Proposed Changes to Condo Act

Alberta REALTORS® urge passage of proposed Condominium Property Act Amendments to protect the consumer

Edmonton, AB – May 8, 2013 -  Alberta REALTORS® are lending their collective voice to support Service Alberta Minister Manmeet Bhullar’s proposed amendments to the Condominium Property Act which, if passed, will allow bare land condominium corporations to collect money from condo owners, in advance, to fund maintenance and repairs to property managed by the condo corporation.

“The owners of bare land condos need assurance that the funds will be in place to undertake maintenance and repairs as the need arises,” notes President Darrell Cook of The REALTORS® Association of Edmonton adding that, “Likewise, those interested in purchasing a bare land condo need to know what they will be expected to contribute for maintenance and repair.”  

Currently many condo corporations that manage bare land properties (usually stand-alone structures, such as detached homes and duplexes) collect fees in advance from condo owners to maintain managed property, which generally includes lawns, roofs, windows, and common property such as roads and sidewalks within condo complexes.   In fact, bare land condo corporations across Alberta have collected and currently hold millions of dollars for this purpose.  However, a recent Court of Queen’s Bench decision determined that the current Condominium Property Act does not give bare land condo corporations authority to collect these fees in advance from condo owners.

“Without Service Alberta’s proposed amendments, bare land condo owners may be vulnerable to large special assessments to cover maintenance and repair costs for managed property”,  says Keith Weinbender, President of the Alberta Real Estate Association (AREA), which represents 10,000 REALTORS® and 10 real estate boards province-wide.  “We support these proposed amendments as part of our overall mission to serve and protect the needs of Alberta real estate consumers and wish to thank Minister Bhullar for bringing them forward.”

This issue of advance collection of condo fees for managed bare land condominium properties is being addressed separately from the overall Condominium Property Act review, now underway.  If passed, the changes will be retroactive.

Source: EREB.com

Lance Joumblat

Lance Joumblat

REALTORĀ®
CENTURY 21 Vantage Realty Ltd.
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