Capital Works Funds

What is a Capital Works Fund?

A Capital Works Fund is established by the owner’s corporation to cover the costs of future capital expenses, such as building painting, driveway refurbishment, replacement of common property items like carpets, roofing, guttering, and lift overhauls.

Who Needs a Capital Works Fund?

Since July 2009, all strata schemes are legally required to have a 10-year Capital Works Fund plan in place (Section 75A of the Strata Schemes Management Act 1996).

This means owners' corporations must plan for the repair and maintenance of common property and ensure they raise sufficient funds to cover these future costs. The amount required for the 10-year plan varies depending on the scheme—newer schemes may require less funding than older ones with more repairs needed. Each plan should reflect the unique needs of the scheme.

The 10-year plan must be approved by owners at an annual general meeting (AGM) and reviewed and adjusted, if necessary, within the first five years.

Why Muller Partnership?

With over 25 years of expertise in preparing Capital Works Fund forecasts since 1997, Muller Partnership delivers professional, reliable services to ensure your owners corporation is fully prepared for future capital expenses.

Contact Muller Partnership today to arrange your Capital Works Fund Forecast.