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Shared Facilities Agreement
I need a shared facilities agreement for a co-working space that will be used by multiple startups, outlining the terms of access, maintenance responsibilities, and cost-sharing arrangements. The agreement should include provisions for security, scheduling, and dispute resolution, with a focus on flexibility and scalability as the number of users may change.
What is a Shared Facilities Agreement?
A Shared Facilities Agreement sets out the rules for multiple parties sharing common areas, equipment, or infrastructure within a property or development. In Indonesia, these agreements are especially common in mixed-use buildings, office complexes, and industrial estates where tenants need to coordinate the use of elevators, parking spaces, security systems, and utilities.
The agreement spells out each party's rights, maintenance responsibilities, and cost-sharing arrangements. It typically follows Indonesian property regulations and covers important details like operating hours, scheduling protocols, insurance requirements, and dispute resolution methods. Building managers and property developers often use these agreements to ensure smooth daily operations and prevent conflicts between occupants.
When should you use a Shared Facilities Agreement?
You need a Shared Facilities Agreement when multiple tenants or owners share common spaces or equipment in Indonesian commercial properties. This is especially crucial when setting up operations in shopping malls, office towers, or industrial parks where elevators, parking areas, and utility systems serve multiple occupants.
The timing is critical - put this agreement in place before occupancy begins or when converting property use. Indonesian property laws require clear documentation of shared facility arrangements, particularly for mixed-use developments. Having this agreement ready prevents disputes over maintenance costs, usage rights, and operational responsibilities that often emerge once multiple parties start using the same facilities.
What are the different types of Shared Facilities Agreement?
- Basic Commercial Property Agreement: Covers shared spaces in office buildings and retail centers, focusing on common areas like lobbies, elevators, and parking
- Industrial Complex Version: Details shared infrastructure in manufacturing zones, including utilities, loading docks, and waste management systems
- Mixed-Use Development Type: Addresses residential-commercial combinations with specialized provisions for security, maintenance schedules, and cost allocation
- Strata Title Variation: Tailored for Indonesian condominium developments, covering shared facilities under Law No. 20 of 2011
- Short-Term Facility Share: Used for temporary or project-based sharing arrangements, with flexible terms and clear exit provisions
Who should typically use a Shared Facilities Agreement?
- Property Developers: Create initial agreements during project development, setting baseline terms for facility sharing
- Building Management Companies: Implement and oversee daily operations of shared facilities, enforce agreement terms
- Commercial Tenants: Sign and comply with agreements when leasing space in multi-tenant buildings
- Legal Consultants: Draft and review agreements to ensure compliance with Indonesian property laws
- Facility Managers: Execute maintenance schedules and coordinate shared service access
- Property Owners Associations: Represent collective interests in agreement negotiations and updates
How do you write a Shared Facilities Agreement?
- Property Details: Map out all shared areas, equipment, and utilities that will be covered under the agreement
- User Information: Compile complete details of all parties who will share the facilities, including legal entity names
- Cost Structure: Calculate maintenance costs, utility expenses, and how they'll be divided among users
- Usage Rules: Define operating hours, access protocols, and booking systems for shared spaces
- Maintenance Plan: Outline regular maintenance schedules and responsibility assignments
- Insurance Requirements: Determine necessary coverage levels for shared facilities under Indonesian regulations
- Dispute Resolution: Establish clear procedures aligned with local property laws
What should be included in a Shared Facilities Agreement?
- Party Details: Full legal names and addresses of all facility users and management entities
- Facility Description: Detailed inventory of shared spaces, equipment, and infrastructure covered
- Cost Allocation: Clear breakdown of maintenance fees, utility charges, and payment schedules
- Operating Rules: Specific terms for facility access, usage hours, and booking procedures
- Maintenance Terms: Responsibilities for upkeep, repairs, and periodic inspections
- Insurance Requirements: Mandatory coverage types and minimum amounts under Indonesian law
- Dispute Resolution: Mediation and arbitration procedures aligned with Law No. 30 of 1999
- Termination Provisions: Conditions and procedures for ending the agreement
What's the difference between a Shared Facilities Agreement and a Facilities Management Agreement?
A Shared Facilities Agreement differs significantly from a Facilities Management Agreement in several key aspects. While both deal with property management, their scope and purpose are distinct under Indonesian law.
- Primary Focus: Shared Facilities Agreements govern how multiple parties share and access common areas, while Facilities Management Agreements outline how a single management company maintains and operates the entire property
- Party Structure: Shared Facilities involves multiple equal stakeholders sharing rights and costs, whereas Facilities Management establishes a service provider relationship with one managing entity
- Cost Allocation: Shared Facilities details cost-sharing formulas between users, while Facilities Management specifies service fees paid to the management company
- Operational Control: Shared Facilities requires consensus among users for major decisions, but Facilities Management gives operational authority to the management company within agreed parameters
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