Legal Update | New Law No. 21,826: Amendments to Various Legal Frameworks to Streamline Urban Planning and Building Permit Procedures

On June 24, 2026, Law No. 21,826 was published in the Official Gazette, introducing amendments to various legal frameworks aimed at expediting the processing of urban planning and building permits.

In general terms, Article 1 amends Decree with Force of Law No. 458 of 1975, issued by the Ministry of Housing and Urban Development, which enacted the General Urban Planning and Construction Law (“LGUC”); Article 2 replaces Article 15 of Law No. 21,473 on Advertising Visible from Roads, Streets and Public Spaces; and Article 3 amends Decree with Force of Law No. 1 of 2006 of the Ministry of the Interior, which sets forth the consolidated, coordinated and systematized text of Constitutional Organic Law No. 18,695 on Municipalities.

Below is a summary of the most relevant changes:

1. Changes to the Timeframes for Decisions on Building Permit Applications

The general period available to the Municipal Works Director (“DOM”) to issue a decision on a building permit application has been reduced from 30 calendar days to 25 business days.

However, where the application includes a favorable report issued by an independent reviewer, the review period is reduced to 15 business days.

For projects with an occupancy load of 1,000 people or more, the applicable review period will be 50 business days, which may be reduced to 30 business days if accompanied by a favorable report from an independent reviewer.

Finally, applications for minor works permits and lot consolidation approvals will be subject to a special review period of 15 business days.

2. Introduction of a Formal Admissibility Review

The Law introduces a formal admissibility review under which the DOM must verify that all documentation required for each type of application has been submitted and that it corresponds to the relevant project.

If the application fails to meet these requirements, the DOM must declare it inadmissible through a reasoned resolution specifying the grounds for rejecting its filing. Such a decision may be challenged in accordance with Articles 12 and 118 of the LGUC.

Asimismo, si el DOM no dicta dicha resolución de inadmisibilidad dentro de los primeros 5 días hábiles, contados desde la presentación de la solicitud, esta se entenderá acogida a trámite.

3. Liability of Specialized Project Designers

The Law expressly provides that professionals and technical experts responsible for specialized project designs must comply with all applicable regulations governing such projects and shall be liable for any errors committed in the performance of their duties where such errors result in damages or losses.

4. Appeals Before the Regional Secretariat of Housing and Urban Development

The Law revises the appeal procedure before the Regional Secretariat of Housing and Urban Development (“SEREMI”) in cases where the DOM rejects a building permit application.

Interested parties will have 30 days to file an appeal, counted from the publication date or notification of the relevant decision, or from the filing referred to in the fourth paragraph of Article 118 of the LGUC, as applicable.

The SEREMI must issue a reasoned decision within 40 business days. If the appeal is upheld, the SEREMI may wholly or partially revoke the challenged decision and order its replacement, amendment or the adoption of any appropriate corrective measures. Where applicable, it may also instruct the DOM to grant the relevant permit, subject to payment by the applicant of the corresponding municipal fees. In such cases, the amount payable to the DOM will be reduced by 50%, with the remaining 50% allocated to the SEREMI for the benefit of the Treasury.

SEREMI decisions may be challenged before the competent Court of Appeals pursuant to Article 118 ter. If the Court upholds the appeal, it will determine whether the claimant is entitled to compensation for damages, where requested, and will refer the matter to the Public Prosecutor’s Office if it considers that the violation may constitute a criminal offense.

5. Traffic Impact Mitigation Reports

La resolución que aprueba el informe de mitigación será requisito para el otorgamiento del permiso respectivo y tendrá una vigencia de 3 años desde su notificación. Una vez obtenido el permiso, su vigencia se extenderá hasta completar un máximo de 10 años, para efectos de solicitar la recepción definitiva de las obras.

Asimismo, para proyectos que exijan un informe de mitigación de categoría básico o intermedio, dicha resolución será requisito para la recepción de las obras y tendrá una vigencia de 10 años desde su notificación. Si, vencidos dichos plazos, no se solicita la recepción, o si solicitada es rechazada, el titular deberá presentar un nuevo informe de mitigación y cumplir las medidas que se dispongan al aprobarlo. Lo anterior no afectará las etapas con mitigaciones parciales ya ejecutadas y recepcionadas, cuando la resolución aprobatoria del informe las haya considerado.

6. Entry into Force

The Law entered into force on the date of its publication in the Official Gazette (June 24, 2026). Its amendments apply only to permit or authorization applications, as well as appeals, filed after that date. Appeals filed prior to the Law’s entry into force will continue to be processed under the legal framework in force at the time of their filing.