The Building (Strata Management) Act 2004 (BSMA) governs how strata developments in Singapore are run: the MCST, its council, the management and sinking funds, by-laws and the Strata Titles Board. It was called the Building Maintenance and Strata Management Act (BMSMA) until 1 October 2025.

What is a subsidiary proprietor?

A subsidiary proprietor is the owner of a strata lot, such as a condominium unit. Every subsidiary proprietor is a member of the MCST, and the lot's share value sets their voting weight and contributions to the funds.

The management corporation strata title — the body corporate constituted when a strata title plan is registered. Every subsidiary proprietor (unit owner) is automatically a member. It manages and maintains the common property, levies contributions, insures the building, and is run by a council elected at the AGM. It may appoint a managing agent, but remains legally responsible.

What is the difference between the management fund and the sinking fund?

The management fund pays recurrent day-to-day running costs — cleaning, security, landscaping, utilities for common property, insurance premiums and the managing agent's fee. The sinking fund saves for periodic capital works such as repainting the exterior, lift replacement and major structural repairs. Both are funded by contributions apportioned according to each lot's share value.

What does share value determine?

Three things: each subsidiary proprietor's proportion of the contributions to the management and sinking funds, their voting power on a poll at general meetings (votes are counted by share value, not one owner one vote), and their undivided share in the common property. In a collective sale, the proceeds are split by whatever method the collective sale agreement sets (share value, strata area, valuation or a mix).

Do condominium by-laws bind tenants?

Yes. Under the BSMA, by-laws bind the management corporation, the subsidiary proprietors, and also mortgagees in possession, lessees and occupiers. A tenant is bound even though they have no contract with the MC, so landlords should annex the by-laws to the tenancy agreement.

Is there an MCST for an HDB flat?

No. Common property in an ordinary HDB estate is managed by the Town Council and funded by Service & Conservancy Charges, not by an MCST. Executive Condominiums are different — they are strata developments with an MCST and BSMA by-laws.

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Paper 1 · Basic Land Law: Estates & Registration of Title · 17 min read

BSMA & MCST Explained: Subsidiary Proprietors, By-Laws

Practise this section (64 questions) → · 1.8 Registration of titles, in sets of about 30

Must-know for the exam

Common property is everything not comprised in any lot, including external walls, corridors, lifts, the roof and the façade; altering it needs the management corporation's authority.
A developer's transfer of a unit can be lodged only after the strata title plan is approved, the application registered and the lot's SSCT issued (LTSA s 6); mortgages are exempt.
Share value fixes each subsidiary proprietor's share of fund contributions, their voting power on a poll (not one owner, one vote), and their undivided share of common property.
The management fund pays recurrent day-to-day costs such as cleaning, security and insurance; the sinking fund pays periodic capital works such as repainting and lift replacement.
The developer must hold the first AGM by the earlier of one month after the initial period and 8 weeks after a request by owners of 10% of lots (BSMA s 26).
By-laws bind owners, tenants and occupiers; new ones need a special resolution, take effect only once lodged with the Commissioner, and cannot restrict dealings in a lot (BSMA s 32).
Under BSMA s33, exclusive use of common property needs an ordinary resolution for up to 1 year, special for 1–3 years, and a 90% resolution beyond 3 years.
A special or 90% resolution needs 75% or 90% of the share value of valid votes cast; a comprehensive resolution needs 90% of all lots' share value after 12 weeks.
Works adding floor area need MC authority by 90% resolution plus planning permission; safety grilles need no approval if fitted properly and in keeping (BSMA ss 37, 37A).
A buyer is jointly and severally liable for the seller's unpaid contributions, but a s 47 certificate of arrears is conclusive in her favour as at its date (BSMA ss 40(3), 47(3)).

On this page · 11 sections

Buy a condominium unit and you buy two things at once: a strata lot you own outright, and an undivided share of the common property you own together with every other owner in the development. That shared half is run collectively — by a management corporation (MCST) under the Building (Strata Management) Act 2004 (BSMA) — renamed from the Building Maintenance and Strata Management Act with effect from 1 October 2025, so older notes and course material will still call it the BMSMA. A salesperson is asked about this constantly (maintenance fees, renovation approvals, pet rules, who fixes the leak), and it is examinable land law.

Recent change · from 1 Oct 2025

The Building Maintenance and Strata Management Act (BMSMA) is now the Building (Strata Management) Act 2004, from 1 Oct 2025. Older notes use the old name; this lesson follows the current Act (sso.agc.gov.sg).

Who owns what: lot vs common property

	What it is	Who controls it
Strata lot	The unit itself, as shown on the strata title plan — held under a subsidiary strata certificate of title (SSCT)	The subsidiary proprietor (SP) — the individual owner
Common property	Everything not comprised in any lot — lifts, corridors, driveways, roof, external walls, pool, landscaping	The management corporation, which must maintain and keep it in good repair
Limited common property (LCP)	Common property set aside for the exclusive benefit of some (not all) SPs — e.g. facilities serving only one tower	The MC, but costs are borne by the benefiting SPs only

In a strata development the boundary between 'yours' and 'everyone's' decides who pays and who approves works.

The practical consequence: external walls, corridors and the façade are common property, not part of the lot. An owner who wants to mount a condenser on the external wall, enclose a balcony or gate off a corridor needs the MC's authority — it is not theirs to alter. Windows are the one split case: a window on an exterior wall that opens (louvre, casement, sliding) is part of the lot, so the owner maintains it; other windows are common property unless the strata title plan says otherwise (BSMA s 2(9)).

The management corporation (MCST)

The MC is constituted automatically when the strata title plan is registered — no one has to opt in.
Every subsidiary proprietor is automatically a member. You cannot resign from it while you own a lot.
It is a body corporate: it can sue and be sued in its own name, hold funds, and enter contracts.
Day-to-day it is run by an elected council (chairperson, secretary, treasurer and other members) chosen at the Annual General Meeting.
The MC may appoint a managing agent to carry out its functions — but delegating the work does not end the MC's responsibility: the agent's acts are deemed the MC's own, though while the delegation is in force an offence for breaching a delegated duty is the agent's, not the MC's (BSMA s 67(7), (9)).
It must maintain a strata roll (SPs, share values, mortgagees) and keep the building insured for full reinstatement value against fire and other prescribed risks, plus public liability cover.
Its core duties (BSMA s 29(1), current at 3 Oct 2026): control, manage and administer the common property; keep it in good repair, together with any door or window that has a side forming part of the common property; insure; and convene AGMs.
Besides the building policy (s 70), it must insure against liability for injury or damage on the common property, any risk the law requires it to cover, and council members' and officers' liability for good-faith acts (s 71(1)).

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What three things does a strata lot's share value decide?Show answer
Each owner's contributions to the management and sinking funds, their voting power on a poll, and their undivided share in the common property.
What resolution does an MCST need to make additional by-laws, and when do they take effect?Show answer
A special resolution (only an ordinary resolution for EV-charger parking by-laws, from 8 Dec 2023). A by-law has no effect until lodged with the Commissioner of Buildings, which must be done within 45 days of the resolution.
How does a 90% resolution differ from a comprehensive resolution?Show answer
A 90% resolution counts the share value of valid votes cast at the meeting. A comprehensive resolution needs owners holding 90% of the share value of all lots in support at the end of 12 weeks after the meeting.
Why should a buyer of a strata unit apply for a section 47 certificate?Show answer
Because a new owner is jointly and severally liable with the seller for unpaid contributions and interest (s 40(3)). The s 47 certificate is conclusive as at its date in favour of anyone taking the lot for value.
Which fund pays for repainting the exterior, and which pays the managing agent's fee?Show answer
Repainting the exterior comes from the sinking fund, which covers periodic capital works. The managing agent's fee comes from the management fund, which covers recurrent running costs.

Common questions

What is the BSMA?: The Building (Strata Management) Act 2004 (BSMA) governs how strata developments in Singapore are run: the MCST, its council, the management and sinking funds, by-laws and the Strata Titles Board. It was called the Building Maintenance and Strata Management Act (BMSMA) until 1 October 2025.
What is a subsidiary proprietor?: A subsidiary proprietor is the owner of a strata lot, such as a condominium unit. Every subsidiary proprietor is a member of the MCST, and the lot's share value sets their voting weight and contributions to the funds.
What is an MCST?: The management corporation strata title — the body corporate constituted when a strata title plan is registered. Every subsidiary proprietor (unit owner) is automatically a member. It manages and maintains the common property, levies contributions, insures the building, and is run by a council elected at the AGM. It may appoint a managing agent, but remains legally responsible.
What is the difference between the management fund and the sinking fund?: The management fund pays recurrent day-to-day running costs — cleaning, security, landscaping, utilities for common property, insurance premiums and the managing agent's fee. The sinking fund saves for periodic capital works such as repainting the exterior, lift replacement and major structural repairs. Both are funded by contributions apportioned according to each lot's share value.
What does share value determine?: Three things: each subsidiary proprietor's proportion of the contributions to the management and sinking funds, their voting power on a poll at general meetings (votes are counted by share value, not one owner one vote), and their undivided share in the common property. In a collective sale, the proceeds are split by whatever method the collective sale agreement sets (share value, strata area, valuation or a mix).
Do condominium by-laws bind tenants?: Yes. Under the BSMA, by-laws bind the management corporation, the subsidiary proprietors, and also mortgagees in possession, lessees and occupiers. A tenant is bound even though they have no contract with the MC, so landlords should annex the by-laws to the tenancy agreement.
Is there an MCST for an HDB flat?: No. Common property in an ordinary HDB estate is managed by the Town Council and funded by Service & Conservancy Charges, not by an MCST. Executive Condominiums are different — they are strata developments with an MCST and BSMA by-laws.

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