Regulations on condo conferences may be relaxed
Regulations on condo conferences may be relaxed
The Ministry of Construction’s draft circular on the management of apartment buildings stipulates that apartment building conferences are deemed legitimate with the presence of 50% of apartment owners instead of 75% as currently regulated.
The draft circular also specifies conferences for condo buildings must be held within 12 months upon the date of the buildings being put into service and after at least 50 apartments have been handed over to buyers.
Within seven days of the date chosen for organizing the conference, if fewer than 50 apartment owners attend the event, investors in or owners of the condo buildings may propose the ward-level authorities organize apartment building conferences in line with the draft circular.
Many condo buildings have failed to organize apartment building conferences due to the insufficient participation. Article 13 of the Ministry of Construction’s Circular 02/2016 stipulates that condo building conferences must be held only when at least 75% of buyers who have taken possession of their apartments can attend the conference.
However, most buyers are purchasing apartments for lease rather than to live in them and lessees cannot attend condo building conferences, so participation numbers cannot be met.
Regarding decisions made by apartment building management boards, the draft circular regulates that at least 50% of the board members, instead of 75% as currently regulated, must agree for a decision to take effect.
Besides this, 75% of the board’s members, instead of 100%, can decide on maintenance spending for apartment buildings.
Expenses for the organization of conferences are financed by contributions from apartment users and owners.
