Condominium Ownership in Bulgaria: Rights, Obligations, Shared Costs, and Legal Consequences for Foreign Property Owners
A practical legal guide based on the Condominium Management and Living Act (CMLA) as amended in State Gazette No. 49 of 17 June 2025 — prepared for foreign buyers of apartments and residential units in Bulgarian multi-owner buildings
CMLA Governing Law: Condominium Management and Living Act
€6.20 Minimum Monthly Repair Fund Contribution per Owner
75% Supermajority Required for Improvements to Common Areas
51% Majority Required for Major Repair and Reconstruction
Introduction: What Condominium Ownership Means in Bulgaria
When a foreign buyer purchases an apartment in a Bulgarian residential building, they acquire more than a private unit. Under Bulgarian law, ownership of an apartment in a multi-owner building is inseparable from a proportionate share of the common parts of that building. This combination — exclusive ownership of the individual unit and joint ownership of the shared infrastructure — is the legal structure known as condominium ownership (etazhna sobstvenost).
Understanding this structure is not a theoretical exercise. It determines who pays for what, which decisions require a vote, what majorities are needed to approve repairs or renovations, what happens when a neighbour acts unilaterally, and what legal remedies are available when things go wrong. For foreign owners who are not present full-time, who may not speak Bulgarian, and who may be unfamiliar with the governance of multi-owner buildings in the EU context, a clear understanding of these rules is a practical necessity.
This guide is based on the Condominium Management and Living Act (CMLA) in its most recent version, published in State Gazette No. 49 of 17 June 2025, and on relevant Supreme Court of Cassation (SCC) jurisprudence. It was prepared with the contribution of Zvedelina Kraleva, a Bulgarian lawyer with over 18 years of experience in civil and commercial law.
— Zvedelina Kraleva, civil and commercial law practitioner, egalservicesbg.com
Section 1. What Are Common Parts — and Why the Distinction Matters
The Legal Definition
Under Article 38 of the Property Act, the common parts of a building include all elements that by their nature or purpose serve the needs of all or some of the owners. The law identifies specific examples: the land on which the building stands, the courtyard, the foundations, the external and load-bearing walls, the columns, the floor slabs, the roof structure, the roof itself, the staircases and landings, the lifts, the shared utility installations, and other elements serving the building as a whole.
This definition has direct practical consequences. External walls, the roof, the stairwell, and shared plumbing and electrical systems are not the private property of any individual owner. No owner can modify, renovate, or make alterations to these elements without the consent of the other owners, expressed through a decision of the General Assembly.
Common by Nature vs. Common by Purpose
Bulgarian law and Supreme Court of Cassation jurisprudence draw a critical distinction between two categories of common parts:
Common Parts Categories
| Category | Definition | Can It Be Changed? | Examples |
|---|---|---|---|
| Common by nature | Elements whose nature makes them inherently shared, regardless of how they were designated at construction | ✕ No — their status cannot be altered even by unanimous consent | External walls, foundations, roof structure, load-bearing columns |
| Common by purpose | Elements designated as shared at the time the condominium was created, in the project documentation or by the first owner’s decision | ✓ Yes — can be redesignated as individual property by agreement and in compliance with legal requirements | Storage rooms, parking spaces, utility rooms, some corridors |
The status of a specific element — whether it is an independent unit or a common part by purpose — is determined at the moment the condominium ownership arises, in accordance with the project documentation or the original owner’s designation when the building was divided into separate units. This determination is established by SCC Decision No. 40/25.03.2016 in Civil Case No. 4994/2015, II Civil Panel.
Changing the Purpose of Common Parts
Owners may, at any time by mutual agreement and within the conditions permitted by law, change the purpose of common parts by purpose, transferring them into the individual ownership of one or more co-owners or third parties. However, a change in the status of common parts by nature is not permitted under any circumstances — these elements remain shared regardless of any agreement between owners.
Section 2. How Costs Are Allocated Between Owners
The CMLA distinguishes between two categories of shared expenditure, each with a different allocation mechanism. Understanding this distinction is essential because it is frequently the source of disputes between owners.
Cost Allocation Categories
| Cost Category | Legal Basis | Allocation Method | Can the General Assembly Change It? |
|---|---|---|---|
| Management and maintenance of common areas | CMLA Art. 51(1) | Equal share per owner, user, resident, and their family members | Yes — GA may decide a different method, provided it does not breach mandatory legal provisions or the equality principle |
| Repair, overhaul, reconstruction, and refurbishment of common areas | CMLA Art. 48(3) | Proportional to each owner’s ideal shares (percentage ownership) in the common parts | ✕ No — the legal principle of proportional allocation for repair costs cannot be changed by GA decision |
Ideal Shares: What They Are and How They Are Calculated
The concept of ‘ideal shares’ (idealni chasti) is central to Bulgarian condominium law. An owner’s ideal share represents their proportionate ownership of the common parts and determines their liability for repair and reconstruction costs.
Information about ideal shares is contained in the notarial deed or other ownership documentation held by each owner. Where this information is absent, Article 17(4) of the Spatial Planning Act provides the calculation method: the floor area of the individual unit divided by the sum of the floor areas of all individual units and their associated storage rooms in the building, expressed as a percentage. Ideal shares calculated in this way must be confirmed by a General Assembly decision.
Section 3. The Repair Fund and Urgent Repair Procedures
The Mandatory Repair and Renewal Fund
Under Article 50 of the CMLA, every condominium is required to maintain a Repair and Renewal Fund. Monthly contributions are made by owners in amounts determined by General Assembly decision, proportional to their ideal shares, but not less than 1% of the national minimum wage per month — currently a minimum of €6.20 per owner per month (as of 1 January 2026).
This fund is the first resource drawn upon when the building management or board decides that immediate repair works are necessary. Under Article 49(1) of the CMLA, the board (or manager) may by its own decision direct the immediate use of Repair Fund resources for urgent repairs, without requiring a General Assembly vote.
When There Is No Fund or No Decision: The Municipal Escalation Path
In practice, many Bulgarian buildings — particularly older residential blocks and resort complexes with fragmented ownership — either have no functioning Repair Fund or have a management that is unable to convene a General Assembly or secure a decision. The CMLA provides a specific escalation path for these situations:
- The building manager must immediately convene a General Assembly to decide on collecting the funds needed for the repair.
- If the General Assembly is not convened, or convenes but does not reach a decision on funding, the manager or any interested owner may notify the mayor of the relevant municipality or region.
- The mayor must conduct an inspection and issue an order requiring the owners to carry out the repair within a set period, not exceeding three months.
- If the order is not complied with within the deadline, or if preliminary execution is permitted, the urgent repair is carried out by the mayor of the municipality or region.
- On the basis of the order and the payment documentation for costs incurred, an enforcement order is issued in favour of the municipality or region for the recovery of the debt under the Civil Procedure Code.
Section 4. General Assembly Decisions: What Majority Is Required for What
Not all General Assembly decisions require the same majority. The CMLA sets different thresholds depending on the nature of the decision. Foreign owners who participate in General Assemblies — personally or through a representative — need to understand these thresholds to assess whether a decision they are presented with was validly adopted.
Voting Majorities
| Decision Type | Required Majority | Calculated On |
|---|---|---|
| Major repair and large-scale reconstruction of common parts | More than 50% (simple majority) | Ideal shares of all owners in the building |
| Necessary and urgent repair | Simple majority (more than 50%) | Ideal shares of owners present at the General Assembly |
| Improvements and enhancements | 75% supermajority | Ideal shares of all owners in the building |
| Management and maintenance cost allocation | General Assembly decision | Must not breach mandatory provisions or equality principle |
| Change of purpose of common parts by purpose | All owners’ unanimous consent | All owners of independent units in the building |
Section 5. Carrying Out Works Without a General Assembly Decision
When Can an Owner Act Unilaterally?
The question of whether an owner who has carried out repairs to common parts without a General Assembly decision can recover costs from the other owners is answered by Bulgarian civil law on a case-by-case basis, taking into account the nature of the repairs and the specific circumstances.
The legal basis for a cost recovery claim in the absence of a GA decision is the principle of unjust enrichment (ungained enrichment). Courts have recognised this right in specific factual situations, including:
- Necessary repair of the building’s roof structure where other owners refused to cooperate in the repair
- Urgent repair of the lift system where the damage was preventing normal use of the building and access to individual units
- Urgent repair of a lift malfunction creating a risk to the life and health of residents
Legal Basis for Cost Recovery
| Other Owners’ Conduct | Legal Basis for Recovery | Key Condition |
|---|---|---|
| Knew of the works and did not object | Art. 61(2) of the Obligations and Contracts Act | Enrichment must be genuine; works must have been necessary |
| Objected to the works | Art. 59 of the Obligations and Contracts Act | Unjust enrichment must be demonstrated; more difficult standard |
| General Assembly decision existed authorising the works | Art. 30(3) of the Condominium Management and Living Act | Straightforward recovery based on the GA decision |
— SCC jurisprudence on unjust enrichment in condominium repair disputes
Section 6. Legal Consequences of Violating Condominium Rules
Administrative Liability: Fines and Penalties
Under Article 55 of the CMLA, an owner, user, or tenant who fails to comply with their obligations or takes actions contrary to the law is subject to a fine or property sanction. The administrative enforcement procedure works as follows:
- The building management company or manager, together with two owners of separate units, draws up an inspection report describing the specific violation: the date, time, and place, the nature of the violation, and the identity of the violator.
- The inspection report is submitted to the relevant municipal or regional administration, which prepares an administrative violation act.
- Based on the administrative violation act, the mayor of the municipality or region issues a penalty order imposing the fine or property sanction.
- The penalty order can be appealed under the procedure established by the Administrative Violations and Sanctions Act (ZANN).
Civil Liability: The Negatory Action Under Article 109
The most significant civil remedy available to condominium owners is the negatory action under Article 109 of the Property Act. This gives any owner the right to demand the cessation of any unjustified interference by another person that prevents them from fully exercising their ownership rights. The Supreme Court of Cassation has consistently applied this remedy in condominium contexts.
The SCC has established the following principles regarding the rights of apartment owners in condominiums:
- The common parts of a building are held in mandatory joint ownership;
- The corresponding ideal shares of the common elements are an inseparable part of the independent units in the building;
- The purpose of common areas is to ensure the full use of the individual apartments; each owner therefore has a guaranteed right of direct access to them, regardless of whether the common area directly serves their specific unit;
- Owners of apartments are obliged not to take actions that prevent the use of common areas in accordance with their designated purpose;
- A change in the purpose of common areas can only be made with the unanimous consent of all apartment owners;
- Each apartment owner may protect their rights to common areas by means of a claim under Article 109 of the Property Act.
Section 7. A Practical Guide for Foreign Property Owners in Bulgaria
What You Should Know from Day One of Ownership
Conclusion: Know the Rules Before the Dispute Arises
Condominium ownership in Bulgaria is a well-defined legal structure with clear rules on cost allocation, voting majorities, repair obligations, and enforcement mechanisms. The CMLA, as amended in June 2025, provides a comprehensive framework. The Supreme Court of Cassation has developed a substantial body of jurisprudence clarifying how that framework applies in practice.
For foreign owners, the key takeaway is this: the rules are knowable, and knowing them before a dispute arises is significantly less expensive than learning them through litigation after one. The distinction between common parts by nature and by purpose, the fixed rule on repair cost allocation, the voting majority requirements, and the escalation path for urgent repairs without a functioning GA are all practical matters that affect every owner in every Bulgarian residential building.
The balance between individual rights and collective interests in a condominium is not always easy to maintain. But owners who understand the legal framework, participate in building governance, and obtain independent legal advice when needed are well positioned to protect their investment and avoid the most common and costly mistakes of Bulgarian condominium ownership.