I find the idea that different classes of owners will be treated differently a bit difficult. Now if the banks decide to write off the debt for certain classes of owner, then that is fine, as it is a commercial decision for them. What isn’t clear is how much the banks are going to receive from the sale of the property.
This also shows a deficiency in strata law. The have a strata scheme that is basically defunct, which can only re resolved in two ways. Either the owners decide that the strata will do the repairs, which probably meant unacceptable levies or borrowings or they sell it to someone who will fix it. It seems that if a significant proportion of the owners decide that neither meets their expectations then they can just leave it sitting there.
One point is that the banks and the strata committee could probably force the sale of most of the units, except it would be a public relations nightmare. There was something today in the SMH which suggested that a lot of owners didn’t pay the special levies for the legal action. Our strata has bylaws which specify what is to happen when unpaid levies exceed a threshold. May strata is in breach of theirs.