sign construction PPP contracts and successfully implement the project.

What Does School Construction PPP Service Cover?

The service combines construction law and PPP regulations. It includes:

  • Land and Infrastructure Issues: Legal formalization of receiving construction land from the state (usufruct, build-operate rights).
  • Construction Contracts (EPC): Preparing Engineering, Procurement, and Construction contracts under international standards (FIDIC).
  • Standards Compliance: Ensuring the building meets safety and sanitary norms established for schools.
  • Payment Mechanisms: Legal guarantees for the settlement model with the state (staged or periodic).
  • O&M Agreement: Defining terms for building maintenance and operation after completion.

Real-World Scenarios Where You Need This Service

For example, a construction company won a tender to build 5 new schools in the regions. The contract stipulates the company must maintain the buildings for 15 years. A lawyer will help calculate risks: what if the state delays payment? Who is responsible for natural wear and tear? A correctly drafted contract protects the company from unforeseen costs.

Georgian Legal Framework

The sector is regulated by the "Law on Public-Private Partnerships" and the "Code on Spatial Planning and Construction." School construction is subject to special regulations (Class III-IV buildings), requiring strict expertise and supervision. The PPP contract must account for these requirements.

The Process Step-by-Step

1. Permit: Obtaining a building permit. 2. Contract: Signing construction and operation agreement with the state. 3. Construction: Legal support of the process. 4. Handover: Commissioning act. 5. Operation: Long-term management.

Why Choose a Specialist on Legal.ge?

Building a school via PPP is a huge responsibility. On Legal.ge, you will find lawyers experienced in infrastructure projects who know how to protect your interests in dealings with the state.

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