Jyuyojiko Setsumeisho Sample 2 (Continued)

Jyuyojiko Setsumeisho (Important Points Explanation): Condominium Buildings (Continued)

(4) ​Provisions of the rules and regulations regarding exclusive-use rights

In the above sample, the following details are given.
Parking lot

• Who may use it: Buyer (Unit owner)
• Monthly fee: 15,000yen/month (to be paid to OO Condominium Management Association)

*Currently no vacancies.
Please refer to the attached "Articles O - O of the Management Regulations and Bylaws for Use" for further  information on parking.
Other areas of exclusive use 
Fees to be paid to OO Condominium Management Association

• Balcony                  : No
• Roof balcony         : Yes
• ​Private yard           : Yes
• Dedicated storage: Yes
• Bicycle parking      : Yes

(5) Provisions to the effect that expenses to be borne by the owner are to be reduced or exempted to certain persons

In the above sample, this section is not applicable (該当なし).

(6) ​Matters related to reserve funds for repairs, etc.

In the above sample, the following are written.

• Provisions of the Rules and Regulations: Yes. (Please refer to Articles O-O of the attached Management Regulations.)
• Reserve funds for repairs: OOOO yen/Month
  Amount in arrears: Yes. OOOO yen (As of Month/Day/Year)
• Total amount paid: OOOO yen (As of Month/Day/Year) 

Remarks:
The seller will be responsible for completing the payment by the time of the settlement of the remaining balance, and will deliver the property with no arrears.

(7) The amount of regular management fees

In the above sample, the following are written.

• Amount of regular management fees: OOOO yen/Month
  Amount in arrears: Yes. OOOO yen (As of Month/Day/Year)

​Remarks:
The seller will be responsible for completing the payment by the time of the settlement of the remaining balance, and will deliver the property with no arrears.​

Glossary of Terms
Management fees and reserve funds for planned repairs
In condominiums, the proper upkeep of common areas is essential to maintain and improve a comfortable living environment. Major repairs at regular intervals are also necessary to maintain asset value over the long term. It is important to recognize that appropriate amounts of management fees and reserve funds for repairs are necessary.

Notes:
​If there are arrears of management fees or repair funds, the management association can claim the payment from the new owner if the handover takes place while the arrears are still outstanding. It is necessary to ensure that the seller has paid the arrears by the time of the settlement of the remaining balance.

(8) ​Management contractors

In the above sample, the following are written.
​Type of Management: Total management
​Management contractor:

• Name: OOO Building Management Co.
• Location of office: 1-2-3 OO-cho OO City, OO Prefecture
• Tel: OOO(OO)OOOO
• Registration number under the Act on Promotion of Proper Condominium Management:　Minister of Land, Infrastructure, Transport and Tourism (O) OOOO

Notes:
As the old saying "buy the management" goes, it is very important that condominiums are properly managed. If garbage is strewn about or bicycles are left unattended, it cannot be said that management is being done well. The state of management can often be assessed by looking at the site. Please also check the type of management of the property.

(9) Records of maintenance and repair of buildings

In the above sample, the records are available.

• Common area: Repair and painting of iron railings (Year/Month/Day)

Notes:
The major repairs and maintenance carried out in the condominium are to be explained if there are any records on the repairs and maintenance. Those of dedicated areas are also to be explained if there are records on them. It is important to confirm directly with the seller whether or not repairs, maintenance, and/or renovations have been carried out.

(10) Other 

In the above sample, the following are written:
1. The seller is to notify the buyer of the provisions of the Law on Building Unit Ownership and the management rules and detailed regulations regarding such matters as the management and use of the building, grounds and ancillary facilities, etc., and the buyer is to comply with them.
2. Planned changes to management fees, reserve for repairs, etc.: Yes.  (Month/Date/Year)
3. Schedule for major repairs: under discussion
Additional (one-off) contributions: under discussion 
Amount to be determined
4. Residents' Association fees, etc.: Yes
5. Matters to be discussed at Management Association meetings, etc.
Remarks:
1. Management and repair reserves
The amount of the management fee and the reserve fund for repairs will be increased to OO yen and OO yen respectively, starting from Monty/Date/Year.
2. Large-scale repair plans
Major repairs, such as painting of external walls and repair of tiles, are currently being discussed. The timing and the cost to be paid by each owner have yet to be determined. For more information, please refer to the attached documents (e.g. minutes of the general meeting of the management association in Fiscal Year OOOO).

Glossary of Terms
Management Association（管理組合）
An association of unit owners to coordinate the maintenance and management of the condominium as a whole and the rights and obligations between unit owners.
Unit owners are naturally members of the management association. Important matters such as the actual site of large-scale repairs, the establishment, amendment or abolition of rules and regulations, and other matters relating to the interests of the unit owners are decided at the general meeting of the management association.

Notes: 
If it is known that such decisions as to carry out major repairs and/or increase management fees have been made or are planned to be made at a general meeting, an explanation must be given. However,  the buyer may not be notified  of these matters due to a lack of research or negligence. It is important to check directly with the seller or the management association.