BCA consults on review of strata management regime to enable MCSTs to maintain and run estates better: Allen & Gledhill

19 March 2026

From 9 March 2026 to 8 April 2026, the Building and Construction Authority (“BCA”) is inviting feedback on proposed changes to the Building (Strata Management) Act 2004 (“Act”) to enhance the management of strata-titled developments. The review covers key areas such as supporting management corporations of strata-titled properties (“MCSTs”) to maintain adequate sinking funds to upkeep and upgrade their estates, and equipping MCSTs to run their estates better.

The Act provides a legal framework for the management of strata-titled properties and sets out the duties and obligations among strata stakeholders such as subsidiary proprietors (“SPs”), management councils (“councils”), and managing agents (“MAs”). The Act empowers MCSTs to make decisions relating to the maintenance and upkeep of their estates. BCA periodically reviews the Act to address emerging needs of strata stakeholders and ensure the relevance of the Act. The Act was last comprehensively reviewed and amended in 2017.

The key proposals seek to:

help MCSTs work towards accumulating adequate sinking funds to maintain their estates;
reduce resolution thresholds for essential works;
equip MCSTs to run their estates better; and
improve the clarity of existing provisions.

Adequate funds to maintain estates

BCA is considering the following measures to help MCSTs work towards having adequate sinking funds:

MCSTs (i.e. inclusive of all SPs) to review at regular intervals supporting documents (e.g. the cost estimates, price quotations, and vendor correspondence) for essential facility upgrades (e.g. lift modernisation). This is to provide SPs with a clearer process and greater oversight in their decisions relating to their estate’s expenses and ensure that the budgeted amounts are updated.
MCSTs to submit to BCA annually financial information (e.g. annual budget tables/schedules, statement of audited accounts, and management funds and sinking funds balance) and records on essential facilities (e.g. supporting documents related to lift budget and age of lift). This information will allow BCA to better analyse the scale of the sinking funds adequacy issue across developments and determine whether additional measures are necessary.
BCA to make selected key financial information (e.g. management funds and sinking funds balances and required amounts) and age of lifts available to the public, subject to appropriate data safeguards. This would allow SPs and prospective buyers to understand and track the financial health and sinking fund adequacy of the MCSTs. In addition, parties who require detailed financial information (i.e. audited statements and annual budget tables/schedules) will be allowed to purchase the information from BCA.

BCA is also exploring a requirement for MCSTs to set aside minimum sinking funds for essential facilities in one of the following ways: (i) requiring MCSTs to set aside a minimum percentage of its sinking funds for maintenance and upgrade of essential facilities; or (ii) requiring MCSTs to create a ring-fenced fund for essential facilities whereby a fixed amount of funds is to be set aside exclusively for the maintenance and upgrading of essential facilities.

Reduced thresholds for passing of resolutions for essential facilities

BCA has received feedback that reducing the thresholds for passing the required resolutions will facilitate SPs and MCSTs in implementing the installation of essential facilities and senior-friendly modifications. BCA is therefore seeking views on:

lowering the required resolution from a special resolution requiring 75% of the share value of all the valid votes cast at the meeting (“special resolution”) to an ordinary resolution requiring a simple majority of those voting at the meeting (“ordinary resolution”) for improvement works to essential facilities;
removing the requirement for a resolution for SPs installing senior-friendly fittings approved under the Enhancement for Active Seniors (Private Housing) Programme on common property directly outside their units;
lowering the required resolution for improvement works related to the installation of senior-friendly fittings by the MCST on common property from a special resolution to an ordinary resolution; and
lowering the required resolution for third-party solar ownership models (e.g. solar leasing and rooftop leasing) from a special resolution to an ordinary resolution.

Equipping MCSTs to run estates better

BCA is considering the following measures to help MCSTs run their estates better:

Preventing concentration of voting power at general meetings: BCA has received feedback on potential issues with the concentration of voting power at general meetings that may undermine fair and representative decision-making. To address these concerns, BCA is considering two measures to ensure more balanced representation at MCST general meetings. For an SP that is a company, BCA is proposing to specify that only employees (including directors and board members) may attend general meetings. This is on the premise that employees will be better placed to understand and vote in the company’s interest. BCA is also considering introducing a cap per household to limit the accumulation of voting power through proxy collection. A corporate SP whose appointed representative is unable to attend the general meeting may appoint a proxy to attend and would be subject to the existing maximum of two lots or 2% of the total lots in the development (whichever is higher).
Restricting eligibility for council elections to SPs: BCA is considering restricting council eligibility to SPs only. This proposal would ensure that decision-making authority rests exclusively with property owners and prevent external parties from influencing decisions that affect the property and the SPs.
Mandatory training for council members: BCA is considering making training for council members mandatory with consequences for non-compliance such as ineligibility to stand for future council elections.
Performance indicators for MAs: BCA is considering requiring MCSTs to establish performance indicators for MAs, and council to take appropriate action on behalf of the MCST based on these indicators. BCA is also considering the removal of the mandatory yearly review of MA appointment by allowing MCSTs to decide the appropriate review interval (e.g. annually or biennially).
Electronic lodgement of by-laws and information on council and general meetings: To reduce administrative burden and operational inefficiencies, BCA is considering allowing MCSTs to lodge by-laws electronically with BCA through a secured webpage. BCA is also considering allowing MCSTs to fully transition to electronic submission of information related to council members and general meetings to BCA through a secured webpage.
Allowing MCSTs to serve notices on SPs electronically: The Act presently requires every notice specified under the Act that is served electronically on SPs by the MCST to be followed by a hard copy sent to the SP’s address. BCA proposes to allow notices under the Act to be served electronically on an SP, provided the SP has electronic access. SPs would retain the option to request notices in hard copy from the MCST.
Disallowing outstanding fees as a reasonable excuse for withholding MCST documents: BCA has received feedback that service providers may withhold MCST documents to compel an MCST to pay outstanding fees. This typically occurs when there are disputes over payment or when service provider contracts are terminated while outstanding amounts remain unpaid. As the withholding of MCST documents can disrupt essential services, delay decision making processes, and potentially compromise the safety and maintenance standards of the development, BCA is seeking views on whether to exclude outstanding fees as a reasonable excuse for not handing over MCST documents after a notice is served.
Permitted investments: Currently, the Act allows MCSTs to invest monies in their management funds or sinking funds in any manner permitted by law for the investment of trust funds. To safeguard the prudent investment of MCST funds, BCA is considering specifying the types of investment tools or products that MCSTs may use or invest in, with safeguards introduced for higher-risk products.
Mode of AGM to be decided by SPs: MCSTs have the option to conduct general meetings physically, virtually, or by hybrid means. Typically, the choice is made by the council. BCA is considering requiring the general body to vote on the mode of the subsequent annual general meeting (“AGM”) during each AGM. This would ensure that the meeting format reflects the collective preference of the SPs rather than the council’s decision.
Scope of data required to be disclosed by MCSTs on request: Section 47 of the Act requires an MCST to make available for inspection “any other record or document” in its custody or under its control upon the application of an SP or other eligible persons. Given the broadness of the phrase “any other record or document”, BCA is considering specifying the types of records and documents that an MCST can disclose to an applicant.
Mandating parties in prolonged disputes to approach STB: The BCA is considering the establishment of a referral mechanism to direct parties in prolonged disputes to seek resolution at the Strata Titles Board (STB), with non-compliance constituting an offence.
Annual submission of contact information to BCA: To support effective communication, especially during difficult situations such as the Covid-19 pandemic, BCA is seeking views on whether to mandate the annual submission to BCA of the contact information of MCSTs and council members, such as email addresses and telephone numbers.
Higher penalties for non-compliance by MCSTs of critical obligations: BCA is reviewing the penalty structure under the Act to ensure enforcement mechanisms remain effective and proportionate. BCA is considering increasing the maximum penalty under the Act from S$3,000 currently to S$5,000.

Proposed changes to improve clarity of existing provisions

BCA is seeking views on the following proposals:

Clarifying eligibility to obtain copies of MCST records without prior viewing: Under section 47 of the Act, eligible persons may apply to inspect and make copies of specified records upon payment of a fee. BCA has received feedback that it is unclear whether applicants must first conduct and pay for an inspection before requesting copies. BCA seeks to provide clarity that an eligible person can obtain copies of records with MCST’s consent without a prior viewing of these documents under section 47 of Act.
Cut-off date for developer to establish maintenance funds and developer’s obligation to pay maintenance funds: Currently, section 16 of Act does not specify a cut-off date for the establishment of maintenance funds by a developer. Section 17(2) of the Act sets out the duty of a developer to pay maintenance charges as an “authorisation” as opposed to an obligation. There is also no specified cut-off date by which the developer should pay these maintenance charges. BCA is seeking views on whether to specify cut-off dates of 30 days from the issuance of the temporary occupation permit for the establishment of maintenance funds and payment of maintenance funds by the developer under section 16 and 17, and clarify that it is an obligation of the developer to pay maintenance charges.
Clarifying reserved council seat for mixed-use developments: Section 53A of Act provides that, in the case of a mixed-use development, there must be reserved for each class of use authorised for that development under the Planning Act 1998 at least one seat in the council of the MCST. Feedback was received that the term “mixed-use development” in the context of the Planning Act 1998 was ambiguous. BCA is therefore seeking views on whether to provide clarity by establishing a clearer reference for mixed-use developments, ensuring consistent and unambiguous application of the reserved council seat requirement.

Reference materials

The following materials are available on the REACH website www.reach.gov.sg: