External Parties May Purchase Car Parking Spaces
The Austrian Supreme Court (Oberster Gerichtshof, hereinafter OGH) has recently determined that the three-year purchase restriction for individuals not affiliated with the property is not reset when existing condominium ownership is mutually dissolved and simultaneously reconstituted.
Subdivision of the property
Since 2000, partial condominium ownership of the property had been in effect. In 2023, all owners reached a mutual agreement to relinquish the previous condominium ownership structure, redistribute co-ownership shares, and re-establish condominium ownership reflecting updated utility values. A limited liability company held a share with condominium ownership of a car parking space and subsequently sold this interest in 2024 to the applicant, who did not possess an apartment or commercial premises on the property. The applicant proceeded to request incorporation in the land register.
A three-year plan for property owners’ advantage
The lower courts originally deemed the registration inadmissible, citing that the three-year acquisition restriction for external parties under Austrian property law (Section 5 (2) of the WEG 2002) would be reinstated due to the new partitioning. This measure was intended to safeguard the interests of current owners residing or operating businesses on the property.
The OGH determined that the three-year timeframe commences with the original creation of condominium ownership for the entire property, rather than with the establishment of individual units, such as car parking spaces. In this instance, the period began no later than 1 July 2002.
Re-parceling does not initiate a new period
The mutual agreement to cancel and concurrently re-establish does not constitute the commencement of a new period. While a co-ownership arrangement may be formally established for a brief duration, from an economic perspective, this represents a continuation of the existing structure in an amended form.
Following the expiration of the three-year acquisition restriction, the applicant became eligible to acquire the car parking space. The OGH allowed the appeal and authorized entry in the land register.
OGH 5Ob133/25g (18 December 2025)