printable version | August 2021
On August 4, 2021, the Agreement establishing the guidelines for the conversion of offices into housing in Mexico City and the general resolution granting tax benefits was published in the Official Gazette of Mexico City, valid until December 31, 2024.
These guidelines will only apply to properties located in urban corridors or residential areas of the municipalities of Azcapotzalco, Benito Juárez, Coyoacán, Cuauhtémoc, Gustavo A. Madero, Iztacalco, Miguel Hidalgo and Venustiano Carranza that have any of the following types of zoning: Residential (H), Residential with Commerce (HC), Residential with Offices (HO), Mixed Residential (HM), Residential with Commerce and Services (HCS), Residential with Entertainment (HE) in the Historic Center, Residential, Services and Offices (HSO) or Neighborhood Centers (CB).
In addition to the above, only properties used as offices and/or commerce with occupation with functional obsolescence or in disuse or abandonment or properties with a low-impact industrial activity with occupation and with functional obsolescence or in disuse or abandonment will participate in the conversion of offices to housing.
People whose properties meet the above requirements and wish to begin a process of reconversion of their property must register and enroll at the window enabled by the Secretariat of Urban Development and Housing (SEDUVI). Interested persons will present the documentation on the electronic portal and the Responsible Unit will decide on its suitability. Subsequently, the Responsible Unit will review the project and determine whether it incorporates elements of sustainability and compliance with the applicable regulations. If the Responsible Unit decides favorably, it will issue an Approval Opinion with which the interested person will be able to process the corresponding construction declaration and will have access to tax benefits.
Tax benefits include exemption from payment of contributions contemplated in the Tax Code of Mexico City related to the procedure, that is, exemption from payment of fees for the installation of intakes to supply drinking or waste water or to expand water intakes, fees for the construction declaration types "B" and "C", demolition license, subdivision, re-lotting or merger of properties, fees for registration in the Public Registry of Property and Commerce of Mexico City, certificate of freedom from liens and opinion of urban impact study.
To apply these tax benefits, the applicant must not have tax credits disputed through administrative or jurisdictional appeal.
If you require additional information, please contact the partner responsible for your matters or one of the lawyers mentioned below:
