Common charges in co-ownership: allocation between landlord and tenant
In Belgium, when a rented property is located in a co-ownership building, the landlord receives a monthly or quarterly call for funds from the building manager. These common charges cover all costs related to the management and maintenance of common areas: cleaning, lighting, lift, green spaces, but also building manager fees, reserve fund and major works. The crucial question for the landlord is which items can legitimately be passed on to the tenant.
The fundamental principle is set out in Belgian regional legislation (Brussels ordinance of 27 July 2017, Walloon decree of 15 March 2018, Flemish Woninghuurdecreet of 9 November 2018): only charges related to the use and enjoyment of common areas can be passed on to the tenant. Structural, asset-related or management expenses remain the exclusive responsibility of the landlord. This distinction is a frequent source of disputes before the justice of the peace, hence the importance of mastering it.
Common charges recoverable from the tenant
The charges that the landlord can legitimately pass on to the tenant are those directly related to the daily use of the building:
- Cleaning of common areas: entrance halls, stairways, corridors, indoor parking
- Lighting of common areas: electricity for corridors, stairwells, parking areas, entrances
- Lift: electricity consumption, routine maintenance and service contract (excluding replacement or major repairs)
- Green spaces: maintenance of communal gardens, mowing, hedge trimming
- Water for common areas: cleaning, watering of green spaces
- Collective heating: share of energy consumption (see our page on heating charges)
- Local taxes: certain municipal taxes related to services (waste collection, for example)
| Charge item | Recoverable? | Note |
|---|---|---|
| Cleaning of common areas | Yes | Products and service provider |
| Lighting of common areas | Yes | Electricity only |
| Lift (maintenance) | Yes | Service contract |
| Lift (replacement) | No | Asset-related charge |
| Green spaces | Yes | Routine maintenance |
| Building insurance | No | Landlord’s responsibility |
| Building manager fees | No | Management cost |
| Reserve fund | No | Asset-related investment |
Non-recoverable charges: exclusive responsibility of the landlord
Certain expense items related to the co-ownership can never be charged to the tenant, as they relate to ownership of the property and not its use:
- Building manager fees: the administrative management of the co-ownership is the landlord’s responsibility
- Reserve fund and working capital: these provisions for future works constitute an asset-related investment
- Major works and structural repairs: roof, facade, foundations, lift replacement, renovation of common areas
- Building insurance: the building’s insurance premium is the landlord’s responsibility (even if some leases attempt to pass it on)
- Co-ownership litigation costs: disputes between co-owners or with third parties
- Regulatory compliance work: works required by EPC or fire safety standards
In case of doubt, the principle is simple: if the expense increases the property’s value or relates to its structural maintenance, it is the landlord’s responsibility. The allocation of charges between landlord and tenant must be clearly stipulated in the lease.
Calculating the tenant’s share
The tenant’s share of common charges is determined in several steps:
- Identify the total charges of the co-ownership invoiced by the building manager to the landlord
- Separate recoverable charges from non-recoverable charges according to the criteria described above
- Apply the allocation key provided in the co-ownership regulations (generally based on shares of common parts)
- Report the share in the annual settlement provided to the tenant
In practice, the lease must specify whether charges are paid as a flat rate or as provisions. Under a provisions system, the landlord is required to provide a detailed annual settlement, supported by the building manager’s documents. The tenant can demand to see the general meeting minutes and corresponding invoices.
For buildings where common charges represent a significant amount, the landlord is advised to attach to the lease a detailed list of recoverable charges, based on the building manager’s settlements from the last 2 years. This transparency prevents disputes and secures the tenancy relationship.
Practical tip: the landlord should request from the building manager a detailed breakdown of the call for funds showing the split between current charges and extraordinary charges. Current charges (cleaning, lighting, maintenance) are generally recoverable; extraordinary charges (works, reserve fund) never are. During the annual settlement, this distinction helps avoid any dispute with the tenant.