Division 1 — Management by owner developer
before management corporation constituted
Application of this Division
15.—(1)  Subject to subsection (2) and section 134, this Division applies only to any development of land —
(a)for which planning permission is granted (whether before, on or after 1 April 2005) for strata subdivision after completion of any building thereon; and
(b)on which more than 4 lots or proposed lots are or are to be constructed.
(2)  This Division applies to a development mentioned in subsection (1) when 2 or more lots or proposed lots in the development are sold to more than one purchaser.
Developer to establish maintenance funds
16.—(1)  The owner developer of a development to which this Division applies must establish one or more maintenance funds in accordance with this section at any time on or after —
(a)the date the first temporary occupation permit is issued in respect of any lot or proposed lot in the development; or
(b)a subsequent date when this Division applies to the development,
whichever is the later.
[35/2017]
(2)  The owner developer of every such development must establish a general maintenance fund, which must be used for the following purposes only:
(a)to pay for the expenses incurred on or after the establishment of the general maintenance fund in providing —
(i)cleaning services for the common property;
(ii)security services and amenities for the occupiers of the lots or proposed lots in that development; and
(iii)any other services necessary for maintaining the common property in a state of good repair;
(b)to maintain, repair and renew fixtures and fittings (including lifts) in that development, not being fixtures and fittings installed in a lot or proposed lot sold or intended for sale to a purchaser;
(c)to maintain, repair and renew sewers, pipes, wires, cables and ducts used or capable of being used in connection with the enjoyment of 2 or more lots or proposed lots in, or the common property of, that development;
(d)to pay any premium for the insurance of that development against damage by fire and other risks;
(e)to pay rent and rates, if any;
(f)to pay any fee for the auditing of the maintenance fund;
(fa)to pay any connection charge payable under section 31M, and any tariff payable under section 31N, of the Environmental Public Health Act 1987;
(g)to pay all charges reasonably incurred for the administration of the maintenance fund and the common property of that development.
[48/2018]
(3)  Where any such development comprises any limited common property, the owner developer must, in addition, establish a separate special maintenance fund, which must be used for the following purposes only:
(a)to pay for the expenses incurred on or after the establishment of the special maintenance fund in providing —
(i)cleaning services for that limited common property;
(ii)security services and amenities for the occupiers of the lots or proposed lots in that development for whose exclusive benefit that limited common property has been designated under the sale and purchase agreement with the owner developer; and
(iii)any other services necessary for maintaining that limited common property in a state of good repair;
(b)to maintain, repair and renew fixtures and fittings (including lifts) in that development comprised within that limited common property, not being fixtures and fittings installed in a lot or proposed lot sold or intended for sale to a purchaser;
(c)to maintain, repair and renew sewers, pipes, wires, cables and ducts used or capable of being used in connection with the enjoyment —
(i)of that limited common property; or
(ii)of 2 or more lots or proposed lots in that development for whose exclusive benefit that limited common property has been designated under the sale and purchase agreement with the owner developer;
(d)to pay rent and rates (if any) connected with the limited common property;
(e)to pay any fee for the auditing of the special maintenance fund;
(f)to pay all charges reasonably incurred for the administration of the special maintenance fund and the limited common property of that development.
(4)  Any owner developer who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 and, in the case of a continuing offence, to a further fine not exceeding $100 for every day or part of a day during which the offence continues after conviction.
Duties of owner developer as regards maintenance funds
17.—(1)  Subject to subsection (2), the owner developer of the development must —
(a)in respect of every lot or proposed lot in the development sold —
(i)pay into the relevant maintenance fund an amount equal to the amount of maintenance charges which would have been payable by the purchaser until such maintenance charges are due and payable; and
(ii)collect all maintenance charges from the date the maintenance charges are due and payable from the purchaser of every lot or proposed lot in that development and pay all such maintenance charges into the relevant maintenance fund established under section 16;
(b)in respect of every lot or proposed lot in the development not yet sold, pay into the relevant maintenance fund an amount equal to the amount of maintenance charges which would have been payable by a purchaser of that lot or proposed lot if sold from the date the relevant maintenance fund is so established under section 16; and
(c)pay all income derived from the common property and limited common property (if any) of that development into the relevant maintenance fund for that development from the date the relevant maintenance fund is so established under section 16.
[35/2017]
(2)  Despite subsection (1), the owner developer is authorised to pay all maintenance charges in respect of a lot or proposed lot in a development mentioned in subsection (1)(a)(i) into the relevant maintenance fund with effect from the later of the following dates:
(a)the date that is 4 weeks after the date the first temporary occupation permit is issued in respect of any lot or proposed lot in the development;
(b)the date the relevant maintenance fund is established under section 16 for the development.
[35/2017]
(3)  All moneys in any maintenance fund for a development must be held by the owner developer of the development on trust —
(a)in the case of a general maintenance fund established under section 16(2) — for all the purchasers of lots or proposed lots in that development; and
(b)in the case of a special maintenance fund established under section 16(3) in respect of any limited common property — for all the purchasers of the lots or proposed lots in that development for whose exclusive benefit that limited common property has been designated under their sale and purchase agreements with the owner developer.
(4)  The moneys in any maintenance fund established under section 16 must be deposited only with a bank which is licensed under the Banking Act 1970, and must not be invested.
(5)  The owner developer of a development must —
(a)cause proper books of accounts to be kept in respect of all sums of money received for and all payments out of every maintenance fund established under section 16 for the development, specifying the matters in relation to which the receipts and expenditure take place;
(b)appoint an auditor to audit every such maintenance fund annually;
(c)cause the accounts of every such maintenance fund to be audited within 4 months after the management corporation for that development is constituted;
(d)file with the Commissioner a certified true copy of the audited accounts not later than the 28th day after the accounts of every such maintenance fund have been audited;
(e)permit the Commissioner, or any person authorised by the Commissioner to act on his or her behalf, at all reasonable times full and free access to the accounts and other records of every maintenance fund and permit the Commissioner or the authorised person to make copies of or make extracts from those accounts or other records; and
(f)furnish a certified true copy of the accounts of every maintenance fund to the Commissioner at the intervals required by the Commissioner.
[35/2017]
(6)  Without affecting subsection (5), the owner developer of a development must also —
(a)not later than the 28th day after the accounts of every such maintenance fund have been audited, make available for a period of 2 weeks those accounts for inspection by any purchaser of any lot or proposed lot in the development or the purchaser’s agent without payment of any fee; and
(b)at any other time, permit the purchaser of any lot or proposed lot in the development or the purchaser’s agent to inspect the accounts and other records of any such maintenance fund, and to make copies of or make extracts from those accounts or other records, at such time and place as may be agreed between the parties and after payment of a prescribed fee.
[35/2017]
(7)  The owner developer of a development must maintain a register (called in this Act the register of purchasers) in such form as the Commissioner may require, containing the following particulars in respect of the lots or proposed lots in the development:
(a)the share value assigned or to be assigned to each lot or proposed lot shown in the schedule of strata units or amended schedule of strata units (as the case may be) filed with the Commissioner under section 11;
(b)the floor area of each lot or proposed lot;
(c)if the development comprises limited common property, the lots or proposed lots for whose exclusive benefit that limited common property has been designated;
(d)the name, address and other identification particulars of the purchaser of each lot or proposed lot and, if the purchaser is not a resident of Singapore, an address in Singapore to which notices may be served on the purchaser;
(e)the name and address of the solicitors acting for the purchaser of the lot or proposed lot in the sale and purchase of each lot or proposed lot, as the case may be.
(8)  The owner developer of a development must, not later than the 14th day after a request is made by the Commissioner, forward to the Commissioner a true copy of the register of purchasers for that development.
[35/2017]
(9)  Any owner developer who contravenes subsection (1) read with subsection (2), or subsection (4) or (5) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 and, in the case of a continuing offence, to a further fine not exceeding $100 for every day or part thereof during which the offence continues after conviction.
(10)  Any owner developer who contravenes subsection (6), (7) or (8) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $2,000 and, in the case of a continuing offence, to a further fine not exceeding $100 for every day or part of a day during which the offence continues after conviction.
No collection of maintenance charges without Commissioner’s approval
18.—(1)  An owner developer of a development must not collect any charges for the management and maintenance of the development or any common property or limited common property comprised in the development from the purchasers of any lot or proposed lot comprised in such development except with the prior written approval of the Commissioner.
(2)  Any owner developer who contravenes subsection (1) shall be guilty of an offence.
(3)  To avoid doubt, this section does not prevent any management corporation or subsidiary management corporation from collecting contributions under this Part.
Commissioner may appoint managing agent for development
19.—(1)  If the Commissioner is satisfied that, after due inquiry by him or her or a person appointed by him or her, the management and maintenance of a development or part thereof is not carried out satisfactorily by the owner developer thereof, the Commissioner may, by order in the Gazette, appoint one or more persons as a managing agent to manage and maintain —
(a)where the development has no limited common property — the development; or
(b)where the development has limited common property — the common property or the limited common property of the development or both.
(2)  A managing agent appointed by the Commissioner under subsection (1) is entitled to such remuneration or fees as may be determined by the Commissioner and the remuneration or fees must be charged —
(a)in the case of a managing agent appointed in respect of the development under subsection (1)(a) or the common property of the development under subsection (1)(b) — to the general maintenance fund mentioned in section 16(2); or
(b)in the case of a managing agent appointed in respect of the limited common property under subsection (1)(b) — to the special maintenance fund mentioned in section 16(3).
(3)  The Commissioner must not exercise his or her powers under this section unless he or she has given not less than 14 days’ notice in writing to the owner developer concerned, specifying his or her intention to appoint a managing agent under subsection (1) and to consider the representations (if any) made by the owner developer not later than the 14th day after the date of service of the notice.
[35/2017]
(4)  Any owner developer who is aggrieved by an order made by the Commissioner under subsection (1) in respect of the owner developer’s development may, at any time not later than the 21st day after the date of publication of that order in the Gazette, appeal in writing to the Minister.
[35/2017]
(5)  Even though an appeal has been made under subsection  (4) against an order made by the Commissioner under subsection (1), that order has effect unless otherwise ordered by the Minister.
(6)  The Minister may determine an appeal under this section by confirming, varying or cancelling the Commissioner’s order under subsection (1).
(7)  The decision of the Minister in any appeal under subsection (4) is final.
(8)  The Commissioner may at any time revoke any appointment made under subsection (1) for any development and appoint another person as managing agent for the development.
Powers and duties of managing agent appointed by Commissioner
20.—(1)  Where a managing agent has been appointed by the Commissioner under section 19(1), the managing agent has control over the moneys in the relevant maintenance fund of the development, but has no power to invest the moneys.
(2)  Once a managing agent has been appointed under section 19(1) for a development, no moneys may be paid out of the relevant maintenance fund of that development except on the authority of the managing agent.
(3)  Subject to the general control and direction of the Commissioner, a managing agent appointed under section 19(1) has all the powers and duties of the owner developer as regards the management and maintenance of the common property or limited common property (as the case may be) of that development.
(4)  Without limiting subsection (3), a managing agent appointed by the Commissioner under section 19(1) in respect of a development has the power —
(a)to manage the relevant maintenance fund of the development;
(b)to issue any written demand in the name of the owner developer to the purchasers of lots or proposed lots in the development for the payment of maintenance charges due from them;
(c)to receive all charges payable to the owner developer by purchasers of lots or proposed lots in the development for the maintenance of the common property or the limited common property (as the case may be) of the development, and to give a valid discharge therefor;
(d)to receive all charges payable by the owner developer to the relevant maintenance fund in respect of those lots or proposed lots which have not been sold and for which temporary occupation permits have been issued;
(e)to institute proceedings in the name of the owner developer to recover maintenance charges payable by the purchasers of the lots or proposed lots in the development; and
(f)to bring any action in the managing agent’s own name to recover moneys due to the relevant maintenance fund from the owner developer or any other person.
(5)  It is the duty of a managing agent appointed by the Commissioner to pay all moneys received by the managing agent in the managing agent’s capacity as such for a development into the relevant maintenance fund of that development.
(6)  As soon as practicable after being appointed by the Commissioner, but in any case not later than 2 months after the appointment, a managing agent must prepare and submit to the Commissioner a statement showing as at the date of the managing agent’s appointment —
(a)the moneys standing to the credit of every maintenance fund of the development;
(b)the amounts due and owing by the purchasers of the lots or proposed lots in the development as charges payable for the maintenance of the common property and any limited common property (if any) of the development;
(c)any income derived from the common property and limited common property (if any) of the development which are due to be paid to the relevant maintenance fund; and
(d)any expenditure incurred for the maintenance of the development which is authorised by section 16(2) or (3) (as the case may be) to be paid out of the relevant maintenance fund and which remains unpaid.
(7)  Any person appointed by the Commissioner as a managing agent for a development must not act as a managing agent unless the person has lodged with the Commissioner a bond in the form approved by the Commissioner and for the prescribed amount given by a bank, a finance company or an insurer and which binds the bank, finance company or insurer to make good any loss caused by the managing agent as a result of the managing agent’s failure to duly account to the purchasers of a development for moneys received or held by the managing agent.
(8)  A managing agent who contravenes subsection (5) or (6) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $5,000.
Owner developer not to be relieved of obligations to carry out repairs, etc.
21.  The appointment under section 19(1) of any managing agent to manage the maintenance fund or funds of a development does not relieve the owner developer of that development of any of the owner developer’s obligations under this Act or any other law —
(a)towards the purchasers of the lots or proposed lots in the development to carry out repairs to the common property and limited common property (if any) of the development, or to make good any defect in the common property or limited common property (as the case may be) of the development;
(b)to carry out repairs and varied and additional works to ensure that the development is constructed in accordance with the specifications and plans approved or deemed approved by the Commissioner of Building Control under the Building Control Act 1989; and
[Act 23 of 2023 wef 18/12/2023]
(c)to carry out repairs and varied and additional works to comply with the requirements of any relevant authority prior to the issue of the certificate of statutory completion for the development.
Failure by purchaser to pay maintenance charges
22.—(1)  Where any charges payable by the purchaser of a lot or proposed lot in a development under the sale and purchase contract for the maintenance of the common property or limited common property (as the case may be) of the development remain unpaid at the end of a period of 28 days after service of a written demand by the owner developer, the charges outstanding and any interest accrued thereon constitute a debt owing to the owner developer, and may be recovered by the owner developer in any court of competent jurisdiction.
[33/2018]
(2)  For the purposes of this section, a written demand sent by an owner developer to a purchaser is deemed to have been served on the purchaser of a lot or proposed lot (whether it is actually received or not) if it is sent by registered post to the purchaser at the purchaser’s last known address.
(3)  Where a managing agent has been appointed by the Commissioner under section 19(1) to manage and maintain a development, a notice sent by the managing agent is deemed to have been sent by the owner developer of that development.
Owner developer’s duties on constitution of management corporation
23.—(1)  When a management corporation is constituted for any development, the owner developer of the development must —
(a)immediately open a bank account in the name of the management corporation and pay into that account all moneys standing to the credit in the general maintenance fund established under section 16(2) for the maintenance of the subdivided building and the common property of that development;
(b)cause to be prepared such accounts and other records as will sufficiently explain the transactions and financial position of the management corporation and enable true and fair profit and loss accounts and balance sheets and any document required to be attached thereto to be prepared for the period starting from the date the management corporation is constituted for the development and ending on a date not earlier than 4 months before the first annual general meeting of the management corporation; and
(c)cause the records mentioned in paragraph (b) to be kept in a manner that enables them to be conveniently and properly audited.
[35/2017]
(2)  When a subsidiary management corporation is constituted for any development by the owner developer thereof, the owner developer must also —
(a)immediately open a bank account in the name of the subsidiary management corporation and pay into that account all moneys standing to the credit in the special maintenance fund established under section 16(3) for the maintenance of the limited common property of that development;
(b)cause to be prepared such accounts and other records as will sufficiently explain the transactions and financial position of the subsidiary management corporation and enable true and fair profit and loss accounts and balance sheets and any document required to be attached thereto to be prepared for the period starting from the date the subsidiary management corporation is constituted for the development and ending on a date not earlier than 4 months before the first annual general meeting of the subsidiary management corporation; and
(c)cause the records mentioned in paragraph (b) to be kept in a manner that enables them to be conveniently and properly audited.
[35/2017]
(3)  An owner developer of a development must exercise the powers and perform the duties of —
(a)the council of a management corporation; and
(b)where the development comprises any limited common property, the executive committee of the subsidiary management corporation,
from the time the management corporation or subsidiary management corporation (as the case may be) is constituted until a council of the management corporation or an executive committee of the subsidiary management corporation is elected at the first annual general meeting of the management corporation or subsidiary management corporation, as the case may be.
(4)  Within one week after the first annual general meeting of the management corporation or subsidiary management corporation (as the case may be), the owner developer must —
(a)transfer control of the management corporation’s or subsidiary management corporation’s (as the case may be) money to its newly elected council or executive committee; and
(b)deliver to that newly elected council or executive committee all keys and other means of access that the owner developer possesses for the purposes of exercising the powers and performing the duties of the council or executive committee, as the case may be.
(5)  For a period of 2 years following the transfer of control under subsection (4)(a), the owner developer must —
(a)keep all financial records that relate to the management corporation’s and (if any) subsidiary management corporation’s finances during the period before the transfer of control;
(b)at the request of the management corporation or subsidiary management corporation, make any of the records mentioned in paragraph (a) available for inspection free of charge by the management corporation or subsidiary management corporation, as the case may be; and
(c)allow the management corporation or subsidiary management corporation (as the case may be) to copy or audit those records at its own expense.
(6)  Before the first annual general meeting of a management corporation, the owner developer must appoint the auditor of the management corporation, and any auditor so appointed holds office until the conclusion of the first annual general meeting of the management corporation.
(7)  Before the first annual general meeting of a subsidiary management corporation after it is constituted (other than pursuant to a comprehensive resolution), the owner developer must appoint the auditor of the subsidiary management corporation, and any auditor so appointed holds office until the conclusion of the first annual general meeting of the subsidiary management corporation.
Singapore Statutes Online
© 2025 Attorney-General's Chambers of Singapore,
Last updated 2 Jan 2025
Singapore Statutes Online is provided by the Legislation Division of the Attorney-General's Chambers of Singapore.