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Untitled Document
Owners Assocication


What is the Owners Association?
The Owners Association is a non-profit establishment, is a separate legal entity from its members and has the right to sue and be sued. The Owners Association is responsible for the management, monitoring and maintenance of common areas within Jointly Owned Property and each unit owner is a member of the Owners Association.

When is the Owners Association formed?
The Owners Association is legally formed or established upon issuance of the first title deed for a unit within the Jointly Owned Property by the Land Department, and in accordance with the regulations, the Owners Association must be registered with RERA.

How is the Owners Association managed?
The Owners Association is managed by the board members of the Association who are elected by all owners of units within the Jointly Owned Property as registered with RERA. The board is composed of not less than 5 members and no more than 7 members along with three members of the reserve and the board elect the chairman. The board will be responsible for managing the affairs of the Owners Association, either by appointing an association manager who is either:

  • An individual who is an owner of an unit within the Jointly Owned Property and who has been granted permission by RERA to manage the Owners Association; OR
     

  • Contracted with an Owner Association management company which is registered and licensed with the Real Estate Regulatory Agency.

What is service charge?
The service charge is the annual fee approved by the Owner Association which represents the cost of managing and maintaining the common areas in Jointly Owned Property to ensure the continuity and quality, and is divided into two parts:

  • General Fund, comprising expenses relating to:

    • Service and maintenance fees, as calculated by licensed service providers via contracts;

    • Utilities fees, such as electricity, water and air-conditioning charges;

    • Management fee;

    • Insurance fees; and

    • Master community fees, if the jointly owned property forms part of a master community.
       

  • Reserve Fund, comprising expenditure relating to long term maintenance.