7 Property operating expenses
2022 | 2021 | |
Taxes | 9,875 | 9,510 |
Insurance | 780 | 821 |
Maintenance | 40,000 | 30,085 |
Valuation fees | 523 | 436 |
Property management fees | 4,906 | 4,456 |
Promotion and marketing | 177 | 159 |
Letting and lease renewal fees | 7,427 | 6,913 |
Addition to provision for bad debts | 324 | 245 |
Owners associations | 3,678 | 2,566 |
Non reclaimable VAT | 10,718 | 8,425 |
Other operating expenses | 1,414 | 576 |
Total property operating expenses | 79,822 | 64,192 |
Maintenance expenses increased significantly in 2022 compared to 2021 as more maintenance projects were realised and costs were higher due to inflation. In 2022, € 0.7 million (2021: € 0.8 million) of the maintenance expenses related to unlet properties.
The rental process for all new-build projects is fully digitalised and automated in last year in order to attract new tenants, resulting in higher letting and lease renewal fees.
The Other operating expenses consist mainly of exploitation costs of real estate managers and also include costs for tenant due dilligence.