Will renovation of houses in Latvia become possible without the consent of the owners?

The Latvian Ministry of Economy has proposed amendments to the Residential Building Management Law, which would give managers the right to initiate construction work without the approval of apartment owners if they are not active in decision-making. Latvian media write about this.

The housing stock in Latvia requires modernization and increased energy efficiency, but most owners do not agree to major repairs, preferring only urgent and cosmetic work. The main reason for this is a lack of finances – the average salary in Latvia before taxes is 1,623 euros, but for a significant part of the population the real income is significantly lower. In regions such as Latgale, the average salary is 1,151 euros, which is 36% less than in the capital, and pensioners receive an average of 576 euros per month. In such conditions, carrying out major repairs becomes financially prohibitive for many.

Despite this, the Ministry of Economy intends to promote the renovation of buildings, proposing to expand the powers of building managers. If the manager is unable to obtain a quorum at the residents’ meeting or does not receive their decision during the survey, he will be able to independently initiate energy certification of the building, begin construction work and take other actions necessary for repairs.

Thus, owners may be faced with unexpected bills for repair work that were not discussed or approved by the majority of residents. The new rules may come into force on January 1, 2025. This will complement existing rules that allow a minority of owners to make decisions on behalf of the majority if at least a third of apartment owners are present at the meeting.

The only restriction provided for by the amendments is that managers will not be able to take out loans for repairs without the consent of residents. This clause was probably introduced at the insistence of banks, which opposed such measures.

Source: www.gorod.lv