Joint Administration Costs

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Gunnar
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Joint Administration Costs

Post by Gunnar »

HI

I bought my house in Hua Hin in August 2009, and I getting to know my way around Hua Hin.

My house is in a "compound" area, and we have to pay monthly
Joint Administration Costs.

For our area it includes (roughly):
1. Security (guards 24hrs x 7days. 1 guard daytime and 2 guards night time)
2. Common swimming pool area.
3. Keeping the common are nice and tidy (I thing there are 4 peolple working with these tasks)
4. Street lights Electricity + El. used for swimming pool
5. Watering common area

On top of that we have to pay for water and electricity used for each and every house unit.

OK
The Joint Administration Costs is per today TBH20 per Wah.

A property of 200m² do not use more of the Joint Administration Costs (mention 1 to 5) than a property of 750m²

Also I think that TBH20 per Wha is very high.

Personal use of water is TBH15 per m³.
Must be the most expensive water in town.

Anyone that have some figures from your own area?

Thanks
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Super Joe
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Re: Joint Administration Costs

Post by Super Joe »

Hi Gunnar,

Yes, the 20B/Wah2 seems high on the face of it, but it depends how many properties there are on your development ?

Another question is are there any plots that have not been handed over to an end user/customer yet, and if there are, is the current land owner paying an equal share ?

Did the Electric Authority (PEA) install and now 'own' the street lighting, as in this situation they do not charge for this usage normally in my experience. Do you have a PEA's electric meter outside your property?

Water expensive@15Baht? difficult to say without knowing how many properties are sharing the cost, assuming from what you've said that it's supplied via a well (bore). IF you have a clean, reliable supply and your using say 1,500 litres a day, that around 600-700 Baht/month, personally I'd settle for that arrangement. If there's a lot of properties then yes, expensive.

In theory the land owners, (not the lessees/Usufukerers), have the right to take over the administration once 50%+1 of the plots have been signed over by the developer.

SJ
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Gunnar
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Re: Joint Administration Costs

Post by Gunnar »

HI

Thanks for reply.

Some naked facts

There are 66 Houses/Plots (no apartments).
So fare 7 plots not sold.
The common are is completed.

I have done some calulation.
Including the 7 plots not sold, the Joint Administration Costs
comes to TBH 1.772.000 per year (approx EURO 42.500)

That's a lot of money, or???
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Farang
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Re: Joint Administration Costs

Post by Farang »

I know of some relatively nice compound where one pays 500 baht/month/house for guarding, cleaning, common areas, common electricity and garbage. Having said this the compound pool costs 40 baht/day of usage. Water is paid at HH Water prices.

You cost seems to be about four time as high as this.
Last edited by Farang on Wed Oct 20, 2010 3:28 pm, edited 1 time in total.
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JimmyGreaves
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Re: Joint Administration Costs

Post by JimmyGreaves »

How far out of town are you.

Who runs the show Thai or Foreign?
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Re: Joint Administration Costs

Post by TypicallyTropical »

I just came back from HH where I looked at probably a hundred properties. The range of the common area maintenance fee was between 20BHT - 40BHT per sqm for all the properties.
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Re: Joint Administration Costs

Post by Gunnar »

JimmyGreaves wrote:How far out of town are you.

Who runs the show Thai or Foreign?
HI

It is 2,5 km from the town
It is 2,5 km from Hilton Hotel
It is 2,5 km from what ever you are looking for

The house is "in town" ! ! !

And I am sorry to say, but it is Thai people that are running the show
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Re: Joint Administration Costs

Post by poosmate »

Typically Tropical
I just came back from HH where I looked at probably a hundred properties. The range of the common area maintenance fee was between 20BHT - 40BHT per sqm for all the properties.
Per Year I presume?

Gunner wrote
And I am sorry to say, but it is Thai people that are running the show
Mmmmm..... Maybe because you bought from a Thai and are in Thailand. :roll:
Were these charges in your contract when you bought the house?
Why agree to them and then complain later?

1.7 mill per year. 4+? staff + 3 security + manager. Staffing alone. Would be around 1.2 m. Pool chemicals fertilizer machinery and other ancillaries + Electricity 120000 ( maybe more ). Breakdowns, pumps failing, and other unknown expenses 120000 ( could be more ). This simple breakdown will maybe give you an idea as to how much an area can cost to maintain.
Costs can be reduced as SJ said by taking the administration over. Immediately the managers salary can be discounted - you can work for free!
Water charges 15 Baht. The commercial rate for water I believe is 18 Baht per unit plus VAT. This is the price a development with one main meter supplying all is charged by the water company.
If again you wish to save have your own supply from the water company if possible or why not drill a bore ( 120000 Baht ish ) In fifteen years or so you will have got your money back - if there are no problems and nothing needs replacing.
I personally think the 20 Baht per wah2 is high but not excessive.15 Baht is probably nearer the figure that could be charged.The developer may have built this charge in to give him a profit ( 30k? month/ 700 Euro )
In my opinion if the development is run well and smoothly leave well alone.
To save 500 Baht or so a month and having all the burden placed upon an 'association' of mixed race farangs ( I guess) would be a disaster. Especially if there is one who thinks everything is still too expensive :wink:
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Re: Joint Administration Costs

Post by brianks »

This all sounds so familiar to our former situation with the property we sold (too bad we can't mention where on this site). We were paying 65,000 baht per year for maintenance "services" (Guards, trash, pool service --gardening extra) and had own pools and paying 5.25 baht per KWH and 13.4 baht per cubic meter for water. They were making a good income off the profits of only the utilities aside from the vast overcharge of maintenance.

We are now in another development close by old one 6km from center of town over the hill and built by the most consumer friendly and quality builder in town. Paying 9 baht per sq. meter for Maintenance (includes guards, gardening, pool service- 500 sq.meters x 9 = 4,500/month/ 54,000 year) and 4 baht per KWH for elect. (real charge is 3.5 baht but .5 baht for EGAT to read meters and send bills), 10 baht per sq. meter for water plus 30 baht/month for trash. Builder does not want to be in utility business so we pay direct for each service. I know some will say that paying for trash is petty and I agree but no complaints since EGAT gave me 16,000 baht elect bill for first two months, when I protested, builder went to meter and saw I was correct, called EGAT out to see for self and they sent new bill for 1,500 baht for the period. From meter reading should have been about 6,000 baht so I can't complain about a small 30 baht trash charge.

I know how you feel being taken advantage of. So nice to have a positive experience at new place. No more bitter feelings.
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Re: Joint Administration Costs

Post by poosmate »

Brianks wrote
I know some will say that paying for trash is petty and I agree
Why? :?

Another point the Electricity charge gets higher the more you use as does the water. A development that has its own meters and has only one master meter owned by the Electricity company is therefore going to be charged more. Maybe your original developer was not ripping you off as much as you thought on utilities.
Your current charges are certainly more reasonable. As Gunner pointed out though if there are larger plots - Say 800m2 + paying the same rate 9 Baht m2 ( 36 Baht Wah2) then it becomes expensive in my view.
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Re: Joint Administration Costs

Post by TypicallyTropical »

Typically Tropical
I just came back from HH where I looked at probably a hundred properties. The range of the common area maintenance fee was between 20BHT - 40BHT per sqm for all the properties.
Gunner
Per Year I presume?
You are kidding, right?! :roll: :roll: :roll:
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Re: Joint Administration Costs

Post by BaaBaa. »

We just pay the electric and water by direct debit and dump the rubbish in a large bin near the end of the road!

Do our own laundry too! :shock:
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Re: Joint Administration Costs

Post by johnnyk »

There is personal electricity and common electricity. Common is for streetlighting, pump for a shared pool etc. Personal is your own use, run a/c 24/7 it will cost so use less to pay less.
Water is the same. Common water costs would be for the community pool and water for maintenance of common area green spaces.
Seems to me the costs should be about 4-6baht per sq. metre per month.
Example: 400m2 plot @5baht= 2000/month=24K/year for all community services. Personal water, electricity and garden services are in addition.
Municipal water is 15baht/m3 +VAT = 16.05/m3 last time I checked. All are on the hook for this if there is a single water meter serving the estate unless you can form a mooban legal entity which isn't easy.
As superjoe said, you can take over and become a legal entity once 50%+1 owners agree to form the mooban. HOWEVER, developers keep control by leasing plots, thus keeping ownership of the majority.
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