Co-ownership and rental: rules to know

The legal framework for co-ownership and rental

In Belgium, over 40% of rental properties are located in co-ownership buildings. Landlords must therefore navigate two legal frameworks: co-ownership law (Act of 2 June 2010, amended in 2018) and tenancy law (regionalised legislation). The two overlap and create specific obligations that must be mastered.

The central point is that the tenant is bound to comply with the co-ownership regulations, even though they are not a party to the deed of division. The owner remains responsible towards the co-ownership: if the tenant causes nuisance or fails to comply with the regulations, it is the landlord whom the property manager will contact.

Internal regulations and the tenant

What internal regulations can impose on the tenant

The internal regulations (ROI) contain the rules for communal living in the building. The most common clauses concern:

• Quiet hours (generally 10 pm to 7 am)
• Use of common areas (lobby, lift, laundry room, parking)
• Pets (authorisation under conditions or prohibition)
• Moving in/out (permitted days and times, protection of common areas)
• Notices in common areas
• Use of the balcony and terrace

What internal regulations cannot impose

The regulations cannot:

• Prohibit the rental of the property
• Discriminate between owner-occupiers and tenants regarding access to common areas
• Impose disproportionate restrictions on the enjoyment of the rented property

For more information on managing noise-related conflicts in co-ownership, see our guide on handling a noisy tenant.

Allocation of charges between owner and tenant

This is one of the most frequent sources of conflict. The general rule is clear:

The annual statement

Upon receipt of the annual co-ownership statement, the owner must separate the charges that can be passed on to the tenant from those that remain their own responsibility. This statement must be provided to the tenant along with supporting documents.

The general assembly: the owner represents

Who votes?

Only the owner has the right to vote at the general assembly. The tenant may neither attend nor vote, except with a specific proxy from the owner for particular items.

Decisions that affect the rental

Certain GA decisions directly affect the rented property:

• Works in common areas: scaffolding, nuisance, access restrictions
• Amendment of internal regulations: new rules applicable to the tenant
• Increase of the reserve fund: impact on the owner’s charges
• Installation of individual meters: change in the allocation of charges

Inform your tenant of decisions that affect them and update the lease annexes if necessary.

Co-ownership works and impact on the rental

Preservation works

Urgent or necessary works for the preservation of the building (roof repair, waterproofing, structure) are decided by absolute majority at the GA. The owner must fund them through capital calls and cannot pass them on to the tenant.

Improvement works

Improvement works (facade renovation, lift installation, energy upgrades) are decided by a two-thirds majority. They increase the property value but also create temporary charges.

The impact on the tenant

If the works cause significant disruption to enjoyment (noise, dust, restricted access), the tenant may request a temporary rent reduction. The owner may then seek recourse against the co-ownership if the works were carried out excessively.

For a complete overview of managing a property in co-ownership, see our complete co-ownership guide for landlords.

Best practices for landlords in co-ownership

• Provide the internal regulations to the tenant at the signing of the lease and have them sign an acknowledgement of receipt
• Include a co-ownership clause in the lease, reminding the tenant of their obligation to comply with the regulations
• Attend GAs or give a proxy to a trusted person (not the tenant)
• Inform the property manager of the tenant’s identity and contact details
• Allocate charges correctly: never pass on extraordinary charges or the reserve fund
• Keep GA minutes and annual statements for the entire duration of the lease

A rental management tool that integrates co-ownership charge tracking and GA deadlines greatly simplifies this dual management. The key is to maintain clear communication between yourself, your tenant and the property manager.