The acquisition of immovable property by aliens in Georgia divides into two different regimes: non-agricultural property is acquired under the general rule, while on agricultural land the law establishes a system of strict restrictions. On this page we explain the frame of the Organic Law of Georgia on Ownership of Agricultural Land — who may own agricultural land, under which exceptions, and with what transitional rules — and show what this means for a practical transaction.
The Scope and Grounds of the Law
The organic law applies to agricultural land existing on the territory of Georgia and regulates relations connected with the ownership of a plot of such land. The legal grounds of ownership are listed in the law itself: the Constitution of Georgia, international treaties, this law and other legal acts of Georgia. This definition matters so that the preparation of a transaction works within the correct normative frame — every transaction in agricultural land passes through the filter of this law; the designation of a plot is determined from an extract, and it is there that the question arises which regime applies to your case.
Who May Own Agricultural Land
The law writes the circle of owners clearly: agricultural land may be owned by the state, the autonomous republic, the municipality; in a defined case — by a legal entity of public law; by a citizen of Georgia; and by a private-law legal entity registered in Georgia whose dominant partner is among the listed subjects. The law also permits an organized formation that is not a legal entity to own agricultural land — if such subjects constitute the majority of its members and simultaneously have the practical possibility of decisive influence over decisions connected with that land. For the alien the law leaves a single path: agricultural land may be in the alien's ownership if the alien received it by inheritance. A legal entity registered in Georgia whose dominant partner is an alien and/or a legal entity registered abroad — or whose dominant partner cannot be determined — acquires agricultural land only on the basis of an investment plan, by decision of the Government of Georgia.
The Chain of Dominant Partners
The law also regulates the chain of partners: the ownership of a legal entity registered in Georgia over an agricultural plot is determined according to the dominant partner of the partner legal entity — and this rule extends to every subsequent partner legal entity. Concealing foreign control at some step of the chain therefore yields nothing: the identity of the final dominant partner decides whether the restriction applies to the entity. The statutory exception operates for financial institutions and international financial institutions — within their permitted activity, including the case of acquisition of the collateral by the creditor.
Non-Agricultural Property and Registration
The restrictions do not extend to non-agricultural property: an apartment, commercial space or non-agricultural land is acquired by an alien under the general rule, and registration of the acquisition proceeds under the public registry legislation. We note: alien regimes of other states are not applicable in Georgia — the Georgian organic law applies.
Transitional Provisions
The law protects rights acquired in the past: the established restrictions do not hold up registration on the basis of a right-establishing document issued in compliance with requirements before the law's entry into force — a court (arbitration) act, an individual administrative-legal act, a transaction or another legal act. Likewise, a right of an alien or foreign-dominant legal entity registered at the moment of entry into force generates no new obligations; and if a citizen whose right is registered loses citizenship, the obligations established for aliens do not extend to the registered right. This balance makes checking the history of the acquisition necessary — at the preparation stage the extract and the document of the origin of the right must be checked together, before signature.
Frequently Asked Questions
Below we answer the most widespread questions about the acquisition of immovable property by aliens.
May an alien buy land?
Non-agricultural — yes, under the general rule; agricultural — only by inheritance, and for a foreign-dominant legal entity only by investment plan with a government decision.
What is the dominant-partner rule?
Ownership of an entity over an agricultural plot is assessed by the identity of the final dominant partner in the chain — the rule applies at every step.
May a non-incorporated formation own land?
Yes — an organized formation that is not a legal entity may own agricultural land if permitted subjects constitute the majority of its members and have the practical possibility of decisive influence.
Do I buy an apartment under the same rule?
Yes — the restrictions do not extend to non-agricultural property; registration proceeds under public-registry rules.
What happens with old rights?
Registration on documents established before the law is not held up; rights registered at entry into force generate no new obligations.
How We Help on Legal.ge
The Legal.ge team determines the category of the property and the regime corresponding to your status, checks the chain of dominant partners and prepares the transaction so that the risk of the agricultural restrictions is managed without obstacles. In a written consultation you receive an assessment for your specific acquisition — by property category, your status and need, including the agricultural restrictions. Contact us through the Legal.ge website.