Reply To: An owner wants to change unit entitlements

Thanks Sir Humphrey, that’s very helpful, esp being specific to the ACT.  Do you have a reference for “the valuation could not be more that some number of months old and still be used for the reallocation”?  Haven’t seen that in the Act?  What I have seen is that the special resolution must be not more than three months before the application.

Also, how much of this could the Executive (Strata) Committee do on their own?  Could the EC commission the comprehensive valuation without reference to the full OC?

p.s.  In relation to “Note that the valuation for this purpose is not the same as the usual valuation for insurance purposes”, what sort of valuation are we talking about?  The Act refers to “the improved value of each unit relative to each other unit”.  Are we talking about something that is formulaic, based one the square metres of the unit and the building, or something that looks more broadly at value?

In researching this, I found one strata managing company’s website with the following statement: “The allocation is typically based on various factors such as the size, location, and features of each lot. Larger or more strategically positioned lots may have a higher Unit Entitlement.”  Does this sound right to you?  It doesn’t sound formulaic to me, and is more in keeping with my interpretation of “improved value”.