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Service Charges Explained For French Apartments

Posted by Domosno on 25 June 2024
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How Service Charges are Allocated to Apartment Owners in French Buildings

In a French co-ownership building, commonly referred to as “copropriété,” service charges are shared among property owners based on their ownership share, known as “tantièmes” or “millièmes.” Here’s how it works:

Determining Ownership Shares

  1. Tantièmes or Millièmes: Each unit in the building is assigned a certain number of tantièmes, which represent the owner’s share of the common areas. These shares are usually determined based on the unit’s size, location, and purpose (residential, commercial, etc.)​ (Juridique Expertise)​​ (Meilleure Copro)​.
  2. Calculation Basis: The number of tantièmes allocated to each unit is found in the building’s bylaws, specifically in the “state of division” document. This document details the ownership structure and the share of common charges for each unit​ (Homeland Immo)​.

Calculating Service Charges

  1. General Charges: These cover expenses for maintaining and operating the common areas and facilities, such as insurance, cleaning, and general maintenance. The formula to calculate each owner’s contribution is:Owner’s Share of General Charges=(Tantieˋmes of Owner’s UnitTotal Tantieˋmes)×Total General Charges\text{Owner’s Share of General Charges} = \left( \frac{\text{Tantièmes of Owner’s Unit}}{\text{Total Tantièmes}} \right) \times \text{Total General Charges}For example, if an owner’s unit has 144 tantièmes out of 10,000 total tantièmes, and the total general charges are €98,764, the owner’s share would be €1,422.20\year
  2. Special Charges: These are for specific services or amenities that not all units use equally, like elevators, parking spaces, or gardens. The charges are allocated based on the utility each unit derives from these services. For instance, units on higher floors might pay more for elevator maintenance than those on the ground floor​ (Juridique Expertise)​​ (Meilleure Copro)​.
  3. Utilities and Individual Services: Water and electricity costs for common areas are typically divided among owners proportionally based on their tantièmes. However, individual units might have separate meters for their specific usage, billed directly to the unit owners​ (Homeland Immo)​.

Adjusting and Contesting Charges

Owners can request adjustments to the allocation of charges if they believe the current distribution is inequitable. This usually requires a vote at the general assembly of co-owners, with a majority or double-majority approval depending on the nature of the changes. Adjustments are often made to reflect building changes or usage patterns​ (Juridique Expertise)​​ (Bien’ici)​.

Understanding the allocation of service charges in a French copropriété is crucial for property owners. Charges are calculated based on the ownership shares (tantièmes), which reflect the unit’s proportion of the building’s common areas. This system ensures that costs are fairly distributed according to the benefits each unit receives from shared facilities and services.

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Understanding Typical Service Charges for a Building in France

When purchasing or managing a property in France, it’s essential to understand the typical service charges associated with a building, known as “charges de copropriété.” These charges cover the maintenance and operation of common areas and shared facilities. Here’s a detailed breakdown of a typical building managed by a French Syndic.

Key Categories of Service Charges

  1. Insurance
    • Building Insurance: €1,800 annually
    • Legal Protection: Included in the insurance policy
  2. Common Area Maintenance
    • Building A Common Areas: €230 per month, €2,760 annually
    • Building B Common Areas: €230 per month, €2,760 annually
    • Garage Cleaning: €150 per visit, €300 annually
    • Garage Door Maintenance: €500 per door, three doors, totalling €1,500 annually
  3. Elevator Maintenance
    • Building A Elevator: €3,200 annually
    • Building B Elevator: €3,200 annually
    • Telephone Lines for Elevators: Included in the elevator maintenance contract
  4. Fire Safety Compliance
    • Building A: €100 annually for compliance updates
    • Building B: €100 annually for compliance updates
    • Boiler Room: €30 annually for compliance updates
    • Garages: €300 annually for compliance updates
  5. Grounds and Seasonal Maintenance
    • Garden Maintenance: €1,000 annually
    • Snow Removal for Pedestrian Areas: €55 per passage for both buildings
    • Snow Removal for Vehicle Areas: €70 per passage plus €90 for markers, totaling €900 annually
  6. Heating and Ventilation
    • Boiler Maintenance: €1,600 annually
    • Ventilation Systems (VMC) for both buildings: €250 per building, €500 annually
  7. Pumping and Ventilation Maintenance
    • Sewage Pump Maintenance for Building B: €1,300 annually
    • Smoke Extraction Fan Maintenance for Basements: Included in garage security contract
  8. Management Fees
    • Property Management (Syndic) Fees: €9,600 annually
    • Postal Fees: €800 annually
    • Bank Fees: €176 annually
    • Meeting Room Rental for General Assembly: €150 annually
  9. Utilities
    • Water Consumption and Subscription for Building A: Estimated €7,750 annually
    • Water Consumption and Subscription for Building B: Estimated €3,000 annually
    • Electricity Consumption and Subscription for Building A: Estimated €2,300 annually
    • Electricity Consumption and Subscription for Building B: Estimated €1,000 annually
    • Electricity Consumption and Subscription for Garages: Estimated €800 annually
  10. Miscellaneous Charges
    • Advance Treasury Fund: €1,500 annually
    • Other Miscellaneous Costs: €1,500 annually

Total Annual Service Charges for the building

The total annual service charges for the building amount to €49,926. These charges ensure the property is well-maintained, safe, and comfortable for all residents. Expect around 120€/month for a 2-bed apartment. If the residence has staff, reception and pool, expect around 250€/month. 

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