Mexico City, June 3, 2022
On May 2, 2022 the Regulations of Book Nineteen of the Administrative Code of the State of Mexico (the “Regulations”) were published in the State of Mexico’s Official Gazette, which, together with the Administrative Code of the State of Mexico (the “Administrative Code”) seek to regulate real estate operations and services in the State of Mexico, consisting of intermediation acts, tending to the execution of purchase and sale agreements, lease, donation, loan with mortgage guarantee, transfer of ownership, trusts, adjudication, assignment and/or any other agreement to transfer ownership, use or usufruct of assets, as well as administration, commercialization and consulting of the same (the “Real Estate Operations”), through certification, registration and monitoring processes of the activities of real estate service providers and registered real estate companies that carry out real estate operations in the State of Mexico.
Pursuant to the foregoing, service providers and real estate companies that intend to carry out Real Estate Operations in the State of Mexico must be (i) certified by the Secretary of Economic Development of the State of Mexico; (ii) register in the Registry of Real Estate Service Providers; (iii) comply with the provisions of the State of Mexico’s Code of Ethics for Real Estate Operations and Services; and (iv) comply with all other obligations set forth in the Administrative Code and its Regulations. However, those individuals or legal entities that have a right in rem (derecho real) over the assets or have the owner's authorization in compliance with the applicable laws are exempt from requiring such certification, and may promote, sell and lease assets directly, without the requirement to count with the certification and/or registration, and without using real estate service providers and/or real estate companies services.