You need a License to operate as a Property Manager in Bahrain
Property Managers will be required to have a RERA Property Manager license to operate in Bahrain from 5 July 2018. Decision No. (4) on Licensing the Management and Operation of Real Estate Properties was published in the Gazette on 5 July 2018 and may be found on our helpdesk. It provides a process for the issuance of property manager licenses as authorised by Article 46 of Law 27 of 2017.
Article 3 of the Resolution empowers RERA to issue Property Manager licenses for the management and operation of real estate properties in Bahrain.
Management and Operation of Real Estate Properties
The Resolution defines the “Management and Operation of Real Estate Properties” as: “Management and operation of real estate properties on behalf of its owners, including the preparation and implementation of schedules of maintenance and repair of a real estate property and its equipment and facilities, leasing, development, cleaning and insurance thereof, the preparation of the budget and participation in the management of its bank accounts and the real estate property-related accounting and financial reporting.“
Owner Association Manager
Some property managers may also decide to fulfill the role and functions of an Owners Association Manager. Article 66 of Law 27 of 2017 permits RERA to issue a property manager’s license for the purpose of providing association management functions. In the event that a Property Manager undertakes Owners Association duties in addition to his Property Management functions, he must disclose in writing any potential conflicts of interest to the Owners Association Board of Directors in advance of taking up such duties.
The RERA Code of Conduct outlines the Conflicts of Interest Policy which must be adhered to, at all times in order to receive and renew real estate service providers licenses.
As a guideline a Property Manager should not provide Owners Association Manager duties in the same building /development where he fulfills the role of property manager unless he discloses in writing any potential conflict of interest to the Owners Association Board of Directors in advance of taking up such duties. A Property Manager can provide owners association manager services in another building/development where there is no conflict of interest.
For those who do not wish to provide property management services and to exclusively function as an owners association manager, a separate Owners Association Manager Licence is available. For further information please refer to the License Application Guide for Owners Association Managers.
Functions of Owners Association
The Resolution defines “Functions of Owners Association”: “The tasks the Property Manager undertakes to do under delegation by the Owners Association in relation to some of its competencies, which include facilitating meetings, coordinating with the Owners Association Board of Directors, supporting the development and implementation of the operational rules of the Owners Association, the annual budget of the Owners Association, the preparation of financial and technical reports and other works that may be assigned to him.”
Property Managers with experience and qualifications in association management and subject to completion of the relevant RERA CPD training may have the additional function of owners association management recorded on the license issued by RERA.
Please sign in to leave a comment.