Dec. 29, 2009
FREDERICTON (CNB) - A new act to govern the approval, purchase and sale processes for condominiums in New Brunswick takes effect on Jan. 1, 2010. The new Condominium Property Act will modernize the approval process, increase transparency in the purchase and sale process, and provide the necessary tools to allow corporations to successfully administer their condominiums.
"The new Condominium Property Act will make condo development fairer, safer and more in line with other Canadian jurisdictions," said Business New Brunswick Minister Victor Boudreau, who is also the minister responsible for Service New Brunswick. "Increased transparency throughout the purchase and sale process will balance the responsibilities of developers with the rights of consumers."
The act will require condominium corporations with more than 10 units to have or complete a reserve fund study. This study will define the reserve fund required for that corporation, and help determine the budget for current and future maintenance or repairs to the buildings. As well, these corporations must submit annual financial statements to the director of condominiums at Service New Brunswick, ensuring that every condominium owner is kept appraised of its corporation's financial status.
Increased consumer protection will allow purchasers a 10-day cooling-off period to obtain legal advice and to review important documents that outline the rules and requirements for living in their new condominium community.
The new Condominium Property Act replaces the current act from 1969, and sets out the rules for operating and managing condominiums in New Brunswick. The new act contains a framework created to better protect consumers.
During the past 15 years, condominiums have become an increasingly popular housing choice in New Brunswick, with more than 200 condominium corporations located throughout the province. Sixty-two per cent of the 3,300 units in the province were approved in the last 10 years.
More information for current and prospective condominium owners, and for those working in the condominium industry, is available online.
MEDIA CONTACT: Brent Roy, communications, Service New Brunswick, 506-453-6775.