Flat Chat Strata Forum Company Title Current Page

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  • #75559
    optusJo
    Flatchatter

      What is the benefit of converting to an Owners Corporation to an individual  owner?  We voted against a proposal to change from Company Title (many years ago), but there did not seem to be a good reason to do so at the time.

       

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    • #75563
      chesswood
      Flatchatter

        A good side of strata title is that prospective purchasers should be more likely to obtain finance than they would if you stayed company title. That could put your value up.

        A bad side of strata title is that if your building’s “many years ago” mean that it’s ancient, selling it to a developer could be easier to get through a company meeting than with strata.

        There are other issues, such as noise control and having pets, that vary between states.

        #75566
        Jimmy-T
        Keymaster

          Apart from finance, as cited above, the biggest difference is that your building would be covered by strata law, with all its flaws and inconsistencies but a regulated set of by-laws, rather than company law and the decisions of your board.  With that in mind, intractable disputes in strata can be resolved at little cost through mediation and the state tribunal while in company title, it’s off to the Supreme Court (if Vic is the same as NSW in this regard).

          Yes, I know tribunal disputes can get very expensive if both sides resort to lawyers, but they don’t have to.

          Company title articles may offer your owners the option to ban pets, airbnb, control rentals and even (unless the laws have changed) ban children.  But those “freedoms” may actually be the reason you want to move to strata.

          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.
          #75637
          optusJo
          Flatchatter
          Chat-starter

            VCAT can hear disputes involving a service company under the Company Titles (Home Units) Act 2013 (Vic) – section 1 , but only if they qualify as a neighbourhood matter .  It can also hear disputes if it is to do with fee recovery.

            In our complex, AGM Minutes, and Levy Notices make reference  to the Owners Corporation Act (2006) Vic,  however the Contract of Appointment refers to Directors and Company.   It has the SCA logo.

            #75639
            Jimmy-T
            Keymaster

              Here’s a horror story about what happens when Company Title boards aren’t governed by strata law and a retiree is forced out of her home by chronic damp.

              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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            Flat Chat Strata Forum Company Title Current Page