Legal

November 6, 2025 Published by Huronia Chapter - By Ashley Winberg

The Hidden Hurdles of Condominium Amalgamation

From the CCI Huronia Fall 2025 Condo Buzz Newsletter

For sister condominium corporations that share facilities governed by complex cost sharing agreements, amalgamation may seem like a no brainer. Amalgamation promises to reduce administrative headaches, eliminate duplicate costs, and streamline governance. On paper, it seems like a simple solution. However, in reality, the process of amalgamating two condominium corporations is anything but simple as it involves legal and administrative hurdles that can often derail the entire process before it even begins.

1. Costly Preliminary Work

Many boards mistakenly believe the first major step is securing owner approval. In reality, however, the process begins much earlier with an intensive phase of document preparation. This requires assembling a team of professionals, including lawyers, surveyors, and engineers, to create the foundational documents for the new, amalgamated corporation. This preliminary work is extensive and must be completed before each corporation calls the required owners’ meeting, where the amalgamation proposal is officially presented to owners.

2. High Approval Threshold

After the costly foundational documents are prepared, each corporation must then call and hold an owners’ meeting to officially present the amalgamation proposal to owners. Thereafter, within 90 days of that owners’ meeting, 90% of the owners of all unit at each corporation must consent to the amalgamation proposal in writing in order for the amalgamation process to proceed to the next step.

3. Municipal Uncertainty

Obtaining the written consent of 90% of the owners of all units at both corporations within a period of 90 days is a monumental task, which even if secured, is only half the battle. The second major hurdle is obtaining municipal approval for the amalgamation, which can be an unpredictable and timeconsuming process. It is a surprising reality that despite amalgamation being a provision in the Condominium Act, many municipalities do not have a formal application process. The practical implication of this is that corporations can end up spending a considerable amount of time just working with their municipality to determine the application requirements and associated costs.

As discussed, amalgamating two condominium corporations is not a simple merger. It is a complex process fraught with costly hurdles, from extensive document preparation to navigating municipal bureaucracies. The process demands careful planning, professional guidance, and a clear understanding (and acceptance) of the costs, timelines, and limitations involved. For boards considering amalgamation, the question that they should be asking themselves isn’t just how to do we amalgamate, but in light of the complexities of doing so, should we?

Ashley Winberg
Common Ground Condo Law