Need Owner's Corp when own all units?

[dodo_lurker]

Hello forum,

I have a development near completion - 2 townhouses out the back of an existing house.

It will be subdivided at the end but I will be retaining all the properties.

Do I need to set up an Owner's Corp seeing as I own all the properties? I'm in Victoria.

Cheers!

 

[Tano]

I think its only if you own less tha 50% of the units

 

[Scott No Mates]

Who are all the owners going to meet with?

Are you going to form a hostile bc?

Who is eligible to be on the bc?

 

[westminster]

Don't quote me but I believe you need to hold an AGM and agree with yourself that you don't need one.

Things to consider though
- who/how will common area insurance be paid
- who/how will common areas be maintained
- who/how will common area bills (power/water) be paid
- should a sinking fund be set up so that in the future if one or more is sold that there is money in there for it for future repairs/upkeep of common area

All are things to consider. There is differences between a BC and a strata fees.

 

[Kate Ashmor]

The plan of subdivision will determine whether an Owners Corporation is created: usually if there is a common driveway or shared services.

The OC Act's exemptions only apply to 2-lot subdivisions, so even if you own all 3 lots, you will probably need to comply with the Owners Corporation Act to a certain extent. That said, the Act contains grey areas whose meanings have yet to be tested in VCAT/court.

Best to check with Consumer Affairs Victoria, the regulator of OCs.

 

[DaveM]

You would want an owners corporation and to strata the property to maximise end val... single title subbies get knocked down on val.

However if you own all lots you can elect to not strike levies and just pay for insurance and R&M directly.

 

[Toon]

Hello forum,

I have a development near completion - 2 townhouses out the back of an existing house.

It will be subdivided at the end but I will be retaining all the properties.

Do I need to set up an Owner's Corp seeing as I own all the properties? I'm in Victoria.

Cheers!

I've been looking for the same information as I'm considering buying a property just as you describe. It looks like being more than two lots, you do need to comply with the OC act

Has anyone had actual experience being a sole member OC & if so, is it a red tape nightmare? Trying to work out whether it is best to steer clear of these types of IPs and stick to solely single dwellings or not. Any thoughts appreciated.

 

[TMNT]

Don't quote me but I believe you need to hold an AGM and agree with yourself that you don't need one.

at least you will always win every argument!!!!

 

[Toon]

at least you will always win every argument!!!!

I should hope so

 

[Scott No Mates]

at least you will always win every argument!!!!

Unless the chairperson and the rest of the BC are idiots and you can't argue with an idiot; )