CONDOMINIUM EXPERT

Act 16 regulates the management and maintenance of condominiums in Quebec.

It makes three key professional elements mandatory:

• a study of the contingency fund, which plans for the future costs of major repairs and replacements;

• a maintenance log, which defines the frequency and nature of work to be performed on the building;

• and a certificate on the condition of the syndicate, which must be provided when selling a unit to ensure transparency and accurate information for the buyer.

Its purpose is to ensure the longevity of buildings and protect co-owners from unexpected special assessments.

The reserve fund study is a financial planning tool.

It allows you to establish an annual contribution plan, ensuring that the association has the necessary funds when major foreseeable work becomes necessary.

Only engineers, architects, certified appraisers, or professional technologists with the required expertise may produce a study that complies with Act 16.

The cost depends on the number of units and the complexity of the building. On average, the rate ranges from $2,000 to $4,000 for a small standard condominium, but may vary depending on the scope of the mandate.

At Borée, we also offer group rates for neighboring associations with similar structures.

The update must generally be carried out every five years to ensure that the financial forecasts remain accurate and compliant with Act 16.

However, depending on certain characteristics of the condominium, the update of the contingency fund study alone could be carried out every ten years.

The maintenance log is a tracking document that lists all planned maintenance, inspection, and replacement work on common areas.

It helps the board of directors to plan preventive work, prioritize budgets, and ensure traceability of the work carried out.

The maintenance log also contains technical data on the building, including all components, their lifespans, and their estimated costs.

This information forms the basis for the contingency fund study, enabling accurate financial projections to be made in accordance with Act 16.

A horizontal syndicate encompasses several separate buildings on the same property (e.g., rows of condominiums), while a vertical syndicate involves a single multi-story building.

This distinction influences the scope of inspections and the management of common areas.

In the case of a horizontal syndicate, there is often no building under review, but rather common infrastructure such as access roads, parking lots, drainage systems, or landscaping.

As a general rule, major work on common areas with restricted use (balconies, terraces, windows, etc.) is financed by all co-owners. However, their inclusion in the contingency fund depends on the provisions of the declaration of co-ownership.

At Borée, we assess this point when drafting our studies to ensure compliance with the declaration.

In case of doubt or complex situations, we recommend that the association seek validation of the interpretation from a notary specializing in co-ownership law.

A study consists of four stages:

1️⃣ Receipt of information and documents from the syndicate

Collection and analysis of plans, co-ownership declarations, technical reports, and other relevant documents.

2️⃣ Visit to the building by an engineer

Visual inspection of common areas to assess their condition, remaining life, and short-, medium-, and long-term maintenance needs.

3️⃣ Technical and financial analysis

Assessment of replacement costs, projection of expenses, and development of contribution scenarios in accordance with Bill 16.

4️⃣ Delivery of the complete report

Presentation of a detailed report including contribution scenarios, maintenance recommendations, and financial tables.

⏱️ The average delivery time is approximately 90 days following the visit.

Condominium associations have until August 14, 2028, to comply with Bill 16.

This means that they must have a professional conduct the following:

• A study of the contingency fund;

• The maintenance log.

This three-year period, starting from the effective date of the Regulation (Bill 16), is intended to allow all syndicates to comply.

💡 Tip: It is best not to wait until the deadline, as demand for experts will increase significantly as 2028 approaches.