10 Things you need to know about a residential complex with communal areas

Introduction

Residential complex with communal areas offer unique living experiences, but they also come with specific responsibilities and regulations that property owners need to be aware of.

Whether you are considering buying a property in a complex or already own one, understanding the key aspects is essential for a harmonious community and legal compliance. In this article, we will explore ten crucial things that every property owner in a residential complex with communal areas should know.

From shared spaces to maintenance obligations and legal structures, this information will help you navigate the intricacies of communal living.

Residential complex with communal areas

Below is a list of 10 things which owners of property in a residential complex with communal areas should be aware of:

1. By the term “Communal Areas” we refer to areas on a residential complex which are to be used by all the owners and they do not belong to any one owner specifically. The communal areas can differ depending on the complex and these may be gardens, parking areas, swimming pools, roofs, stairwells, private roads, etc.

2. The developer who is constructing the residential complex will submit the architectural plans and the relevant construction permissions to the Land Registry on which the communal areas are marked. Provided that the construction permissions are adhered to, the normal process is that the Land Registry will issue the separate title deeds of each housing unit on the complex, and these will also include the percentage of ownership of the communal areas.

3. The developer who is constructing the residential complex, may (before the issuing of the separate title deeds for each housing unit) attach specific rights of exclusive use of a certain area to one specific property. For example, apartment 104 shall have the exclusive use of the parking area number 14. This means that parking space number 14 is not part of the communal areas, and it belongs exclusively to the said apartment. This can apply to storage areas, parts of the roof (roof gardens), etc.

4. A complex with communal areas may sometimes be referred to as being “horizontally divided” and this basically means that the properties which are part of such a complex are “linked” together.

5. By Law, residential complexes with communal areas must have a Management Committee (MC) which oversees the maintenance and proper upkeep of the communal areas. The MC is a legal body and as such it can sue persons and it can also be sued. The Law also provides a set of Regulations to govern the running and management of such projects.

6. The owners of properties on the complex have voting rights in accordance with their percentage of ownership of the communal areas. The percentage of ownership is mentioned on each individual property title deed.  

7. All the owners of properties on the complex are required by Law to pay their share of the cost for the maintenance and upkeep of the communal areas. Non-paying owners can be sued, and they also lose their right to vote at the general meetings of the owners.

8. The amount required by owners to pay for the maintenance of the communal areas is usually known as “common expenses” or “communal fees”. Common expenses must be worked out for each owner based on each owner’s percentage of ownership of the communal areas as mentioned in his individual property title deed.

9.  For any changes to be done on complexes with communal areas, there is a requirement for consensus by all the owners. This means that there can be no changes done to the communal areas or to individual properties on the complex which would change the appearance of that property when compared to the construction permissions. For example, no owner can close in any balcony, build a garage, build an extension to his own property, etc. unless 100% of the owners have approved it and provided that the zoning and other conditions also allow it.

10. By Law, all complexes with communal areas must always have third party liability insurance coverage for the communal areas. This is particularly important for complexes with swimming pools.

Conclusion

In conclusion, owning property in a residential complex with communal areas entails more than just individual homeownership. It involves shared responsibilities, legal obligations, and a commitment to maintaining a thriving community.

From understanding the concept of “horizontally divided” properties to paying common expenses and participating in management committees, property owners play a crucial role in the well-being of their living environment.

By knowing these ten essential aspects, you can ensure that your experience in a residential complex with communal areas is not only enjoyable but also compliant with the necessary regulations. Moreover, don’t forget the importance of third-party liability insurance to safeguard the interests of all residents.