A major demolition in Baku: How will the money given to residents be calculated?

Large-scale reconstruction and landscaping works to be carried out in Baku city have already become one of the main topics on the agenda. Within this process, the demolition of old and dilapidated buildings is planned, and in their place, modern residential and infrastructure facilities will be constructed. Simultaneously, issues of relocating residents, compensation, and providing new apartments come to the forefront.

Regarding this matter, real estate expert Anar Nəsirov told Demokrat.az that according to the master plan of Baku city until 2040, demolition and landscaping works will be carried out in all districts of the city: 

"If the demolition is intended for state needs, that is, if it concerns the construction of any strategic object, park, roads, metro lines and stations, tram lines, etc., then compensation will be paid to people based on the square meters of their apartments.

In other cases, if the demolition is carried out by relevant construction companies within pilot projects aimed at renewing, landscaping, and modernizing the city, negotiations will be held with the residents. This process mainly covers houses that have come to the end of their service life and are old and dilapidated."

The expert stated that the demolition process will be implemented in four stages:

"In the first stage, the square meters of the apartment to be demolished are determined and agreed upon between the demolition company and the residents. In the second stage, the square meters of the apartment to be given in the newly constructed modern building are agreed upon between the parties. The third stage concerns the repair of the apartment to be given. At this stage, two options are available. The apartment owner can take the money for repairs and do the work themselves. Alternatively, by agreement, the construction company repairs the apartment at its own expense and presents it to the residents in a renovated state. In the fourth stage, residents living in the demolished buildings or yard houses are provided with rental apartments during the construction period. The rental apartment is provided until the construction is completed and the building is handed over to the residents, and the rent is paid by the construction company. After the building is handed over, the rent payment is stopped and the residents move to their new apartments. After the apartments are handed over to the citizens, the contract becomes null and void."

Anar Nəsirov said that the conditions of the agreement between the construction companies and the citizens differ from the conditions of demolitions conducted for the construction of state-important facilities:

"During state projects, only compensation based on square meters is paid to citizens. Because new residential buildings are not built in these areas. During demolitions and reconstruction works carried out by private construction companies, citizens are given apartments in newly built multi-storey buildings on the site of their previous apartments or in the same area, with additional square meters calculated.

It should be noted that all buildings will not be demolished at the same time; the process will be carried out in stages. In the demolished areas, modern-type buildings, parks, transport infrastructure, including railway stations and tram lines, will be constructed. At the same time, old buildings in Baku city that have reached the end of their service life and are dilapidated will be demolished and replaced with multi-storey buildings that meet modern standards. These projects aim at landscaping and further beautifying the city," he said.