What is the difference between strata & stratum?
- Thread starter ger
- Start date
Stratum title is basically an improved version of company title. You own sole rights to the apartment space but also have shares in a service company that holds title to the common areas.
With Strata title you have own sole rights to the apartment plus part of the undivided common areas. Strata is controlled by a Body Corporate.
cheers
ani
With Strata title you have own sole rights to the apartment plus part of the undivided common areas. Strata is controlled by a Body Corporate.
cheers
ani
This is how I understand it as explained by my surveyor...
A stratum is essentially the plural of a strata...for example:
you have a building with a shopping centre on the ground floor, then on top of that a carpark owned by the local council, then on top of that again, a block of units....
each different section of the building has it's own strata plan..ie, it's all individually registered and each has it's own strata plan number.....but together as a building they are known as a stratum.
hope this helps
A stratum is essentially the plural of a strata...for example:
you have a building with a shopping centre on the ground floor, then on top of that a carpark owned by the local council, then on top of that again, a block of units....
each different section of the building has it's own strata plan..ie, it's all individually registered and each has it's own strata plan number.....but together as a building they are known as a stratum.
hope this helps
Hi Ger
The link below is to Consumer Affairs Victoria Home Buyers Glossary
Why don't you give them a ring to be double sure?
http://www.consumer.vic.gov.au/cbav/fairsite.nsf/pages/of_homesrent_buy_glossary?Open
cheers
ani
The link below is to Consumer Affairs Victoria Home Buyers Glossary
Why don't you give them a ring to be double sure?
http://www.consumer.vic.gov.au/cbav/fairsite.nsf/pages/of_homesrent_buy_glossary?Open
cheers
ani
definition as per a property glossary.
Company Share
This type of ownership, generally found with older style unit developments, is where a company is formed and an individual owner only owns shares in the company and the ownership of these shares entitles exclusive occupation of a part of the building and the land. The shareholders may decide on rules such as the right to sell or lease or transfer a particular share holding or right to occupation.
Financial and lending institutions are less likely to lend on this type of property as they are lending on shares rather than Real Estate.
Stratum Title
This type of Title was introduced by the Government to overcome some of the short comings with company share ownership. A Stratum Title specifies that any owner is an absolute owner of the freehold of a particular property however the owner will also be a shareholder in a service company which manages, administers and maintains the common property or surroundings space of any particular development.
The service company holds the Title to the common property. The Title holder is free to dispose of their freehold as they wish but has responsibility to the service company in which they have shares.
Strata Title
With a Strata Tile it is possible to subdivide the air space above an area of land for example a flat or unit on a second, third or fourth floor in a block of flats. This Title gives the sole right to a particular unit as well as the space enclosed by it. Therefore the owner may lease, sell or legally dispose of their unit in the same way as other freehold property owners. Each owner also has an undivided share of the land which is common to all the units.
All owners are automatically members of the Body Corporate which formulates the by-laws and administers the maintenance of the common property on behalf of all owners. Owners generally make regular payments to meet the expenses of the Body Corporate and prospective buyers of a Strata Title property should carefully read a copy of the Body Corporate bylaws.
hope that helps
cheers brahms
Company Share
This type of ownership, generally found with older style unit developments, is where a company is formed and an individual owner only owns shares in the company and the ownership of these shares entitles exclusive occupation of a part of the building and the land. The shareholders may decide on rules such as the right to sell or lease or transfer a particular share holding or right to occupation.
Financial and lending institutions are less likely to lend on this type of property as they are lending on shares rather than Real Estate.
Stratum Title
This type of Title was introduced by the Government to overcome some of the short comings with company share ownership. A Stratum Title specifies that any owner is an absolute owner of the freehold of a particular property however the owner will also be a shareholder in a service company which manages, administers and maintains the common property or surroundings space of any particular development.
The service company holds the Title to the common property. The Title holder is free to dispose of their freehold as they wish but has responsibility to the service company in which they have shares.
Strata Title
With a Strata Tile it is possible to subdivide the air space above an area of land for example a flat or unit on a second, third or fourth floor in a block of flats. This Title gives the sole right to a particular unit as well as the space enclosed by it. Therefore the owner may lease, sell or legally dispose of their unit in the same way as other freehold property owners. Each owner also has an undivided share of the land which is common to all the units.
All owners are automatically members of the Body Corporate which formulates the by-laws and administers the maintenance of the common property on behalf of all owners. Owners generally make regular payments to meet the expenses of the Body Corporate and prospective buyers of a Strata Title property should carefully read a copy of the Body Corporate bylaws.
hope that helps
cheers brahms
Commonly used by developers for staged development to allow further strata subdivision eg retail/residential development where shops are in one SP and units in another. Same building but no common services etc.
