Dealing with Construction Permits in
Brazil
Listed below is detailed summary of the procedures, time and costs to build a warehouse —including obtaining necessary licenses and permits, completing required notifications and inspections and obtaining utility connections.
The information appearing on this page was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 183 economies. The most recent round of data collection for the project was completed in June 2011.
-
Building a warehouse
-
Estimated Warehouse Value:
BRL 1,203,055
- City: São Paulo
| No. |
Procedure |
Time to Complete |
Associated Costs |
| 1 |
Request and obtain proof of land ownership from Real Estate Registry Office
Attesting to proof of land ownership, this certificate is valid for only 30 days. Procedures 1 and 2 can run in parallel.
Agency: Real Estate Registry
|
2 days
|
BRL 30
|
| * 2 |
Request and obtain proof of land tax payment from Treasury of the Municipality
Attesting to payment of land taxes, this certificate is valid for only 30 days. Procedures 1 and 2 can run in parallel.
Agency: Treasury (Municipality)
|
7 days
|
no charge
|
| 3 |
Register employees with the Social security Office
For each construction site, BuildCo must register employees separately with social security (Instituto Nacional de la Seguridad Social, INSS).
Agency: Social Security Office
|
1 day
|
no charge
|
| 4 |
Submit proof of payment to Social security
At the end of construction, BuildCo must submit proof of payment to its construction workers and file a request with the Social Security Office to obtain a clearance certificate.
Agency: Social Security Office
|
1 day
|
no charge
|
| 5 |
Request and obtain Construction Approval Permit and Construction Execution Permit
To obtain the construction approval permit and the construction execution permit on the warehouse project, BuildCo must apply for them with the municipality. If the project conforms to municipal legislation, zoning law, and the municipal building code, the municipality would issue a document approving construction. To apply for these permits, BuildCo must submit the architectural drawings and real estate documentation (real estate title or real estate tax).
After examining the project’s architecture and engineering and issuing the permit, the municipality examines the practical and installation aspects and begins the process of issuing an execution permit.
BuildCo can request both permits simultaneously, but the municipality grants the permits in a specific order.
The permit fee can vary drastically, depending on the project size and location. However, the basic fee for this size of project is BRL 3,252 plus BRL 354.
Valid for a year, the construction approval permit is a prerequisite for subsequent procedures. The construction execution permit is valid for 3 years. Due to backlog of projects, the time required for this procedure is at least 9 to 10 months.
Agency: Municipality
|
274 days
|
BRL 4,053
|
| * 6 |
Request and obtain Equipment Operating Permit
The permit allows the use of construction equipment.
Agency: Municipality
|
60 days
|
BRL 75
|
| 7 |
Request and receive frame inspection from Municipality
The inspection is carried out 2 weeks after it is requested.
Agency: Municipality
|
1 day
|
no charge
|
| 8 |
Request and receive inspection of the structures from Municipality
Agency: Municipality
|
1 day
|
no charge
|
| 9 |
Request and receive labor inspection from Labor Public Attorneys’ Office
Agency: Labor Public Attorney
|
1 day
|
no charge
|
| 10 |
Request and receive sanitary inspection from Municipality
Agency: Municipality
|
1 day
|
no charge
|
| 11 |
Request and obtain conclusion approval
After construction is completed, BuildCo must request this approval from the municipality to attest that the construction is finished and work performed according to the construction approval permit and the construction execution permit. The approval is valid until the first amendment of the construction project. To request and obtain conclusion approval, BuildCo must submit the following documents:
- Application form, addressed to the São Paulo Municipal Secretariat of Housing and Urban Development (SEHAB).
- First page of construction and territorial booklet.
- Construction permit.
- Engineering and CREA card.
- Receipt evidencing payment of construction work tax.
- Sets of approved plans (two).
- Administrative tax.
- ART of chief engineer.
Agency: Municipality
|
60 days
|
BRL 460
|
| * 12 |
Receive final inspection from Municipality
The final inspection applies to larger scale projects. However, small-scale projects may receive random inspections.
Agency: Municipality
|
1 day
|
no charge
|
| 13 |
Request and receive Fire Department Inspection
The fire department must approve the warehouse safety equipment. This inspection is valid for 3 years.
Agency: Fire Department
|
31 days
|
BRL 700
|
| 14 |
Request and obtain operation License
Upon completing the construction procedure and the fire department inspection, BuildCo must apply for the relevant operation license before the municipality and show evidence that the company can develop the specific business at the site. To obtain this license, the company must present all warehouse project documentation.
If the warehouse is to be sold after completion, this procedure might be done by the buyer and not BuildCo.
Agency: Municipality
|
60 days
|
BRL 25
|
| 15 |
Request and connect to water and sewage
This procedure can begin after Procedure 14 has been completed. The connection request is filed with the Water Agency and Sewerage Agency.
Agency: Water and Sewerage Agencies
|
30 days
|
no charge
|
| * 16 |
Request and connect to telephone
The company must file a request with the Local Concessionary of Telecommunications to obtain the telecommunications connection.
Agency: Local Concessionary of Telecommunications
|
15 days
|
BRL 100
|
| * 17 |
Register with the Real Estate Registry Office
At the end of construction, BuildCo must register the facility at the Real Estate Registry. BuildCo must present the title of the land and certificate from the Social Security Office.
Agency: Real Estate Registry
|
15 days
|
BRL 2,000
|
* Takes place simultaneously with another procedure.