Hi
Buying a Company Titled block of flats, renovating, Strata Titling, value adding and selling is a great way to make a dollar. Peter Spann is on to a good thing.
In some areas of Sydney where company title has been in existance for a long time, such as East Sydney, it sometimes can be a little more difficult.
Some Councils take this as the opportunity to improve the general residential quality of some older blocks of flats / units.
Carparking is one example. Council may require that prior to allowing the new Strata title, offstreet car parking should be provided. Say one car space per unit plus one visitor space per two units. Now as the original flats were built occupying the maximun land space and it is not possible to excavate beneath the building, then either there is no action taken, a knockdown and rebuild situation occurs or Strata title goes ahead providing the Developer / Builder pays an enormous dollar penalty to Council. Council then takes the responsibility of providing offstreet carparking elsewhere.
Council takes this opportunity to improve its electorate at the Developers / Builders expense and get cars off the street.
I guess this is fair enough as long as you as the Investor / Developer / Builder are well aware of this in advance.
Regards
Ross