How to Check If Your Condo JMB Is Managing Funds Properly — KL Guide

Every month, condo owners in KL pay between RM150 and RM500 in maintenance fees. Over 10 years, that’s RM18,000 to RM60,000. Most owners have no idea where the money goes.

Here’s how to find out.

What Your Maintenance Fee Actually Covers

Under the Strata Management Act 2013, every stratified building in Malaysia must collect a service charge from each unit owner. This funds:

Common area upkeep — lobbies, corridors, landscaping, lighting
Lift maintenance — annual contracts, eventual replacement (RM50,000-200,000 per lift)
Swimming pool and gym — chemicals, equipment, cleaning
Security — guards, CCTV, access card systems
Building insurance — fire, flood, public liability
Sinking fund — reserve for major repairs (minimum 10% of service charge)

The JMB (Joint Management Body) or MC (Management Corporation) decides how this money is spent. The AGM (Annual General Meeting) is supposed to review and approve it.

The 5 Documents Every Owner Should Ask For

You don’t need to be a committee member to request these. They are your legal right as a strata owner.

1. Audited Annual Accounts

Every JMB/MC must produce audited financial statements within 4 months of the end of each financial year. This shows:

Total income — service charges collected
Total expenditure — where the money went
Arrears — how many owners haven’t paid
Sinking fund balance — the reserve for major repairs

What to look for: If expenditure consistently exceeds income, the JMB is running a deficit. If arrears are above 20%, the building is underfunded and special levies are likely.

2. Sinking Fund Statement

The sinking fund is supposed to grow over time to cover major capital expenditure. A healthy fund has at least 3-5 years of projected major works covered.

Red flag: If your building is 15+ years old and the sinking fund is below RM100,000, major repairs (lift replacement, façade work, waterproofing) will require a special levy.

3. AGM Minutes

The AGM is where owners approve the budget, elect the committee, and raise concerns. Minutes should be available within 14 days of the meeting.

What to look for: Were financial concerns raised? Were they addressed? If the same issues come up year after year with no resolution, that’s a governance signal.

4. Maintenance Fee History

Request the fee history for the last 3-5 years. This shows:

How often fees have increased
The rate of increase (10%+ in one year suggests financial stress)
Whether increases align with actual cost pressures

Our maintenance fees article has psf rates for 37 buildings across 9 corridors — use it as a benchmark.

5. Outstanding Works Register

JMBs should maintain a list of pending and completed maintenance works. This includes:

Lift servicing schedules
Pool cleaning frequency
Landscaping contracts
Security guard rotations

What to look for: If the register is empty or outdated, maintenance is reactive, not planned.

How to Request These Documents

Step 1: Email the JMB or management office. Keep a copy of the email.

Step 2: If no response within 14 days, raise it at the next AGM or EGM.

Step 3: If still blocked, file a complaint with the Commissioner of Buildings (COB) at your local council (DBKL, MBPJ, MPSJ, etc.). The COB has the power to compel disclosure.

Step 4: As a last resort, the Strata Management Tribunal can order the JMB to produce accounts. This costs around RM100-300 to file.

What We Found Across Our Buildings

From the 41 buildings in our archive, here’s what we observed:

Pattern	Observation
Developer-managed buildings (UOA, Mah Sing, Glomac)	Most transparent. Accounts published, fees stable, response times predictable.
JMB-run buildings	Variable. Some are well-run, others have 2+ year old accounts and 30%+ arrears.
High-density buildings (1,000+ units)	Economies of scale keep psf lower, but AGM participation is often below 10%.
Boutique buildings (under 100 units)	Higher psf but more owner engagement. Easier to hold the committee accountable.

Desa Green — 1,388 units across 3 towers, UOA-managed, RM0.25 psf — shows how scale and professional management can keep costs low. The maintenance fee has been stable since 2016.

Southbank Residence — 674 units, also UOA-managed, RM0.22-0.25 psf — follows the same pattern. Freehold, stable fees, regular lift servicing.

Questions to Ask at Your Next AGM

What is the current arrears rate? (Above 20% is a problem)
What is the sinking fund balance? (Below 3 years of projected works is concerning)
When was the last lift serviced? (Should be monthly)
Are there any pending special levies? (If yes, ask for the amount and justification)
What is the building insurance coverage? (Should cover full replacement cost, not just market value)

When to Walk Away

If you’re considering buying into a building and the JMB refuses to produce accounts, has 30%+ arrears, or the sinking fund is near zero — walk away. You’re buying into a financial problem that will cost you far more in special levies than the discount on the purchase price justifies.

For building-by-building maintenance fee data, check our full fee comparison. For flood risk data that management bodies often don’t disclose, see our flood risk guide.