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Posted on 19 Nov 2025
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I had to repost this (since the share button didn’t work).
It’s a case about the management of common fees in a certain condominium project around On Nut.
(It’s public info now, I believe.)
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In this project,
only 6% of unit owners are in arrears,
meaning 94% are paying on time.
Yet — the management fund is completely depleted,
and they’re now using the reserve fund,
of which 40% (3.74 M THB out of 9.55 M) has already been spent.
At this rate, the reserve will run out within five months,
causing a chain of serious problems.
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Several pages have already shared this story,
but I want to focus on the financial management side —
what every co-owner should understand.
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A condominium is like a mini city 🏙️
where every resident is a co-owner.
Living together means shared costs —
for elevators, pools, gardens, lighting, water systems,
security guards, and cleaning staff.
These expenses are collected as common fees,
calculated based on unit area (THB / sqm / month).
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The Condominium Act B.E. 2522 (1979),
Sections 18 and 33, states clearly that
each unit owner must share the cost
proportionate to their unit size.
The condominium juristic person (the “management”)
is responsible for collecting and managing these funds
to ensure the building’s long-term operation.
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Now, regarding financial shortfalls 💸
— this isn’t unique to this project —
it’s a chronic illness of many condominiums.
There are three main causes behind this issue:
1️⃣ Setting unrealistically low common fees during sales
to attract buyers, which later proves insufficient.
2️⃣ Delinquencies
Some units stop paying,
shifting the burden to those who do.
3️⃣ Hidden costs
Major maintenance, elevator replacements, pump repairs —
large, unexpected expenses that drain funds.
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From a legal enforcement standpoint,
co-owners are obligated to pay — not optional.
Under Section 18/1 of the Condominium Act,
if an owner fails to pay common fees,
the condominium juristic person has the right to:
Charge interest on arrears (up to 12% per year)
File a lawsuit, seize assets, and auction them off
Most importantly — the unit cannot be transferred
until all outstanding common fees are paid
(Section 18/1, final paragraph).
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So, paying common fees isn’t a matter of choice —
it’s a legal obligation.
Whether you use common areas a lot, a little, or not at all — you still pay.
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In this specific case, let’s look at the financial math 📊
Assume the condo has 20,000 sqm total saleable area.
Current common fee: 55 THB/sqm/month → 13.2 M THB/year
Actual expenses: 18 M THB/year
Result → Deficit of 4.8 M THB
So they’re dipping into the reserve fund.
Once that runs out, the only option is to raise fees.
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That’s why some projects propose step adjustments like:
55 → 70 → 85 THB/sqm within 2 years,
to realign revenue with actual costs.
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Key takeaways for co-owners 🧾
1️⃣ Attend the Annual General Meeting (AGM)
– Under Section 49, any adjustment to the fee
must be approved by the AGM of co-owners.
2️⃣ Review the annual financial statements
– The juristic person must disclose and have them audited.
3️⃣ Benchmark against nearby projects
– The rate should be reasonable compared to similar condos.
4️⃣ Monitor the Sinking Fund (Major Repair Fund)
– This covers long-term replacements: roofs, lighting, pools, etc.
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Managing condominium common fees
is a delicate balancing act —
a walk on a tightrope between resident satisfaction and financial reality.
If the fee is too low → the building deteriorates quickly.
If it’s too high → residents push back.
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The solution: Transparency and communication.
Show the true numbers.
Disclose every expense.
Conduct stress tests —
to see how long the management can sustain operations
even with partial nonpayment.
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When residents see the reality for themselves,
they’re far more likely to support reasonable fee increases.
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📸 Credit: Khun Phitchakorn Watcharanurak
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Join the discussion at
https://www.facebook.com/Ex.MatchingProperty/posts/pfbid032xhULFxCJR1EGT6uKAGMs1bT3VZguXyQViyEj5f4MitfCj3VDoZB1Reb2rb8CBMgl
