Communal Service Charges
What Every Owner of a Jointly-Owned Property Needs to Know
(and how this is determined by law)
When you own an apartment, maisonette, or any property within a jointly-owned property in Cyprus, you’re not just buying your private space — you’re also buying a share of the communal areas and facilities of the development.
This means you automatically share ownership (and the related costs) for spaces and services such as:
- Staircases, corridors, entrances, and roofs
- Gardens, parking areas, and swimming pools
- Lifts, lighting, and water systems
- Gyms, playrooms, saunas, and other shared facilities
- Photovoltaic (PV) panels and the electricity they generate for communal use
All of these fall under what the law defines as “jointly-owned property.”
🏢 What Is a “Jointly-Owned Property” (According to Cyprus Law)
Under The Immovable Property (Tenure, Registration & Valuation) Law, Cap. 224, and the Amendment Law 6(I)/1993, a building becomes a jointly-owned property when:
- The building is divided into two or more units (for example, apartments or shops), each of which can be owned separately, and
- There are common areas or facilities that all unit owners use jointly.
These common areas — such as the land, foundations, roof, stairs, corridors, parking spaces, or mechanical rooms — are legally referred to as “jointly-owned property”.
Each unit owner automatically owns a share in this jointly-owned property, which is inseparable from their unit.
That means you can’t sell your apartment without also transferring your share of the common property along with it.
This share also determines:
- How much you contribute to communal service charges,
- How insurance and maintenance costs are divided, and
- How decisions are made in the management committee.
In short, if you own part of a building that shares spaces with others — you’re part of a jointly-owned property, whether you realize it or not.
The Legal Framework
The rules come from The Immovable Property (Tenure, Registration & Valuation) Law – Cap. 224 and its amendment Law 6(I)/1993.
These define how buildings under joint ownership are managed and how expenses are shared.
Section 38Section 38A – Definition of a “Unit”
A “unit” means any apartment, office, shop or other part of a building that can be owned and used separately and independently.
Section 38H(1) – What Makes Up the Area of a Unit
“The area of a unit consists of the covered area surrounded by the outer walls of the unit and the covered and uncovered verandas and balconies of the unit are included therein.”
This is the legal basis for calculating each unit’s area when determining communal shares.
✅ Included:
- Internal covered area (within external walls)
- Covered verandas
- Uncovered verandas and balconies
- Half of any common walls shared with another unit
❌ Not included (unless they are legally registered as part of the unit):
- Roof gardens
- External storage rooms
- Parking spaces
- Plant rooms or other mechanical/service spaces forming part of the jointly-owned property
✅ Clarification – Roof Gardens, Storage Rooms & Parking (Exclusive Use)
According to the Immovable Property (Tenure, Registration & Valuation) Law Cap. 224, a distinction is made between the area of a unit and the limited joint ownership (also called exclusive use) rights that may accompany it.
If a roof garden, storage room, or parking space is noted on the title deed merely as being for exclusive use, it remains part of the jointly-owned property and does not form part of the unit’s area for Table B or communal-charge calculations.
However, if the roof garden, parking space, or storage room is legally registered as part of the unit itself—meaning it is included in the same unit description and total square metres on the title deed—then it does count toward the unit’s total area and therefore affects the owner’s percentage share of communal expenses.
In practice, the Land Registry lists such spaces separately on the title under the heading “limited jointly-owned property with exclusive use,” confirming they are attached rights, not area extensions. They remain jointly-owned by all owners, subject to one unit’s exclusive right of use, and are excluded from the unit’s area unless physically and legally integrated into it.
Section 38K(1) – Obligation to Contribute
Every unit owner must pay their share of the costs needed for:
- Maintenance, cleaning, and repair of communal areas
- Operation of communal services (lifts, lighting, gardens, pools, gyms, saunas, playrooms, etc.)
- Insurance and management of the jointly-owned property
- Utility bills for common areas
- Energy systems such as photovoltaic (PV) panels and related equipment serving the communal property
Your share is based strictly on your unit’s area, as defined by law.
How Your Share (Table B Percentage) Is Calculated
Your contribution is determined by your Table B percentage, which shows your share of the total building.
Your Share (%)=Area of Your Unit/Total Area of All Units×100
Example:
If your unit (including balconies) is 100 m², and the total area of all units is 1,000 m², your share is 10% — meaning you pay 10% of all communal expenses.
Can Owners Agree to a Different Method?
Yes — but only if 100% of owners agree in writing.
If everyone agrees, they can decide on another method (equal shares, number of bedrooms, etc.).
But if even one owner disagrees, the default legal rule (based on area) applies automatically.
This is confirmed by Section 34, which states no owner can be forced to accept other payment rules without their consent.
Common Misunderstandings
🚫 “Balconies don’t count.”
They do — the law includes both covered and uncovered verandas/balconies.
🚫 “If my unit is empty, I don’t pay.”
Wrong. Charges apply whether your property is occupied, vacant, or unfurnished.
🚫 “We can split everything equally.”
Only with unanimous (100%) consent.
🚫 “Solar panels make it free.”
Even if your complex has PV panels, there are maintenance, insurance, and inverter costs, and the energy they produce offsets communal electricity, not private consumption.
🚫 “I don’t use the roof, so I don’t pay.”
Even if you never go up there, you still legally contribute.
The roof is part of the jointly-owned property, which all owners share and must maintain. This includes waterproofing, insulation, and any mechanical or solar installations (like water tanks or PV panels).
Ownership — not usage — determines payment.
🚫 “I don’t use the lift, so I don’t pay.”
You still pay your share.
Under Section 38K(1), every owner must contribute to the expenses necessary for the maintenance and operation of communal facilities — regardless of whether they personally use them.
The lift, staircases, corridors and roof all form part of the shared building structure.
Why It Matters
Getting your communal share calculation right means:
- Each owner pays their fair amount
- The development stays legally compliant
- The management committee can legally recover unpaid fees
- The building’s value and reputation are protected
- Budgeting becomes transparent and sustainable
How Properway Can Help
At Properway, we make sure your communal service charge structure is accurate, fair, and fully compliant with Cyprus law.
We assist committees and owners by:
- Verifying each unit’s legal area and Table B percentage
- Reviewing and adjusting communal budgets
- Advising on energy systems (PV panels) and utility allocation
- Drafting clear and lawful regulations for your jointly-owned property
If you’re managing or living in a jointly-owned building in Larnaca or Nicosia, we’re here to help ensure your development runs smoothly and legally.
🏢 Contact Properway
📧 valuations@properway.co
📞 +357 96 441582
