About Easy Syndic in Luxembourg

A property manager becomes mandatory as soon as there is co-ownership. When the property manager is not nominated in the condominium’s statutes (the basic act), a person must be nominated by a General Meeting in order to represent, if necessary, the condominium, and to fulfil obligations towards the condominium’s suppliers. This person may be a professional property manager or a volunteer, member or not of the co-owners’ association.

With regard to general meetings, the law stipulates that co-owners be summoned by registered mail. However, email may have a legal value if the co-owner has informed the property manager in writing that he or she wants to receive such summons by email and not by registered mail. In many instances, co-owners prefer to receive summons to General Meetings by email or regular mail simply to reduce the costs to the condominium. Communication happens more and more by email: billing, summons, notices, meter readings, etc.

If the contract is for one year, renewal of the property management nomination is decided at the annual General Meeting of the co-owners. If a property manager was nominated in the condominium’s basic act, the mandate fully expires at the first General Meeting. However, the contract may be terminated at any moment by a vote at a General Meeting of the co-owners, and under the conditions laid down in the contract. A new property manager is then nominated at that same Meeting. The co-owners will have contacted various property managers and asked for quotations before the General Meeting in order to elect and nominate a new property manager.

The term of a property manager’s contract is from one to three years, maximum. The property manager is not allowed to draw up contracts for the condominium where the terms exceed that of his or her mandate, which is decided by the General Meeting of the co-owners.

You must contact the property manager, provide your contact information as well as that of your tenants, if such is the case.

There is no obligation for a property manager to be a professional. But given the requirements, the increasingly weighty legal responsibilities, and the complexity of the task, more and more condominiums are choosing to call upon the services of a professional property management firm.

In the Grand Duchy of Luxembourg, the responsibilities of the property manager (syndic) are governed by the Law of May 16, 1975, concerning the co-ownership of constructed buildings. Whether the syndic is professional or voluntary, they act on behalf of all co-owners to ensure the management and proper administration of the common areas of the building.

Due to the complexity of the role, many co-ownerships choose to entrust this task to a professional syndic.

Main Responsibilities of the Syndic:

• Convene and organize the annual General Assembly of co-owners;

• Draft and record the minutes of decisions made at the General Assembly in the co-ownership register;

• Implement the decisions voted by the General Assembly;

• Maintain clear, transparent, and detailed accounts, manage the co-ownership’s bank accounts, issue calls for funds, and ensure invoices are paid;

• Establish a provisional budget for regular operating, maintenance, and administrative expenses;

• Represent the syndicate of co-owners in legal proceedings and all civil matters related to building management;

• Take emergency protective measures when necessary;

• Archive and transfer official documents to the succeeding syndic in case of a change;

• Facilitate access to non-confidential documents for all co-owners;

• Request multiple quotes for major works based on a specifications document to ensure fair competition;

• Keep the list of co-owners and their contact details up to date.

Syndic’s Liability

The syndic is liable in the event of mismanagement. Negligence may result in:

• Deterioration of the building,

• Financial losses due to uncollected co-ownership charges,

• Significant risks from inadequate insurance coverage.

Even a voluntary (non-professional) syndic must carry out their duties diligently. It is strongly recommended to take out civil liability insurance. If the syndic acts without remuneration, this insurance may be covered by the co-owners’ association.

The General Meeting of the co-owners is absolute. It decides which work to have or not to have done. These decisions are voted upon at an ordinary or extraordinary General Meeting, based on the proportion of votes. The property manager is responsible for executing or enforcing the decisions made at the General Meeting and performing all provisional acts of preservation and administration. The property manager can act alone for certain projects, namely urgent repairs to preserve the building’s physical integrity. Certain condominiums set a maximum amount to which the property manager can act alone.

A General Meeting is the meeting of all the building’s co-owners. It may be ordinary or extraordinary. An ordinary General Meeting takes place every year at a date set by the basic act or by the General Meeting’s decision. An extraordinary General Meeting may be called at any time by the property manager or at the co-owners’ request. The General Meeting may officially deliberate once double quorum is met, that is: more than half the co-owners are present or represented and at least half the lot owners are present or represented.

Billing may done quarterly or annually. When done quarterly, it is based on actual usage charges during the quarter. When done annually, the co-owners makes provisional payments throughout the year and a statement is prepared at year’s end. Based on the actual costs, the co-owners are reimbursed or must pay the difference to the condominium.

The property manager, whether professional or volunteer, has the primary mission of managing the condominium on behalf of all the co-owners.

They are responsible for implementing decisions made at the General Meeting, for administrative and financial management (calls for funds, paying bills, maintaining accounts), and for maintaining the common areas. They also legally represent the condominium association, particularly in court or vis-à-vis third parties. In an emergency, they can take precautionary measures to protect the interests of the condominium.

The property manager must remain neutral, transparent, and act in the collective interest. Their obligations are defined by the law of May 16, 1975, on co-ownership of built buildings.

Easy Syndic is a professional property management company whose services are suited for small buildings or condominiums of a maximum of 9 units. In fact, managing small-scale condominiums is substantially different from large-scale buildings. This means fewer restrictions and administrative burdens. All the while offering the same legal services as a “traditional” property management firm, Easy Syndic proposes the usual services at prices adapted for small-scale buildings of a maximum of 9 units in order to ensure that “management fees” don’t represent over 50% of the condominium’s annual fees. In addition to the usual services, Easy Syndic offers a series of custom services (project and claims management, utilities included, extraordinary general meeting, litigation…) with clear fees.

The General Meeting of the co-owners is sovereign and that is where it is decided if work will or will not be done. These decisions are voted by the lot owners. The property manager may independently decide on urgent work in order to preserve the building’s integrity. The General Meeting may, if it chooses to do so, give the Condominium Board the power to decide on certain work and establish a maximum budget within which it can work without needing to return to a General Meeting for a decision.

Under the strict interpretation of Luxembourg law, the property manager (syndic), whether professional or voluntary, must ensure the following:

• Draft the minutes of the decisions made during the General Assembly of co-owners;

• Record these decisions in the co-ownership register within thirty days following the Assembly, and communicate them to all co-owners as well as any other existing syndics;

• Implement and ensure the enforcement of the decisions taken by the General Assembly in accordance with legal provisions.

These obligations are set out in the relevant articles of the Law of May 16, 1975, concerning the co-ownership of constructed buildings.

It’s the property manager who manages the building’s insurance contract. It is thus he or she who manages everything related to common areas and claims by co-owners

The property management firm is responsible for overseeing work in the building’s common areas. Work done in private areas is the co-owners’ responsibility, but it is recommended to inform the property manager when work is being done. The General Meeting may decide that it is one of the co-owners who monitors the work in the common areas (quotations, follow-up, etc.) or authorize an expert to manage more specific projects (architect, engineer, etc.)