Financing for condominium projects

An acute problem faced by condominiums in many markets is financing renovations and improvements. Most laws designate the owners’ association, through the actions of its board and manager, as the organization tasked with generating the financial resources to repair, renovate, or improve deteriorating buildings. However, funds generated by condominium fees are often insufficient to undertake large-scale projects. Project costs can be further exacerbated if the condominium suffers from poor quality initial construction or if repairs and maintenance have not been conducted assiduously over time. Income inequalities among unit owners and vulnerable groups, such as pensioners or single-parent households, mean that the board is not always able to pass motions to enforce special assessments in order to raise additional funds. Therefore, financing condominium projects often becomes a challenge for the owners’ association.

Sustainable Development Goals:

No Poverty

Good Health and Well-Being

Affordable and Clean Energy