In the article “Simplified reclassification to urban land: when can it occur?”, published in idealista/news, Rui Ribeiro Lima addresses the recent legislative changes that introduced a simplified mechanism for the reclassification of land to urban land in Portugal. The partner at Morais Leitão explains how these changes to the legal framework governing territorial planning instruments may accelerate the development of industrial projects and strengthen the country’s economic competitiveness.
Amendments to the Land Law create a new reclassification mechanism
The amendments to the Land Law, approved in January 2024 and reinforced in April 2025, allow land reclassification to occur, in certain circumstances, through amendments to municipal territorial planning instruments. According to Rui Ribeiro Lima, this procedure makes it possible to “implement a significant change in land use within a short period of time when compared with the ordinary amendment procedure, which would take years”.
Territorial planning instruments and land classification
Among the main aspects addressed in the article are:
- the framework of territorial planning instruments, namely municipal master plans, urbanisation plans and detailed plans;
- the distinction between urban land and rural land and their respective land-use regimes;
- the new simplified reclassification procedure, applicable, for example, to industrial, logistics or storage projects.
Urban land reclassification may shift from years to months
The new mechanism may significantly reduce reclassification timeframes, traditionally between five and ten years, to an estimated period of three to five months, provided that the land is not located within the National Ecological Reserve, the National Agricultural Reserve or areas classified as sensitive.
Impact on investment attraction and economic development
In the lawyer’s view, this solution creates more favourable conditions for attracting investment and supporting the country’s reindustrialisation, while also strengthening the role of municipalities in promoting economic development.
Read the full article on simplified reclassification to urban land in idealista/news.
