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In the village 2/3 are large villas and 1/3 bedsits the fees work out as 0.75% for the villas and 1.1% for the bedsits if all were equally applied then the bedsits are contributing over $45000 to the Strata Acoounts above normal.
This is subsidising the richer part to the detriment of the poorer.
To have the UE revalued will cost $25000 and legal fees to challenge will be too costly.
I need a reasonably cost strata accountant to oversee the figures and a reply to the Strata manager who says i need to show where in the Strata Act my dispute is covered.
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The unit entitlements were set at the registration of the scheme . At the time of registration the split may have been fair. It may also not have been. As they say, it is what it is.
The act allows the unit entitlements to be varied by the court. But it also needs to agreement of all lot owners. Since there will be some winners ( you) and some losers, it almost certain that the motion will be defeated.
To vary the unit entitlements needs anew survey, a current valuation to apportion the unit entitlements and the help,of lawyers. Who is going to pay these bills ?
To vary the unit entitlements needs anew survey, a current valuation to apportion the unit entitlements and the help,of lawyers. Who is going to pay these bills ?
The law does allow for the adjustment of UEs but, as Kaindub points out, it is a complicated and expensive process. As a result, it tends to be the most egregious distortions – where one owner benefits to the disadvantage of the vast majority of other owners – that are corrected. An example would be where the developer has kept the UEs for a large commercial lot, or a penthouse apartment, low to attract buyers, meaning that all the other owners in the block effectively subsidise one or two owners.
It is not financially or micro-politically feasible to tweak UEs to make them a bit more fair for some owners.
The opinions offered in these Forum posts and replies are not intended to be taken as legal advice. Readers with serious issues should consult experienced strata lawyers.
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