The COST Action G9 'Modelling Real Property Transactions'
 
Erik Stubkjær


Aalborg University, Denmark
 
 
 
 

Kick-Off Meeting of the COST Action G9: 'Modeling Real-Proparty Transactions'
Nov 1.-3. University of Bremen, Germany

Overview
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Objectives of G9: Modelling Real Property Transactions

2. The main objective of the Action is 

to improve the transparency of real property markets and to provide a stronger basis for the reduction of costs of real property transactions 

by preparing a set of models of real property transactions, 

which is correct, formalised, and complete according to stated criteria, and 
then assessing the economic efficiency of these transactions.
 

 
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Participants and mode of financing

Action number : G9
Domain : Miscellaneous
Action Title : Modelling Real Property Transactions
Draft MoU : 328/00
Entry into force : 01/03/2001
End of action : 04/06/2005

Total number of Signatories : 11

http://cost.cordis.lu/src/action_detail.cfm?action=g9
http://www.i4.auc.dk/est/cost/COSThome.html

 01/03/2001
Austria 
Denmark
Germany
Netherlands
Spain

Slovenia
Finland
United Kingdom

Sweden
Hungary

Latvia
17/09/2001
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Multi-disciplinary group - Diverse motivations

 
Geodetic-cadastral surveying 
(DK, FIN, A, SLO, HU)		 Researchable body of knowledge
Philosophy
Computer science (ontology, db) 
(USA, D, DK)		 Application of specialized knowledge
Law (S,  NL, GB, CAN)
Economy (DK, ES)		 Articulate differences CEur-CW
Together Transparency of transactions
Improved potential for enhancement of efficiency
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Research activities according to TA

  • Describe and compare the variety of forms of land tenure
  • Describe transaction types (conveyance of title, ..., subdivision, etc.)
  • Establish taxonomies of technical terms
  • Quasi-formal modelling based on the above investigations
  • Develop formal methods for modelling property transactions
  • Apply the developed methods on few, selected countries
  • Investigation in quantitative terms of transaction costs
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Real Property Rights - A Person-Land-Society relation

Dispositions: The content
of Real property Rights
Unit of Real Estate: The object
of Real Property Rights
Physical dispositions
- Use, possess, gain usufructs
- Construct, fence

Legal dispositions
- Sell, inherit
- Mortgage, use as collateral
- Lease, rent
- Subdivide, change shape
- Grant easement

 A parcel of the surface of the Earth
- Horizontal and vertical boundary
- Delimitation relative to movables

Definitions according to statute law
- Unit of cadastre
- Unit of land registry
- Unit according to agric. law
- Unit of property taxation
- Condominium
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Ex 1: Real Property Rights (B)

Dispositions: The content
Unit of Real Estate: The object
The context for dispositions regarding Real Estate
Restrictions of R P R
  • Compulsory purchase
  • Purchase restrictions
  • Spatial planning
  • Adverse possession
 Infrastructure of R P R
  • (Police) Protection of privacy
  • Solving title and boundary disputes
  • Performance of forced sales 
  • Maintenance of cadastre and land registry
  • Protection of boundary marks
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

A formal description of subdivision - The Danish case

Activity Subdivision recorded in cadastral system
Context Owner sells a parcel for construction
Actors Cadastral surveyor, owner, cadastral authority
Trigger Owner requests the service of the cadastral surveyor
Sub-activities 
  1. Request accepted
  2. Cadastral, land registry, and planning data collected and assessed
  3. Strategy for specific case chosen

    4.  
  4. Boundaries and lots established and marked
  5. Case cleared with respect to holders of rights
  6. Case approved with respect to restrictions on land use

    7.  
  7. Case approved by cadastral authority
  8. Parties informed of the approval

    9.  
  9. Statement on allocation of easements
  10. Fee to cadastral surveyor paid
  11. Documents (cadastral map of parcel) to owner
Variations 2., 4., 5.
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Specification of Concepts

Source: 
Cycorp, Inc., www.cyc.com; 
© 1996, 1997
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen

Summary

  • World view
    • Multi-disciplinary, until new discipline established
    • Conceptual unity achievable, even across legal regimes
  • Methodological variety
    • Semi-formal restructuring of knowledge
    • Formal specification of semi-formal structures
  • Challenges 
    • Validity - What will the lawyers say ? 
    • Complexity - Why is your structure better then mine ?
Stubkjær: Modelling Real Property Transactions Kick-Off Symposium, November 2001, Bremen