Shared amenities are also referred to as shared facilities, reciprocal or cost-sharing agreements and many other names. These once simple agreements are becoming more complex with increased considerations for shared areas. Condominiums will have a by-law or an agreement that outlines the cost sharing of common areas used by a number of parties.
There are many examples of shared amenities, such as:
1. Two individually registered high-rise properties, each with their own board of directors, that share:
- a central lobby entrance
- a pool and recreation area
- a mechanical room and parking
2. A residential condominium with a commercial business on the main level (retail or restaurant) that shares the parking area among residents and customers
3. Multiple townhouse condominiums sharing a road and/or gatehouse.
These assets are co-owned or proportionately shared by parties. Some parties to these types of agreements may not be condominiums or condominium corporations.
Condominium managers and boards of directors should have a good grasp of the shared facilities agreement in order to understand the boundaries of the decision-making process and how to resolve any disputes that may arise. This extends to understanding the relationship between the parties that share the facilities, the financial cost-sharing responsibilities as outlined in the agreement, and the respective roles and responsibilities of one or more condominium managers or management service provider businesses.