In company title units you have a lot of very ignorant shareholders who know nothing about corporations law, the holding and taking of minutes of legitimate meetings and the election of a Board of Directors (as well as a Chairman and their role), plus a remedy if conflict arises and things need to be sorted out. This is exactly why I sold my company title unit in the very appealing Sydney suburb of Fairlight and purchased a strata title unit.
Supposedly, the prospective purchaser of the ‘shares’ of a CT unit need to be approved by the Board of Directors. It can be seen as discriminatory if a Board refuses a purchase (for whatever reason). This does not usually happen, as taking a matter to the Supreme Court (or any court for that matter) is costly, and gives rise to tension within the apartment complex. The unit block of 8 where I resided allowed anyone to purchase, and all units (except mine) were tenanted by investors.
Perhaps this is good reason to do away with company title units once and for all, (often the older blocks in very desirable suburbs), and make them all strata……….hmmmmmm….if only there was a cheaper and easier way to do this than winding up the company, hiring expensive lawyers etc.!!!