Dividing a building with a master deed (Basisakte)

There are several advantages to splitting a property with a master deed:

• When dividing a building, house, or developed parcel via a master deed, the private units (e.g., studios, apartments, rooms, …) can be sold to multiple buyers—often resulting in a higher total sales value.
• In the case of a gift, the division allows more flexibility: private units can be donated to different parties.
• In situations involving usufruct or leasehold rights on part of a building, a master deed makes this optimization technique legally more robust.
• A division through a master deed also makes it possible for the portion of the property used for business purposes (e.g., a commercial space) to be owned by a company, while the residential units are owned by a private individual. This way, rental income from the business use does not affect personal income tax.

Each master deed must include a detailed co-ownership report specifying the quotas, along with a plan prepared by a surveyor. The value of each private unit’s quota or share is expressed in thousandths or ten-thousandths. The fraction depends on the size and complexity of the co-ownership.

The surveyor prepares this detailed co-ownership report, which contains the calculation of shares (quotas) in the common areas. The quota of a private unit determines the weight of each co-owner within the co-ownership. This weight is essential for:

• Determining the contribution to the working and reserve capital of each co-owner
• Establishing voting rights within the co-ownership
• Distributing the costs of the co-ownership
• …

A permit is required if you intend to split a residential property into multiple housing units. For example, a large townhouse cannot simply be divided into apartments, studios, or rooms without first obtaining an environmental (urban planning) permit. Before a residential property can be divided, its approved planning and permit status must be reviewed.

This information is usually found in urban planning records and approved building plans. However, since many buildings were constructed before the Urban Planning Act, approved plans often do not exist. This is particularly the case for properties built before April 22, 1962, or between that date and the introduction of the first regional zoning plan. In such situations, a presumption of permit often applies.

The existence of multiple housing units in a building can be proven using any legally accepted form of evidence, such as official house numbering, the number of electricity, gas, and/or water meters, rental agreements with tenants, population register records, … The surveyors at CC Experts have the expertise to assess and confirm the presumed legal status of your property.

A building can be divided without a permit requirement if the number of residential units remains unchanged. For example, dividing a townhouse into a residential unit on the one hand and a retail space on the other via a master deed does not require a permit, since the number of dwellings stays the same. However, in the case of splitting a warehouse, office, or commercial space, a master deed is required.