§ 25

An amount not exceeding 7 percent of the property value, as determined on April 1, 1973, during the 15th general assessment of the country's real estate, is allocated in the budget for the property's yield.

Stk. 2.Instead of yield according to the rule in subsection 1, the landlord for properties put into use after 1963 can calculate a yield amount not exceeding reasonable payments on typical long-term mortgage loans taken to finance the property's construction, plus an appropriate interest on the remaining part of the reasonable acquisition cost after deducting tenant deposits. The appropriate interest is considered to be:

1)8 percent for properties put into use in 1964.

2)10 percent for properties put into use in 1965-69.

3)12 percent for properties put into use in 1970-73.

4)14 percent for properties put into use after 1973.

Stk. 3.Instead of yield under subsections 1 and 2, the landlord for properties financed with index loans according to § 2, subsection 1, no. 9, in the previously applicable law on index-regulated mortgage loans can calculate the yield as the interest the landlord continuously pays on index loans taken to finance the property's construction, plus 4 percent of the indexed principal. The landlord can also calculate an interest of 4 percent on the remaining acquisition cost after deducting tenant deposits. The amount calculated according to the second sentence is adjusted by the same percentage rate by which the principal of the index loan is adjusted.

Stk. 4.For properties put into use after January 1, 1989, constructed and rented by landlords covered by the law on real interest tax, the same yield amount can be calculated as calculated under subsection 3 for a corresponding property financed with the largest possible index loan under § 2, subsection 1, no. 9, in the previously applicable law on index-regulated mortgage loans.

Stk. 5.If rent increases for improvements were implemented in the period from January 1, 1964, to April 1, 1973, the yield can be calculated up to 7 percent of the property value at the latest general assessment prior to the improvement's implementation, plus a yield on the reasonable improvement expense calculated according to the rules in subsection 2, so that the time of the improvement's use determines the interest rate percentage.

Stk. 6.If the property is divided into condominiums after the 15th general assessment, the yield is calculated based on a proportional share of the property value at the 15th general assessment.

Stk. 7.To the calculated yield, the landlord can add the amount that was set aside or could have been set aside per square meter of gross floor area at the end of 2014, cf. § 9, subsection 7, in the previously applicable law on temporary regulation of housing conditions, cf. statutory order no. 962 of August 14, 2010. The amount in the first sentence is adjusted according to the rules in § 204, subsection 1.