News

The Legislative Assembly of El Salvador has approved the Law for the Creation of the Directorate of Territorial Planning and Construction, a new regulation that will change how construction permits and territorial development are managed in the country. 

The Directorate of Territorial Planning and Construction (DOT) will be responsible for: 

• Authorizing subdivisions and construction permits for areas equal to or larger than 250 square meters. 

• Maintaining a registry of professionals and service providers in urban development and construction. 

• Issuing regulations, policies, plans, administrative acts, and actions related to its functions. 

The DOT will coordinate with the Ministry of Environment and Natural Resources and the National Geographic Institute to ensure that projects comply with environmental and geographical regulations. 

Applicants will need to submit a detailed development plan, including environmental impact studies, architectural plans, and a risk assessment. The fee for processing permits will vary depending on the project’s size, with a minimum of USD 500.00 and a maximum of USD 10,000.00. 

Exclusions from Application 

However, the law will not apply to projects carried out within the defined perimeter of the Historic Center of San Salvador; to projects covered by the Law of Development and Territorial Planning of the Metropolitan Area of San Salvador and its Surrounding Municipalities and its Regulations; to subdivisions financed, developed, or owned by the State; public institutions, local governments within their jurisdiction, and those governed by laws related to agrarian reform. 

The law will also exclude agricultural subdivisions; residential subdivisions developed and marketed before September 7, 2012; urban development, subdivision, and construction projects that benefit the public interest and are executed by state institutions that are part of the Housing System; the construction and maintenance of public works; as well as works related to security, aqueducts, and service operation towers, among others. 

Oversight and Transparency 

The DOT will be required to publish a quarterly report of all permits issued, including details of approved and pending projects. 

An internal audit system will be established to oversee the correct application of the law and prevent acts of corruption. 

Additionally, the Director General will be appointed by the President of the Republic and ratified by the Legislative Assembly, with a term of five years. The Advisory Council will be composed of representatives from the private sector, academia, and civil organizations, who will advise the Directorate on the implementation of policies and procedures. 

Mauricio Orellana 
mauricio.orellana@garciabodan.com
Socio
García & Bodán
El Salvador

Rodrigo Benítez 
rodrigo.benitez@garciabodan.com
Asociado
García & Bodán
El Salvador