Building, extending or carrying out construction work in Iceland means dealing with the rules on building and planning. They affect both developers and neighbours. Here are the basics.
Building permits
Most construction work requires a building permit (byggingarleyfi) from the local municipality, issued by its building officer (byggingarfulltrúi). Before granting it, the municipality checks that the project complies with the plan and the building regulations.
Starting work without the required permit can lead to fines and orders to stop or even remove the construction. Some minor works are exempt, but check before you start.
Local development plans
The local development plan (deiliskipulag) decides how land in a specific area may be used: what may be built, how large and for what purpose. It sits under the municipality's overall master plan (aðalskipulag).
When a plan is changed, the proposal is advertised and residents and landowners have the right to submit comments within a set period.
Neighbours' rights
Construction can affect neighbours through loss of view or light, noise or traffic. Neighbours are often entitled to be consulted about planned projects and can appeal permits they consider unlawful.
Correct procedure matters for everyone: a permit granted without proper consultation may be annulled.
When a dispute arises
Disputes about building and planning are common, between developers and municipalities or between neighbours. Decisions can be appealed to the Environmental and Natural Resources Board of Appeal (úrskurðarnefnd umhverfis- og auðlindamála), usually within one month.
These cases fall under environmental, natural resources and planning law.
When a lawyer helps
Whether you are planning a project or want to object to someone else's, a lawyer can assess your position, prepare comments or an appeal and protect your interests during the process.
Find a lawyer under environmental and planning law, or for contractor disputes under construction law. You can also browse lawyers by region.