A ruling from the Vaud Constitutional Court removes any scope for the revision of the regulation on rental housing, adopted a year ago by the Council of State, Asloca Vaud reported on Tuesday. Like Prilly, municipalities can continue to preempt for public utility housing (LUP), by financing the priority purchase of the property by a housing cooperative, for example.
On November 1, 2023, the Council of State modified the cantonal regulation of the LPPPL (RLPPPL) “to try to restrict the possibilities of municipalities to exercise their right of pre-emption”, recalls Asloca in its press release. Following this revision, the municipalities had to hold the funds necessary to acquire the land in question and thus own it before possibly making it available to third parties.
Asloca then filed an appeal, alongside 22 cross-party deputies. The Vaudois association for the defense of tenants considered that the regulatory modification led de facto to limit the possibility of municipalities – and particularly those with limited financial resources – to exercise their right of pre-emption as desired by the Vaudois and therefore, to carry out fulfill their mandate of creating public utility housing.
Right to other resources
In its judgment of November 27, 2024, the Court confirms that “the LPPPL does not prohibit the municipality from considering, even before exercising the right of pre-emption, to make available to a third party the object of the right of pre-emption”. She further notes that “to the extent that municipalities do not have unlimited resources, they must be able to resort to other resources from third parties such as private actors or cooperatives in particular, which must even be encouraged”.
The Constitutional Court concludes that article 34e of the RLPPPL cannot set a rule for financing the purchase of property. It remains free for the municipalities, and “does not imply that the municipality holds the necessary funds, when it pre-empts, but only that it can pay the sale price when the time comes, this can be paid by a partner”.
Prilly did it right
Even if, ultimately, the Constitutional Court validates article 34e and rejects the request, “it de facto removes its scope”, underlines Asloca Vaud. According to the judgment, this article can no longer bring any restriction to the existing system and is therefore incapable of preventing cases like that of Prilly.
For the second time, Prilly has thus confirmed its public-private partnership with a housing cooperative to acquire undeveloped land for 62 million francs, after a ruling by the Court of Administrative and Public Law.
Municipalities warned
Asloca Vaud points out that the right of pre-emption constitutes an effective tool for protecting housing from speculation. It in no way harms the interests of the seller – the price paid by the community being that offered by the prospective buyer – and makes it possible to meet the needs of the population.
This welcome clarification from the Constitutional Court therefore constitutes a major victory for Vaudois tenants. An inquiry to the Grand Council will ask the Council of State to quickly clarify these points.
It is now important to inform the Vaud municipalities of their extended right of pre-emption in this context of severe housing shortage. ASLOCA Vaud will send a letter to all Vaud municipalities.
As a reminder, the Vaud population had accepted in 2017 at 55.5% the LPPPL law which would allow municipalities to build LUPs by replacing market players.
This article was automatically published. Source: ats
