Foreign investors tapping into the Canadian real estate market are facing stiff restrictions on the acquisition and ownership of land in Alberta, reports Mondaq.com.
According to the province’s Foreign Ownership of Land Regulations, there is a restriction placed on foreign acquisition of mainly rural land by the establishment of a scheme of controlled and uncontrolled land.
Controlled land typically refers to farm land and ranches, which exclude Crown-owned land, land within the boundaries of a municipality, and all mines and minerals, if applicable. The Regulations are not applicable to uncontrolled land, which is primarily composed of land located in Alberta’s larger urban centres.
Foreign citizens and investment companies are not allowed to directly or indirectly acquire an interest in controlled land. However, they are permitted to do so if the interests in controlled land do not exceed two parcels containing no more than 20 acres as a result of the acquisition.
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