Can the developer's bank or creditors take the land my off-plan apartment is built on?
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Short answer
Yes. Until your purchase is registered, the land stays in the developer's name, exposed to any mortgage or seizure entered first[1]. Existing mortgages pass to you unless cleared. Kallas Law Firm says provisionally inscribing your promise of sale keeps your rank against later mortgages[1,2], but such inscriptions lapse[3] and their effect on off-plan units is unconfirmed.
Also asked as: “What if the land under my off-plan apartment is mortgaged?” · “Can the developer's creditors seize my off-plan flat?” · “Developer's bank loan on the land of my new apartment” · “Is my off-plan apartment safe if the developer goes bankrupt?”
Libnanews reported in August 2026 that the 2018 bankruptcy of the developer Sayfco left about 600 buyers exposed, because bank mortgages on the projects blocked delivery of their titles. Some settlement proposals asked buyers for an extra USD 10,000 to lift the mortgages and register[4]. This page covers what was published up to 17 October 2026.
Key facts
- Before you register
- You hold only a personal right; the land stays in the seller's name[1]
- Charges already on the folio
- Pass to the buyer unless cleared before the purchase[1]
- Who ranks first
- Date of entry in the registry's daily journal, not the date of signing[3]
- Protecting your rank
- Provisional inscription of the promise of sale, according to Kallas Law Firm[1,2]; it lapses after one month, six months, two months or up to one year[3], and how it works for off-plan units is unconfirmed
- Releasing a mortgage
- For an interest-bearing debt, prior approval of the tax departments[7,8]; a Land Registry fee of 1% of the debt released[8], according to Kallas Law Firm
- Unpaid building-violation sums
- A privileged debt on the folio, with interest at 12% a year[9]
Why the land is exposed until you register
In Lebanon you become owner only when the sale is inscribed at the Land Registry[1]. Until then you have a claim against the seller, not ownership[1,10]. Mortgages, seizures and court actions count against third parties from the date they are inscribed on the property's folio[3]. Between competing rights, the one entered first in the registry's daily journal wins.
The registry also protects people who rely on what it shows. Someone who acquires a right on a property relying on the registry keeps it, unless they knew of the defect beforehand[3]. A bank that takes a mortgage on a plot whose folio does not mention you is in that position. A promise of sale that is not inscribed cannot be relied on against third parties acting in good faith[1,2].
An off-plan flat has no folio of its own yet. The register is kept by property, each with its own folio[3]. The registry cannot finally divide a building into separate units until the owner shows an occupancy permit and proof of water and electricity connections[11]. While the building goes up, the folio you can check is the plot's. Only after division does each unit get its own number added to the plot number[12].
A mortgage or debt already on the plot
Some developers have built with bank loans secured on the land, as in the Sayfco case[4]. Any mortgage, privilege, attachment or notice of litigation on the folio carries over to the buyer unless it is cleared before the purchase[1]. So read the Land Registry extract before you pay anything, and check that the plot's owner is the person or company selling to you. See how to check that the seller owns the land.
Releasing a registered mortgage that secures an interest-bearing debt needs prior approval of the tax departments[7,8]. Kallas Law Firm puts the Land Registry fee for a release at 1% of the debt released[8]. We found no source on how a bank releases one future unit from a mortgage on the whole plot, or who pays. That belongs in your contract, drafted with a lawyer.
Banks are not the only possible creditors. Unpaid sums under the 2019 building-violations law are registered as a privileged debt on the folio[9]. Fines for unpermitted work are a privileged debt too, and the municipality gives no clearance until they are paid[11]. The Special Investigation Commission can also place a note on a property register that an asset is under verification, and ask the prosecutor to freeze it[13].
A mortgage or seizure after you sign
If you sign while the folio is clean, the risk is whatever gets entered after you. Kallas Law Firm says a provisional inscription of the promise of sale on the property's folio keeps your rank against any later sale or mortgage[1,2]. Provisional inscriptions lapse after one month, six months, two months or up to one year[3], depending on how they were made. Ask your lawyer which kind you hold and when it ends. More in whether a promise of sale protects you.
An inscription does not make you the owner. The same firm says an annotation based on an ordinary sale contract or a power of attorney does not transfer ownership, and your right stays personal and subject to the ten-year limitation until final registration[14]. The firm's page does not deal with off-plan units, so ask a lawyer how the ten-year limit applies while your flat has no folio of its own. Selling the same property twice is fraud under the Penal Code, according to Kallas Law Firm[15]. Forged powers of attorney have also been used to mortgage property in Lebanon[16,17,18].
Kallas states the general rule on provisional inscription, but no source we found confirms how it applies to a plot mortgaged during an off-plan project. Nor does any source say whether a bank mortgage entered after your provisional inscription ranks below you, whether creditors can seize units already promised, or how a developer's insolvency is handled (see Can I cancel or claim compensation if my developer delivers months late?). A Lebanese property lawyer reading your contract and the plot's extract is the right next step. If the project has already stopped, see what you can do when a developer stalls.
How to check the plot and protect your rank
- Get an official extract (ifadeh aqariyeh). It is issued at the land registry office for the property's area[5,20]. According to Legalmondo, a law firm (June 2025), it is requested in person and costs USD 5[5]. The same firm says anyone may request one, so a lawyer or someone you trust in Lebanon can collect it. Online and OMT copies are unofficial and for reference only[5,6,19,21].
- Read every charge on it. Look for mortgages, pledges, seizures and pending court actions[5,6]. Legalmondo says no certificate is issued while a lien or registration on the plot is still in process[5]. If the office refuses one, ask why before you pay. If the owner is a company, an individual company certificate shows who manages it; Kallas puts it at 2 business days but names neither the office nor the fee[6]. A lawyer can request it for you.
- Match the paper to the ground. Check that the plot number is the land you visited. Where the cadastral plan and the ground differ, the plan prevails[3,22]. Our sources give no procedure or fee for getting the plan, so ask the land registry office for the property's area[5,20] or a lawyer how to obtain it. See how to get a cadastral map or survey.
- Ask for a provisional inscription of your promise of sale. It is made on the plot's folio, and Kallas Law Firm says it keeps your rank against later mortgages[1,2]. Our sources do not say who files it, which documents it needs or what it costs, so ask the lawyer or the notary (kateb adel) drafting the promise to handle it and confirm the cost. It lapses after one month, six months, two months or up to one year[3], depending on how it was made, and how it works for an off-plan unit is unconfirmed. Ask for a new extract afterwards that shows your inscription.
- Pull a fresh extract before each instalment. In a June 2026 police case in Halat, a buyer learned that a deed was forged only when he tried to register, after paying[23]. A recent extract before each payment is your own check, independent of the developer or the agent.
- Register the moment you can. Inscription should follow the deed without delay[1]. See how to register your flat after completion.
It depends on
- Whether a mortgage is already on the plot. If it is, it ranks ahead of anything entered after it[3]. Ask a lawyer to negotiate its release before you pay.
- Building violations. Unpaid violation sums sit on the folio as a privileged debt[9]. Ask the municipality whether the project has open violations.
Common questions
Can the bank take the building if the developer stops paying its loan?
Does a provisional inscription make me the owner?
No. Kallas Law Firm says an annotation based on an ordinary contract or a power of attorney does not transfer ownership, and your right stays personal until final registration[14]. The firm also says a provisional inscription keeps your rank against later sales or mortgages[1,2], but it lapses after a set period[3] and no source confirms how this works for an off-plan unit.
Is it a crime if the developer sells my flat to someone else?
Sources
Checked against these sources. The numbers in the text point here.
- 1.How to Buy Property in Lebanon: The Legal Steps from Verification to Inscription
Kallas Law Firm · 9 Jun 2026 · read 16 Oct 2026
- 2.The Promise of Sale, the Right of Pre-emption, and Acquisitive Prescription in Lebanese Real-Property Law (Part Five of the Practical Guide to the Code of Real Property)
Kallas Law Firm · 25 May 2026 · read 17 Oct 2026
- 3.The Land Registry in Lebanese Law — Part Six of the Practical Guide to the Code of Real Property
Kallas Law Firm · 25 May 2026 · read 16 Oct 2026
- 4.Real estate in Lebanon: the value that prices still refuse to admit
Libnanews · 12 Aug 2026 · read 17 Oct 2026
- 5.How to Find Real Estate and Land Register Information in Lebanon
Legalmondo · 17 Jun 2025 · read 17 Oct 2026
- 6.Lebanon Asset Search: How to Find Real Estate and Company Ownership Records
Kallas Law Firm · 25 Oct 2025 · read 17 Oct 2026
- 7.Law 10/2022 (General Budget Law for 2022), consolidated text with amendments
Lebanese University Legal Informatics Center (legallaw.ul.edu.lb) · 15 Nov 2022 · read 17 Oct 2026
- 8.Real estate fees calculator
Kallas Law Firm · 24 May 2026 · read 17 Oct 2026
- 9.Law 139 of 9/7/2019 settling building violations committed 13/9/1971 to 31/12/2018
Lebanese University Legal Informatics Centre (copy of DGU text) · 9 Jul 2019 · read 17 Oct 2026
- 10.Legislative and Administrative Land and Property Rights Framework. Lebanon
GLTN / UN-Habitat · May 2024 · read 16 Oct 2026
- 11.Law 646 of 16/12/2004 (Building Law), amending Legislative Decree 148 of 16/09/1983
Lebanese Republic, Ministry of Public Works and Transport, Directorate General of Urban Planning (DGU) · 16 Dec 2004 · read 17 Oct 2026
- 12.Condominium Ownership of Built Immovables in Lebanese Law — Eighth and Final Part of the Practical Guide to the Lebanese Code of Real Property
Kallas Law Firm · 25 May 2026 · read 17 Oct 2026
- 13.ABL compilation: Full text of main financial and banking laws 2015-2016 (incl. Law 42 of 24 Nov 2015 on cross-border cash declaration), French text
Association of Banks in Lebanon (ABL) · 24 Nov 2015 · read 17 Oct 2026
- 14.Real estate sale in Lebanon: ordinary sale contract, irrevocable power of attorney and registration in the land registry
Kallas Law Firm (klfi.net) · 12 Apr 2025 · read 17 Oct 2026
- 15.Theft, fraud and breach of trust: how Lebanese law distinguishes the three crimes
Kallas Law Firm · 23 Aug 2026 · read 17 Oct 2026
- 16.حاولوا الاستيلاء على عقار بقيمة نصف مليون دولار... ما علاقة كاتب العدل؟
Annahar · 19 Oct 2025 · read 17 Oct 2026
- 17.Photograph of a suspect arrested for fraud and forgery circulated: Have you been a victim of his crimes?
Internal Security Forces · 14 Jul 2026 · read 17 Oct 2026
- 18.Sanitized Cases – 2023 Forgery Report (STR)
Special Investigation Commission · undated · read 17 Oct 2026
- 19.OMT: Viewing Title Registers (Land Registry service page)
OMT (Online Money Transfer S.A.L.) · undated · read 17 Oct 2026
- 20.Inheritance in Lebanon: Probate, Estate Declaration and Inheritance Tax (2026)
Kallas Law Firm · 27 Jun 2022 · read 17 Oct 2026
- 21.Viewing Title Registers Electively Through OMT
OMT (Online Money Transfer S.A.L.) · 13 Oct 2020 · read 17 Oct 2026
- 22.Land Delimitation and Registration Works in Lebanese Law — Part Seven of the Practical Guide to the Code of Real Property
Kallas Law Firm · 25 May 2026 · read 17 Oct 2026
- 23.ISF: arrest of suspect forging a property deed in Halat
Internal Security Forces (ISF), Lebanon · 24 Jun 2026 · read 17 Oct 2026
Related questions
- How do I check that an off-plan seller owns the land and has a building permit?Have someone you trust pull the official Land Registry certificate, then confirm the permit with the municipality. Steps, costs, POA risks and gaps.
- Is a promise of sale enough to protect me when I buy an apartment that is not built yet?Not on its own. A promise binds others only if inscribed at the Land Registry, and an unbuilt flat has no folio yet. Risks, limits and checks.
- How do I check a title deed in Lebanon before buying?Get your own official Land Registry extract and read it before you pay. Where to get it, the cost, red-flag entries and what it does not show.
- How do I get a land registry extract in Lebanon and what does it cost?Ask in person at the land registry office for the property's area; one law firm says USD 5. The numbers you need, OMT and online copies, and what to check.
- My developer stopped building after taking my money. What can I do?Civil remedies for stalled projects are not published, so see a lawyer. What to check at the Land Registry and municipality, and when it is fraud.
- How do I get my off-plan apartment registered in my name once the building is finished?The building's owner gets a final occupancy permit, divides the building into units at the Land Registry, then your sale is registered. Steps, fees, checks.
- How can I check that a property developer in Lebanon is reliable before I pay a deposit?We found no register of developers, so check the project: the plot's Land Registry extract, the company's records and the permit. Steps and costs.
- Can someone sell my property, or one I buy, with a forged deed or a fake owner ID?Yes: 2026 police cases show forged deeds, fake IDs and forged POAs used to sell or mortgage property. How it worked and the checks to run.


