Condominium Rules to be Announced Today

The DUHD of the Ministry of Construction will formally issue the Condominium Rules today. The Condominium Rules are the final step of the implementation of the Condominium Law in Myanmar. Here are a few of the highlights.

• Under a former draft of the Condominium Rules, foreigners can own 40% of the total units. Now they are able to own 40% of the total floor area but regardless of which floor.
• The land size must be, as provided in the Condominium Law, at least 20,000 SQF or 1.858 m2. (e.g. a plot of approximately 37 on 50 meters).
• If certain floors are assigned as commercial spaces, these floors can no longer be used for residential purposes. Also, separate entrances are necessary. But, it is entirely possible to have commercial units in the building and these can also receive a unit title.
• Each individual can own up to 25% of the units.
• A developer needs to sell at least 75% to the end users and can keep up to 25% of the units.
• Existing buildings are also allowed to apply.
• Registration fee for transfer of unit is now in a scale and not a straight percentage.
• You can do pre-selling only after the completion of 30% of the foundation and not before.
• 20% of the investment cost must be deposited by the developer before the issuing the unit titles
• A developer license will be valid for 5 years instead of 3 years.
• As per the Condominium Law, a unit can be mortgaged, transferred and sub-leased. The titles and the transfers are administered by the DUHD.