Who's in the box seat.

Purchased a villa many years ago in small 4 villa complex.
I presume like most investors thought of owning complex outright one day when others
came up in same complex for sale.

Problem was so did someone else, so over the years they have purchased the others.
I made a number of offers but not able to compete against the other purchaser.

So recently another became available and again his offer was much greater
than I was prepared to go, the situation is now they own 3 of the villas and
I own one.

So wondering if this leaves me in the box seat or them , what problems could
now exist with them having the voting numbers at strata time ??
 
Keep your wits about you...

You need to be aware that your competitor now controls the owners corp. it used to be a "strategy" in situations like this for the owners in control to vote for and approve a large "improvement" levy (say $100k per unit) to see if it placed financial pressure on the remaining owners to force them to sell ....at low price. I don't know if strata law has changed to stop this but it would be worth a chat to your lawyer or experienced strata specialist. LL
 
Purchased a villa many years ago in small 4 villa complex.
I presume like most investors thought of owning complex outright one day when others
came up in same complex for sale.

Next time, build the 4 unit complex yourself and own them from the outset.
 
I would be concerned as mentioned above, you no longer have any control over the strata and decisions can be made without your approval.
 
I would be concerned as mentioned above, you no longer have any control over the strata and decisions can be made without your approval.

This depends on how they own them.

Under Strata law an owner with more than 50% of the voting rights has their voting rights reduced to 50%, thus they can't dominate the strata.

If they own the units under the one entity they they snookered themselves but if they used a different entity to own at least one they can still dominate the strata.

The voting requirements for compulsorily selling has changed recently and I believe you only need 75% of the owners vote to sell the whole complex. Used to need 100%.

Cheers
 
This depends on how they own them.

Under Strata law an owner with more than 50% of the voting rights has their voting rights reduced to 50%, thus they can't dominate the strata.

If they own the units under the one entity they they snookered themselves but if they used a different entity to own at least one they can still dominate the strata.

The voting requirements for compulsorily selling has changed recently and I believe you only need 75% of the owners vote to sell the whole complex. Used to need 100%.

Cheers

Sorry guys for not responding sooner , been a busy time.
Will seek some info from the strata manager.
The units have all been bought through the same super fund so unless they
sell some to themselves they may not be able to dominate the voting going b y handyandys comments.
 
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