Sim
Administrator
From: Sim' Hampel
Just for information, I thought I would post a link to a detailed description of the new(ish) Community Titles act that applies in South Australia.
The Lands Titles Office (http://www.landservices.sa.gov.au/) has this publication on their website at:
http://www.landservices.sa.gov.au/pdf/COMM_TITLES_Web.pdf
According to my conveyancer, as of Jan 1st this year, there are no more of the current style of Strata Titles being allowed in SA, with all subdivisions of this type now being of one of the two Community Title structures.
Indeed, there is also a simple mechanism for moving existing Strata Titles (and also the old style Company Title) plans to Community Titles.
There are two basic types of Community Title:
- a Community Scheme, or
- a Community Strata Scheme
Some extracts from this document:
"A single storey scheme can only be a Community Scheme under the Community Titles Act, unless it was established previously as a strata scheme under the Strata Titles Act, and subsequently converted by resolution under the transitional provisions"
"Under the Community Titles Act, a strata scheme will only apply to the division of a
multi-storey structure where at least one lot will exist above another. If however, a multi storey building is developed in a townhouse style, where one lot does not exist
above another, then that development will be a Community Scheme, not a Community Strata Scheme.
"A single storey strata scheme is not possible under the Community Titles Act unless it was established under the Strata Titles Act and converted by resolution under the transitional provisions (see Conversion later). In fact, it states that a strata scheme will only apply to the division of a multi-storey building where at least one Strata Lot exists above another. Then, all Lots in the plan will be Strata Lots, regardless of the fact that some may not have another Lot above them. Note that the division of a multi-storey in town house style where all Lots extend in unlimited height and depth will not be a community strata plan."
The arguments in favour of these Community Titled schemes is that they are easier to manage, without a cumbersome Strata Management requirement being imposed... indeed for smaller developments, the management can be rather informal (provided it still complies with the rules associated with plan).
The only issues I see are that it is possible to set your own rules as part of the community process, which all owners must abide by, these can include limiting the usage of a property or part of a property.
I can forsee that there could be limitations imposed by largely owner-occupied premises which would make it unattractive for investors, but I would imagine that this would not happen in every development. There are restrictions to what limits can be imposed...
"Note that the only restriction the by-laws can impose in relation to the leasing or occupancy of a lot relates to short term occupancy; ie, a corporation may prohibit the leasing of a lot for valuable consideration for a period of less than two months."
Anyone have any experiences with community titles they would like to share ?
Just for information, I thought I would post a link to a detailed description of the new(ish) Community Titles act that applies in South Australia.
The Lands Titles Office (http://www.landservices.sa.gov.au/) has this publication on their website at:
http://www.landservices.sa.gov.au/pdf/COMM_TITLES_Web.pdf
According to my conveyancer, as of Jan 1st this year, there are no more of the current style of Strata Titles being allowed in SA, with all subdivisions of this type now being of one of the two Community Title structures.
Indeed, there is also a simple mechanism for moving existing Strata Titles (and also the old style Company Title) plans to Community Titles.
There are two basic types of Community Title:
- a Community Scheme, or
- a Community Strata Scheme
Some extracts from this document:
"A single storey scheme can only be a Community Scheme under the Community Titles Act, unless it was established previously as a strata scheme under the Strata Titles Act, and subsequently converted by resolution under the transitional provisions"
"Under the Community Titles Act, a strata scheme will only apply to the division of a
multi-storey structure where at least one lot will exist above another. If however, a multi storey building is developed in a townhouse style, where one lot does not exist
above another, then that development will be a Community Scheme, not a Community Strata Scheme.
"A single storey strata scheme is not possible under the Community Titles Act unless it was established under the Strata Titles Act and converted by resolution under the transitional provisions (see Conversion later). In fact, it states that a strata scheme will only apply to the division of a multi-storey building where at least one Strata Lot exists above another. Then, all Lots in the plan will be Strata Lots, regardless of the fact that some may not have another Lot above them. Note that the division of a multi-storey in town house style where all Lots extend in unlimited height and depth will not be a community strata plan."
The arguments in favour of these Community Titled schemes is that they are easier to manage, without a cumbersome Strata Management requirement being imposed... indeed for smaller developments, the management can be rather informal (provided it still complies with the rules associated with plan).
The only issues I see are that it is possible to set your own rules as part of the community process, which all owners must abide by, these can include limiting the usage of a property or part of a property.
I can forsee that there could be limitations imposed by largely owner-occupied premises which would make it unattractive for investors, but I would imagine that this would not happen in every development. There are restrictions to what limits can be imposed...
"Note that the only restriction the by-laws can impose in relation to the leasing or occupancy of a lot relates to short term occupancy; ie, a corporation may prohibit the leasing of a lot for valuable consideration for a period of less than two months."
Anyone have any experiences with community titles they would like to share ?
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