Amendments to the Common Building Ownership Act

16 September 2022

Expat Assistance, Real Estate, News

You may find it challenging to manage and upkeep a holiday apartment in a commonly-owned building in Bulgaria, while you live abroad.

If, for example, the building were flooded, affecting your apartment in the process, you will face a hard time coordinating with the other owners to have the problem fixed. The law governing the relations between owners in such buildings is inflexible and out of touch with modern day IT solutions, which makes it difficult to establish and maintain dialogue between neighbours, take legally binding decisions, solve problems, collect money for renovations, etc.

With the above in mind, the Bulgarian government has published for a public discussion its bill amending the Common Building Ownership Act, which should serve to address these problems. 

The bill aims to do this by proposing changes such as:

  • The owners’ meeting may be held also online. If an owner cannot attend a physical meeting, he may send a declaration by email, signed with a qualified e-signature, within 7 days of the meeting.
  • The quorum for owners’ meetings will no longer be 67% of the total area of all units in the building, but 51%, thus facilitating easier adoption of decisions. Also, in case of lack of quorum, the meeting can be adjourned for an hour later and be validly held regardless of the turnout. As opposed to what the law currently states, that it has to be adjourned for the next day in case of lack of quorum.
  • The owners’ book, where their identifying details are recorded, may be stored electronically. Currently, lack of such readily available data prevents effective communication between owners.
  • Owners who do not live in the buildings for more than 30 days per year will no longer be exempt from paying their building fees, which should increase the income of the commonly owned buildings, which is helpful for future common expenses.
  • To raise accountability, the building manager will each month publish a report on the building’s incomes and expenses.
  • Each commonly owned building will have to open its own bank account, which would facilitate the fees collection and increase transparency.

We at NBLO will keep monitoring the changes to the Common Building Ownership Act. In the meantime, if you need any legal assistance with your property in Bulgaria, please do not hesitate to contact us. 

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The Bulgarian and dual-qualified lawyers of New Balkans Law Office are regulated by the respective Bar of their registration. New Balkans Law Office is a brand name of Legal Services EOOD, a company registered under Bulgarian law. Reg’d No. 202331677. Further details are available here.

© New Balkans Law Office 2022