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[mindy]

We own an old unit in Kirribilli. Under the strata plan, our unit owns the roof space. We therefore pay greater strata fees. Does this entitle us to more voting rights?

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[Jimmy-T]

@mindy said:
We own an old unit in Kirribilli. Under the strata plan, our unit owns the roof space. We therefore pay greater strata fees. Does this entitle us to more voting rights?

Yes, is the simple answer.  

The less simple answer is that your levies are calculated on the basis of your Unit entitlements and so are the votes in a “poll” vote.  A poll vote can be called for by any owner on any issue at a general meeting (but not an executive committee meeting) and otherwise MUST be employed for any special resolution such as a by-law or exclusive use by-law.

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[considerate and fair]

Hi All,

Speaking of levies and unit entitlements, does anyone know how they are actually allocated? How they are valued then allocated? They clearly don’t work on one price as per sqm. Not in my building anyway. I would have thought lots on higher floors with better city views would pay more per sqm than the smaller lots with no views? Our Strata Manager has no idea. Any information would be greatly appreciated.

Cheers CBF

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[DWDuck004]

@considerate band fair said:
Hi All,

Speaking of levies and unit entitlements, does anyone know how they are actually allocated? How they are valued then allocated? They clearly don’t work on one price as per sqm. Not in my building anyway. I would have thought lots on higher floors with better city views would pay more per sqm than the smaller lots with no views? Our Strata Manager has no idea. Any information would be greatly appreciated.

Cheers CBF

 

CBF,

Speaking from Victoria here – There is no set procedure for the setting of Unit Entitlement or Liability. In most cases, it would be calculated on either the size (MSQ2) of the lot, or the original sale price.

In other schemes, I’ve spoken to surveyors where they apply a nominal figure and add on top for the number of bedrooms for instance a 1 bedroom might have a lia/ent of 100 and a 2 bedroom has 110.

This is not strict, and very difficult to find out if your plan is more than a few years old.

 

Hope this helps –

DWDuck004

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[DaveB]

Hello CBF

In NSW the answer can be found in the RG’s directions:

It is the responsibility of the surveyor to show the schedule of unit entitlements, however the information should be provided to the surveyor by the developer. The unit entitlements should be based upon the market value of the lots. Attention is drawn to section 183 Strata Schemes Management Act 1996.

So the market value would be influenced by such factors as unit size, aspect, and views.

It is recognised that there may be a need to change the schedule of unit entitlements after the plan is registered.  Once again from the RG’s directions:

Change of unit entitlements

Changes may be made to the unit entitlements of a scheme in several ways.

• Upon registration of a strata plan of subdivision which involves common property it is permitted to alter the unit entitlements for all of the lots in the scheme and change the aggregate. This will require the provision of Approved form 11 indicating the owners corporation has passed a special resolution agreeing to the changes.
• An order may be made by the NSW Civil and Administrative Tribunal (NCAT) to reallocate the unit entitlements of a scheme if at the time the plan was registered they were unreasonable or over time they became unreasonable. See section 183 Strata Schemes Management Act 1996.
• Upon registration of a notice of notice to convert a strata lot to common property the unit entitlement for the lot will be removed and the aggregate will be reduced by that amount.

Hope that info helps to clarify the situation.

Dave

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[considerate and fair]

Thanks to all for your wisdom and advice. I now have a starting point to get our building fairly allocated.

Have a great weekend.

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[Author]

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