Malaysia | JMB and MC
JMB and MC: Who Manages a Strata Development
A strata development in Peninsular Malaysia or Labuan is run in turn by the developer, a joint management body (JMB) and a management corporation (MC). Owners run the JMB and the MC through an elected committee. In an MC with three owners or fewer, every owner is the committee. No source we read makes a paid manager compulsory at any size.
The short answer
- The JMB (Badan Pengurusan Bersama) is formed at its first AGM, held by the developer no later than 12 months after vacant possession of a parcel is handed over.
- The MC (Perbadanan Pengurusan) is made up of all the parcel owners and comes into existence when the strata register book is opened.
- An MC committee has 3 to 14 members. With no more than three owners, every owner is on the committee; with one owner, that owner decides alone.
- Votes count one per parcel on a show of hands and by share units on a poll. Owners with charges unpaid seven days before the meeting cannot vote.
- A special resolution needs at least three quarters of the valid votes cast, with 21 days' notice.
How a JMB is formed
- The developer must hold the JMB's first AGM no later than 12 months after vacant possession of a parcel is handed to a purchaser (s 17(1)(b)).
- Every purchaser gets at least 14 days' written notice, with a copy put up in the development (s 18).
- The developer presents a 12-month budget at that meeting (s 18(4)).
- The JMB registers its name with the COB within 30 days of the first AGM (s 20).
- If no purchaser attends or agrees to sit on the committee, the COB may appoint a managing agent (s 19(2), s 86).
- If an MC already exists before the JMB's first AGM, no JMB is formed (s 17(5)).
From JMB to MC
The MC comes into existence when the strata register book is opened. Its developer period runs until one month after its first AGM, which the developer must hold within one month after owners other than the developer hold at least a quarter of the share units (s 46, s 57). During that period the developer may not borrow money or sign maintenance contracts that run past its end (s 49).
The JMB is dissolved 3 months after the MC's first AGM, and within 1 month of that AGM it must pass its money, additional by-laws, accounts, assets and records to the MC (s 27).
The committee in a small development
- An MC committee has 3 to 14 people, the number set at a general meeting (Second Schedule para 2(1)).
- If the MC has no more than three owners, the committee is all of them, or a nominee for an owner that is a company (para 2(2)). KPKT: with only two owners, no election is needed.
- With one owner, that owner can make any decision a committee could make (para 2(3)).
- Committee quorum is two when there are no more than four members (para 4(a)).
- A member must be at least 21 and an owner, joint owner, a company's nominee, or a close family member nominated by an owner of two or more parcels. A proxy cannot be elected.
- No officer may hold the same post for more than two years in a row, and no member may serve more than three terms in a row (para 2(5), (6)).
- A member loses the seat after, among other things, missing three meetings in a row without permission or being three months in a row behind on charges or sinking fund.
- Committee allowances may be paid only at rates the COB approves. JPN's procedure in force from 3 June 2026 suggests RM0 to RM500 for residential schemes.
Hiring help
A JMB or MC may engage any person or agent to maintain and manage the common property (s 21(2)(f), s 59(2)(f)), with a management agreement. If that person is not a registered property manager, they must first lodge a bond worth 12 months of fees or RM50,000, whichever is higher, and the agreement and bond are filed with the COB within 30 days, RM20 each (MM Regulations reg 21, reg 32). A JMB cannot sign a maintenance or management contract for more than 12 months (s 21(3)).
Meetings
- AGM once every year, with no more than 15 months between AGMs. KPKT's example: an AGM on 30 November 2025 means the next by 31 December 2026.
- An EGM within 6 weeks of a written request from owners holding a quarter of the share units, or a COB direction.
- Notice: at least 14 days for a general meeting, 21 days for a special or unanimous resolution, 30 days for a comprehensive resolution. The AGM notice includes the last minutes and the audited accounts.
- Any owner may ask, at least 7 days before, for a motion to go on the agenda.
- The list of voters goes on the notice board at least 48 hours before the meeting.
- Quorum: half of the owners entitled to vote, in person or by proxy. If none after half an hour, the owners present form the quorum.
- The owners present elect the chair for that meeting, who has a casting vote.
- Minutes go on the notice board or to every owner, and to the COB with the audited accounts, within 28 days.
Votes
Each owner has one vote per parcel on a show of hands, and votes equal to the parcel's share units on a poll. One person can be proxy for only one owner at a meeting, and the proxy form must be lodged at least 48 hours before. An owner with charges, sinking fund or other money unpaid on the seventh day before the meeting cannot vote for that parcel.
| Vote | What it needs | Used for (examples) |
|---|---|---|
| Ordinary resolution | A majority of one half, 14 days' notice (KPKT handbook) | Tenancy and management agreements |
| Special resolution | At least three quarters of valid votes cast, 21 days' notice | Additional by-laws, extra insurance |
| Comprehensive resolution | 30 days' notice, then share units for it reach two thirds of all share units 60 days after the meeting | A subsidiary MC and limited common property |
| Unanimous resolution | Every valid vote cast, 21 days' notice | Buying land outside the lot, easements |
Act 757 rules are our English reading of the Malay text as passed in 2013, the copy KPKT and JPN publish. The Strata Management (Maintenance and Management) Regulations 2015 and the Tribunal Regulations 2015 were read in their Malay and English text. The Attorney General's legislation site could not be read on 31 October 2026, so later amendments could not be checked. JPN's 2025 annual report shows an amendment to Act 757 still being prepared in 2025.
Common questions
What is a JMB? +
A joint management body (Badan Pengurusan Bersama), formed by the developer and the purchasers at the JMB's first AGM. It manages the building and common property before the strata register is opened. It is a body corporate that can sue and be sued.
How do you form a JMB? +
The developer must hold the JMB's first AGM no later than 12 months after vacant possession of a parcel is handed over, with at least 14 days' written notice to every purchaser. The JMB is formed at that meeting and registers its name with the COB within 30 days.
What is an MC in strata? +
A management corporation (Perbadanan Pengurusan), made up of all the parcel owners. It comes into existence when the strata register book is opened and takes over from the JMB.
When does a JMB become an MC? +
The JMB is dissolved 3 months after the MC's first AGM, and must hand over its money, records and assets to the MC within 1 month of that AGM.
Does a small strata development need a committee? +
In an MC with no more than three owners, every owner is the committee, so no election is needed. With one owner, that owner makes the committee's decisions alone.
Must a JMB or MC hire a property manager? +
No source we read makes it compulsory. A JMB or MC may engage a person or agent, and one who is not a registered property manager must lodge a bond of 12 months of fees or RM50,000, whichever is higher.
What is the quorum for a strata AGM in Malaysia? +
Half of the owners entitled to vote, in person or by proxy. If there is no quorum half an hour after the start time, the voting owners present form the quorum.
Can an owner in arrears vote at the AGM? +
No, not for a parcel with charges, sinking fund or other money unpaid on the seventh day before the meeting. KPKT says an owner of several parcels can vote for those with no arrears.
How many terms can a JMB or MC committee member serve? +
No more than three terms in a row, and no officer may hold the same post for more than two years in a row.
Can JMB or MC committee members be paid? +
Only allowances at rates the COB approves. JPN's procedure in force from 3 June 2026 suggests RM0 to RM500 for residential schemes and requires an income surplus.
What happens if the AGM is not held? +
Failing to hold an AGM is an offence with a fine of up to RM50,000, prison of up to 3 years, or both (MM Regulations reg 34). An AGM held late is still valid.
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