Common Property – Are Differential Levies Possible?

Must strata lot owners pay, as part of their levies, maintenance of the common property they do not use?

Are all strata owners responsible for paying for the maintenance of every part of the common property even if some owners cannot or do not use part of the common areas?

Is it possible for an owners corporation to raise a differential contribution that is levied on some but not all owners or is levied in shares that are not proportional to the unit entitlements of the lots?

Here are some typical examples where owners often query if they should pay for maintenance of these areas:

  • A strata scheme that contains multiple stages – should they pay for stage 2 if they’re in stage 1?
  • The owner of a ground floor lot who does not use a lift servicing the upper levels of the building
  • The owner who does not use recreational facilities such as a swimming pool, gym or tennis court

Are these exceptions or are common areas in strata residential blocks treated as a whole?

Read this paper to find out the true position – Common Property Use and Differential Levies in Strata Blocks

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Removing Illegally Parked Vehicles in Strata Blocks

Illegally parked vehicles taking up visitor parking spaces in strata blocks are becoming more and more of an issue as the Sydney community grows and creates more demand for parking. 

It’s reported that residents and non-residents are taking up visitor car parking with their extra cars, strangers dumping unregistered vehicles and apartments near major centres or transport hubs being targeted by commuters, all ignoring the rules and causing grief across Sydney’s high-rise strata communities.

So, what can be done?

Are owners corporations powerless to remove illegally parked vehicles from visitor parking spaces in strata blocks? A recent article in SMH Domain suggests this is the case.

But what is the true position? Download to find out what can be done about Illegally Parked Vehicles in Strata

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Property Licensing Laws Affect Strata Managers

It is anticipated that mid 2018 changes to the NSW property licensing laws are planned to take effect, subject to NSW parliament approval, which means changes for some strata managers.

The new NSW property licensing laws have been designed to increase consumer protection measures and will include the improvement of entry requirements for the real estate and property industry, including strata managers.

The main reasons for these changes are to:

  • Provide a clearer career progression for real estate and property industry professionals
  • Avoid start-up companies by individuals with no experience
  • Reduce the risk of misappropriation of trust funds

Strata managers who currently hold a licence will still hold a licence under the new legislation.

Post introduction of the new laws, to obtain a licence in NSW will require strata managers to have 12 months’ experience working in strata. Currently, there is no strata experience required.

Continuing Professional Development (CPD) will also change to ‘hourly’ rather than a ‘points’ based system.

In summary, NSW property owners can rely on the fact that every strata manager in NSW will have a strata property manager licence within four years of the new legislation coming into force.

For further information on these proposed changes please refer to NSW Fair Trading.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Warning, Approach the Supreme Court at Your Peril!

The Supreme Court recently ordered a lot owner who succeeded in litigation against an owners corporation to pay the owners corporation’s legal costs.

This is one of the first times a litigant has been punished by an adverse costs order for approaching the Supreme Court for relief which could have been given by NCAT.

We recently wrote about this case and the decision of the Supreme Court. The Court decided that an owners corporation of an apartment building in inner Sydney could not upgrade or build on common property in a way that would prevent a lot owner gaining access to, and egress from, a car space lot with a regular sized car.

So, what was the outcome after the Court handed down its judgment? Why did the Court decide that the lot owner should pay the litigation costs?

Read the full details here Supreme Court Orders Winner to Pay Legal Costs.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Proposal Rejected to Upgrade Common Property 

The Supreme Court has rejected a proposal by an owners corporation to upgrade its common property in a way that would have impeded access to an owner’s car space.

The building is a residential strata scheme in inner Sydney containing 80 residential apartments, 27 car space lots and common property.

A particular car space, not attached to any apartment lot within the building, was purchased as an investment.

The owners corporation of the building proposed to change the use of and upgrade an area of common property adjacent to this car space. This upgrade, if implemented, would have impeded the ability of the owner or tenant to drive a standard size vehicle into and out of car space.

What are the broader implications of this case? Read our case paper to find out Common Property and Supreme Court

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Fair Trading Incorrect Window Safety Details

13 March 2018, was the deadline for every owners corporation in NSW to have installed compliant window safety devices on applicable windows throughout their strata schemes.

Recently, NSW Fair Trading updated information on their website concerning window safety devices for high rise strata blocks.

However, it’s important to note that the information uploaded is incorrect on the NSW Fair Trading website.

This is resulting in some incorrect conclusions that it is possible for an owners corporation to relieve itself from the responsibility for installing window safety devices.

As a result of the incorrect window safety device information on the NSW Fair Trading website it has raised a number of questions:

  1. Can the installation of window safety devices be delegated to each individual lot owner?
  2. Who is responsible for the maintaining, repairing and replacing window safety lock devices after they have been installed?
  3. Can a window lock by-law be put in place to relieve the owners corporation of responsibility?
  4. Why is the NSW Fair Trading window safety device information incorrect?

What is the correct information for window safety devices? Our paper will explain – Window Safety Devices and By-laws.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




Short Term Lettings & Airbnb – Hot Topics in Strata.

Short term accommodation, can it be stopped?

Does short term accommodation require Council approval or is it prohibited in most local government areas in NSW?

Is a by-law still an effective way to prohibit short term accommodation in a strata scheme?

We’ve prepared a short paper to help you understand the ins and outs of this area of strata law Short Term Accommodation.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




After 4 Years, Mr Nicholls Gets to Keep his Spa

After four sets of legal proceedings, the Supreme Court has finally given the green light for a lot owner to keep his outdoor spa and decking installed on an external area in a lot in a residential strata scheme.

This case highlights the restrictions that apply to appeals to the Supreme Court against decisions made by NCAT in strata disputes and the difficulty winning those appeals.

Read the full case here; After 4 Years, Mr Nicholls Gets to Keep His Spa

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.




Strata Lawyers Dissect Anti-Airbnb Laws

It’s widely accepted that holiday lets have a more profound effect on apartment blocks than stand-alone dwellings, for obvious reasons.

Late last year, the Privy Council in London ruled on a piece of overseas strata legislation that was basically a cut-and-paste of NSW strata law, section 139 (2), which says that by-laws can’t interfere with owners letting their units.

But what do the ‘legal eagles’ think…

Adrian Mueller of JS Mueller & Co says that rather than a by-law restricting the number of days a property could be let I would… “Advise the owners corporation to make a new by-law that would prohibit an owner or occupier of a lot using the lot … for unlawful short-term accommodation”.

To read the full Australian Financial Review (AFR) article click here  Strata Lawyers Dissect Anti-Airbnb Rules.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.




By-law Reviews: How to Avoid the Big Mistakes

The deadline for owners corporations to review their by-laws has passed and most owners corporations have now completed their by-law reviews.

So what lessons can be learned from the by-law review process? And, more importantly, what mistakes have been made during that process and how can they be fixed?

Read this paper to find out common mistakes and how you can fix them  By-law Reviews – How to Avoid the Big Mistakes.

For NSW strata legal or levy collection advice please contact us here or call 02 9562 1266, we’re happy to assist.