Does an owner need to be financial to be voted onto the council of owners?
Page 10 | ESM Strata Management
Does emergency spending come from the Admin or the Reserve Fund?
Page 16 | Realmark
Can we swap our parking bay with the visitor parking bay?
Page 30 | Magixstrata
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6 Is the electrical wiring in the ceiling of my unit covered by strata insurance?
Tyrone Shandiman, Strata Insurance Solutions
8 Who repairs the cracks in our walls?
Chantell Kennebury, Sedgwick
10 Does an owner need to be financial to be voted onto the council of owners?
ESM Strata Management
12 How do we insure a duplex?
Leonie Milonas, PSC Property Lync Insurance Brokers
14 Why should your insurable asset valuation be up to date?
Leonie Milonas, PSC Property Lync Insurance Brokers
16 Does emergency spending come from the Admin or the Reserve Fund?
Luke Downie, Realmark
18 Avoiding Building Maintenance –Why risk it?
QIA Group
Scott Bellerby, B Strata
24 Can the Council of Owners ban all noise on weekends?
Brian Rulyancich, StrataTAC
26
Andrew Chambers, Chambers Franklyn Strata Management
Luke Downie, Realmark
30 Can we swap our parking bay with the visitor parking bay?
Marietta Metzger, magixstrata
32 The cost of living and Strata in 2022 SCA (WA)
With shops and restaurants closed and limited reasons to leave home, deliveries have become a part of everyday life. Whether it’s groceries, gifts or a new pair of shoes, an increasing array of packages are appearing on Australian doorsteps.
But while many of us are enjoying the convenience of home delivery, it can prove more problematic for residents of apartment buildings, not to mention for delivery drivers navigating secure entrances and unanswered doors. Enter Australian entrepreneur Jake Sharp, who created the MIMOR digital platform to manage just such an issue.
MIMOR (Move In Move Out Register) is a one-stop shop designed to overcome strata-living sticking points, acting as a central digital hub for residents and building managers and service providers, comprising vital building information, moving processes, procedures for booking facilities and common areas, general announcements and real-time communications via email and SMS alerts.
MIMOR’s parcel management feature similarly simplifies and streamlines parcel deliveries and collections for apartment residents. Building managers or concierges are able to accept and log parcels through MIMOR on behalf of the resident, select where the goods will be securely stored and notify recipients via email or SMS that their parcel is ready for collection. For added security, residents are required to sign for collection, and parcels entered into the MIMOR system are also recorded in the app’s reporting system to ensure all deliveries are accounted for.
“Things like missed deliveries or misdirected parcels might seem like a small thing but can really add to the frustrations of daily life in apartment living, for both residents and building managers,” Sharp said. “Parcel delivery has risen dramatically during the pandemic, and I don’t see that trend changing given how conditioned we have become to online shopping, so it makes sense to have in place a secure and streamlined system that ensures convenience and certainty.”
For properties without a building manager or concierge, there are options available such as Digital Lockers, enabling MIMOR users to select a locker number for their delivery through the MIMOR system.
The items are then secured in a locker located on the premises, and the recipient electronically notified.
Sharp created MIMOR after experiencing first hand some of the frustrations and complexities of strata living, when his former cleaning business was responsible for 220 strata buildings.
“It was such a disjointed system; none of the individual parties – owners, managers, tenants, real estate agents, cleaners –were clear on the building’s processes and systems. I just knew there had to be a better way to do it, particularly in this digital day and age,” Sharp said.
MIMOR’s subscriptions are scalable, from three apartments to more than 500.
For more information, go to mimor.com.au
Is the electrical wiring in the ceiling of my unit covered by strata insurance?
Is the electrical wiring in the ceiling of my unit covered by strata insurance?
We confirm utility services including electrical wiring in a unit is covered along with other permanent fixtures and fittings subject to the policy terms, conditions & exclusions.
I’m the owner of a ground-floor commercial office in a mixed commercial and residential strata complex. 5 wall-to-ceiling plate glass windows form the front wall of the office. Are these windows covered by the strata insurance or by the owner’s insurance?
Glass being a permanent fixture is covered by a strata policy.
Tyrone Shandiman | Strata Insurance Solutions tshandiman@iaa.net.au
READ MORE HERE
A few years ago cracks appeared in the walls of lots in our building. Owners repaired the cracks but they have returned. Common walls also have cracks and stitch repair work may be required. Should lot property cracks be repaired by strata along with the common property repairs?
I am an owner of an apartment in a strata complex of 80 units. A few years ago we noticed cracks on the walls. Strata told us it was the owner’s responsibility to get the cracks fixed. We carried out the repairs. Now, on the same walls, there are larger and longer cracks appearing, stretching from the middle of the wall all the way up to the ceiling. Other owners have the same issue.
A building inspector was employed to inspect the common property of the building for the 10-year plan. He reported that cracks are also occurring in some areas of the common property. His report sates:
“There were cracks consistent with age and type of construction noted. It is recommended that these cracks are repaired and monitored and if they continue to open up then stitch repair work would be required.”
Would this apply for the owners with the same issue in their apartments? Who would pay for the work to be done?
A forensic engineer should be engaged to identify the underlying cause of the cracking.
The responsibility will be outlined as per the boundaries of the strata lots. This is different on each strata property, so we would recommend this be checked on the registered strata plan. This will determine if it is the owner’s responsibility to maintain or the strata company’s responsibility.
Based on the information available, a forensic engineer should be engaged to identify the underlying cause of the cracking. Only then, can a remedial repair be determined and a scope of works compiled. It should be noted that crack stitching strengthens a part of the wall locally, however, may simply result in the wall cracking in a different location, hence diagnosis is instrumental in determining a long term/permanent solution.
Chantell Kennebury | Sedgwick chantell.kennebury@au.sedgwick.com
Does an owner need to be financial to be voted onto the council of owners?
AIf an owner is not up to date with payment of their levy contributions, this does not prevent them from being nominated to the Council of the Strata Company.
If an owner is not up to date with payment of their levy contributions, it does place certain restrictions upon their voting rights at a general meeting.
It does not prevent them from being nominated to the Council of the Strata Company – however, it does stop them from nominating their lot or another lot to Council. See Schedule 1(5)(2) and Section 132(2).
The chairperson must call on those persons who are present at the meeting in person or by proxy and entitled to nominate candidates to nominate candidates for election to the council.
A person is not entitled to move a motion at a general meeting or to nominate a candidate for election as a member of the council unless the person is entitled to vote on the motion or at the election.
All owners have a great responsibility in who they nominate to represent their Strata Company by serving on the Council. They represent you and act on behalf of you!
When considering candidates to nominate, should owners consider whether the nominee will be suitable?
Do they contribute to the scheme by paying their levy contributions on time (as is required by all owners). Will they act in the schemes best interests with no conflict of interest? Will they act honestly, with loyalty and in good faith, and, will they exercise a degree of care and diligence in their performance?
There may be an acceptable reason for a lot owner to be unfinancial at the time of the Annual General Meeting. Whilst this does not allow them to nominate themselves, if other financial owners see value in their contribution to Council, they may nominate an unfinancial member.
ESM Strata Team | ESM Strata esm.support@esmstrata.com.au
I own a rear duplex that shares a garage firewall with the front duplex on the block. Is the home part of a strata title complex for the purposes of home insurance?
I own a rear duplex that shares a garage firewall with the front duplex on the block.
I own my lot including the driveway to the front of the block. The front duplex and I have no common areas.
The Certificate of Title states “Lot of 2 of Strata of strata plan XXXXX ….. together with a share in property (if any) as set out on the Strata Titles Plan”.
When I’m applying for home insurance, multiple insurance companies state they don’t insure strata-title buildings, however, they do cover contents.
Is the home part of a strata title complex for the purposes of home insurance?
Insuring both buildings and common property areas under one strata insurance policy is the only way to ensure that you are both complying with the STA and all your insurable assets.
As a general response to your query, your strata and lots may be considered under the Strata Titles Act 1985 as a Single Tier Scheme. The only way to properly confirm this is by reviewing your strata plan and checking your boundary definitions, however if this does apply, this may enable you and other owners to insure your buildings within your Lots separately. You should verify this first, before you decide to do this. If you do both elect to insure separately, then for insurance purposes generally, you should advise your insurers when seeking quotations for your building by saying that it is not part of a strata as both owners of the duplex have agreed to insure separately as per your rights
under Schedule 2A clauses 53A-53E of the Strata Titles Act (STA).
The only issue is what is common property under your strata plan, such as the driveway and the fence along such, but as we do not have a copy of your strata plan we are unable to advise you regarding this. It is recommended that any insurer includes the driveway, services under such and the fences under their policy, but this needs to be clarified in writing by the insurer. Some insurers will not be willing to cover the driveway and fences along a common property driveway. You would need to consider common property insurance.
Insuring both buildings and common property areas under one strata insurance policy is the only way to ensure that you are both complying with the STA and all your insurable assets. You should refer to the STA for completeness or contact a strata consultant to understand better your obligations.
This link directs you to the Strata Titles Act 1985 WA: Strata Titles Act 1985 –refer to Schedule 2A Part 5 Insurance from clause 53A, as referenced above Lots in a Single Tier Strata Scheme.
This email response is for informational purposes only, and is not insurance, financial or legal advice and should not be relied on as insurance, financial or legal advice. You should consult with a strata consultant or legal advisor and further a qualified insurance advisor.
PSC Property Lync Insurance Brokers is an Authorised Representative (AR 1235681) of Professional Services Corporation Pty Ltd (AFSL 305491.
PSC Property Lync Insurance Brokers leonie@lyncinsure.com.au
Aside from the fact that you own a Lot in a strata scheme, as an Owner you have an undivided share of the common property. Common property can include any buildings, balconies, driveways, fencing, underground and overhead services etc as shown on the strata plan This means you, along with all of the members of your scheme, are responsible for liabilities that arise from common property ownership
WA Strata Titles Act 1985 (STA) outlines the insurance responsibilities in two main parts of the STA
Section 97 Required Insurance Schedule 2A Part 5 Insurance for Lots in Single Tier
Highlighting 2 obligations imposed on a strata company within these sections :
Must insure the insurable assets for the replacement value, including all fees & charges relating to constructions costs Hold a minimum of $10m legal liability insurance
As the STA does not specify a timeframe to meet this obligation, it is taken to be at all times
The best way to arrange a replacement insurance valuation is to obtain this from a qualified Insurance Valuer and to keep up with regular professional valuations thereafter The most common cycle to do this is every three to five years, and to accept the building index CPI offered by the strata insurers at renewal.
Lots of global and local events can have a significant impact on building construction and replacement costs It is fair to state the last 10 years, many events have effected these costs, creating a bit of roller coaster and triggering fluctuations in the valuations obtained
During the last 2 years we have seen strata insurers harden their underwriting insurance risk acceptance of strata properties, making this period and as we head into 2022, a very challenging time to obtain renewal of your strata policy and to seek new comparative insurance quotes.
At present it is not uncommon to see strata insurance valuations with increased valuations. Triggered by supply cha in labour and product shortages, these recent fluctuations may lead to many buildings now being underinsured Being underinsured can ultimately cost your strata company a lot more money, in addition to not complying with the STA 97 requirements, should the unthinkable happen
In addition in recent years, we have seen large scale catastrophes, such as bushfires, cyclones, and floods, destroying or damag ing buildings causing millions of dollars’ worth of damage Many owners are now realising the vital importance of keeping accurate and up to date Insurance Replacement Valuations
IMPORTANT TIPS Overall it is important to review your sum
Remember to review your insurable assets sum insured at the renewal time of your insurance policy If your last valuation for insurable assets was devalued down, you may want to consider obtaining another valuation sooner
of your
to ensure that your sum
is adequate at all times, to rebuild your strata property following damage from a major claim event
Do funds that constitute emergency spending of up to $500 per lot come from the Admin or the Reserve fund?
We recently had to spend into our $500 per lot emergency allowance for an item that should normally be paid from the reserve fund.
Do funds that constitute emergency spending of up to $500 per lot have to come from the Admin fund or can they come from the Reserve fund?
The Act uses the term ‘Budget’, which I understand includes both funds, so can the payment come from either account?
AThe ACT is not clear, is almost silent on the matter.
This is a very good question as the ACT is not clear, is almost silent on the matter. What the act does provide in the way of restrictions is that expenditure not authorised under the approved budget is not permitted unless it is:
1. Expenditure of any amount fixed by the strata company by special resolution or without an amount being fixed, the amount fixed by the general regulations.
2. Expenditure (other than capital improvements) made on the following conditions being met:
a. notice in the approved form of the purpose and amount of a proposed expenditure is given to the owners and first mortgagees of all lots in the strata titles scheme; and
b. if the regulations so require, quotations or tenders for the expenditure are submitted to those owners and first mortgagees; and
c. within 14 days after the requirements in the preceding subparagraphs are met, objection to the proposed expenditure has not been notified in writing to the strata company by the owners or first mortgagees of — i. 25% or more of the lots in the scheme; or
ii. lots of which the total unit entitlement is 25% or more of the sum of the unit entitlements of all the lots in the scheme;
3. expenditure required by a court or tribunal or by a notice or order given under a written law to the strata company.
It is important to note that objection under point c above by a mortgagee overrules that of the lot owner.
The amount of $500 that you reference is the amount prescribed by the regulations which I reference in point 1 above. The calculation here is $500 by the number of lots in the scheme for any one financial year regulation 80(1).
My opinion on the matter is that given the ACT does not specify, it is reasonable to assume that this applies to the Strata Company budget as a whole. Therefore it would be reasonable for the Strata Company to spend funds above the approved budget (reserve and administration in totality) up to the prescribed amount in any given financial year provided the expenditure also meets additional statutory obligations. I state additionally, as the ACT also provides that a Reserve Fund is established for the purposes of accumulating funds to meet contingent expenses other than those of a routine nature. It could be argued that exceeding budget on Reserve by the amount set by special resolution or prescribed amount would only be reasonable if the expenditure met a purpose in which the reserve fund was in place for.
Luke Downie | Realmark ldownie@realmark.com.au
HERE
Owners understand that maintaining their Common Property is the fundamental responsibility they are charged with in a Body Corporate or Owners Corporation. In order to maintain the Common Property, Owners must:
1. Identify what they have
2. Assess the condition of the structures, facilities, plant and equipment
3. Fund the maintenance and replacement of same
But how should underlying risks be addressed?
Owners have a Duty of Care to assess, control or mitigate the risks that arise on the common property. One of the main mitigation measures is obtaining Public Liability Insurance, but this assumes that the only risk they face is financial and therefore it is often assumed that such insurance is the only mitigation measure they need to adopt. Insurers however rely upon Owners maintaining their Common Property as required by Statue and Common Law, this means that Owners need to regularly assess the condition of the Common Property and fix what is in poor condition. Unless owners carry out a Safety assessment, or have one carried out for them, and carry out recommended repairs, they have no defence if a person injures themselves on the Common Property.
The longer you leave a problem, the worse it gets. A substantial portion of all works performed upon Common Property is labour, a worsening problem takes longer to fix and costs more in the long run. Painting left too long may lead to rot, rust, concrete cancer etc. Gutters left uncleaned, or drains left clogged, can lead to water ingress and further damage
Many Owners feel as though they are constantly being surprised by yet another significant unplanned expense , but in essence this can be avoided by regular inspections, regular maintenance, and with some sound assessments and advice, a strong plan for the future.
A Building Maintenance Assessment will assist Owners in reducing their exposure to unplanned expenses or budget blowouts and give them a sense of what is normal wear and tear which can be addressed via regular maintenance and what needs specific attention before it becomes an expensive problem.
The prevalence and severity of significant storm , bushfire, and flooding activity that we are currently being subjected to is exposing another substantial risk for Owners. During the course of many current compliance inspections, Owners are providing many examples of instances where Insurers are reluctant to provide quotes for building insurance until certain maintenance work s are undertaken
Substantially increased premiums are becoming more prevalent, significantly due to increasing numbers of claims due to lack of maintenance and a failure to address items that may prevent damage in an insurable event. Recent examples have arisen where prior to placing insurance for a building, all of the roofs had to be repointed, sealed and painted prior to the renewal date and only one insurer was willing to offer terms, but at a substantially increased cost. In the case of roofs in particular with a history of leaks, Owners run the very real risk of being uninsured for roof leaks and will have to repair any internal damage at the cost of the Body Corporate or Owners Corporation.
Lack of Common Property maintenance exposes Owners to funding and insurance risks well beyond the everyday slip, trip and fall risks that Owners are familiar with. In most cases, regular maintenance and timely intervention can save Owners a great deal of money, provide them with protection against budget blowouts and assist in obtaining favourable insurance terms and premiums.
Our scheme has washing machines. The maintenance of the machines has been outsourced to a contractor and charges for use have been introduced. Can residents be charged a fee to use items of common property?
Our scheme has washing machines. Over time the strata company has introduced and now increased the price of using the machines. The maintenance of the machines has been outsourced to a contractor.
When I purchased my unit there was no mention of any additional costs above my levies. There is no bylaw about additional costs associated with the washing machines.
Can residents be charged a fee to use items of common property? Where can I find information about the decision making process to adopt this practice in our building?
Without passing a by-law, I would argue that the scheme cannot charge owners to use the machines and the strata company needs to budget for this expense in the levies.
The scheme should introduce a by-law and as the by-law would relate to the payment of money by an owner, it would likely be classified as a governance by-law under the definition in section 3 of the STA.
The scheme has a positive obligation under Section 91 to keep in good serviceable repair, properly maintain and, if necessary renew and replace common property and this would include the washing machines, assuming they were originally provided as part of the scheme on registration.
I’m also assuming that the strata company made a decision that rather than maintain the machines and thus pay for this expense through increased levies, they removed this expense by outsourcing the provision and/ or maintenance of the machines to a third party. The third party provides this service by charging residents for the use of the machines. Without passing a by-law, I would argue that the scheme cannot charge owners to use the machines and the strata company needs to budget for this expense in the levies, regardless of whether all of the owners are subsiding this cost for only a few users of the machines.
Scott Bellerby B Strata | scott.bellerby@bstratawa.com.au
READ MORE HERE
QUESTION My property is only 3 years old. Who will pay for the building defects to be repaired if the Builder is no longer trading?
ANSWER In most cases, where a Builder is no longer solvent, The Owners will be responsible for the costs of repairing the defects.
The pandemic has caused significant price increases in labour and materials and the knock-on effect means that many Builder’s, large and small, are struggling to manage their cash flow. In the last 24 months Perth has seen a significant number of building companies go into administration, causing chaos with buildings still under construction and leaving Owners of properties that are still within the Builder’s Liability Period (BLP) in a precarious position.
There are two strata properties in Perth that were completed within the last three years that host a large number of substandard workmanship and material defects that are no longer covered by the Builder. In these two circumstances the cost of the repairs has fallen directly onto the Owners to rectify, leaving one couple homeless as their property was deemed uninhabitable. One building defect alone is going to cost the Owners in excess of $700,000.00. The reality of such situations is that Owners and investors can find themselves unable to lease, sell or insure their properties. These situations are rare, however may become increasingly more common if more companies go into administration.
The report that you will require if you find yourself managing and financing the building defects is similar but not identical to a Ten Year Plan. The inspector will work with you to ensure that your budgetary requirements can afford the repairs and he will match your available funds with the seriousness of the defect and the subsequent damage it may cause to the remaining building structure if not rectified. The report is a defects list with an achievable and realistic timeline for rectification and management.
It is important to note that some building materials may come with their own warranty of 10 - 15 years. If a defect is identified as a materials fault then Owners may take this back to the manufacturer for compensation if the Builder is no longer solvent.
The initial BCI assessment will investigate;
1. Whether the building and materials are performing as they were intended to.
2. If the building element complies with the Building Code of Australia or falls within the Standards and Tolerances.
Every defect will be identified with a description, priority, location, cause, recommended tradesperson and suggested rectification.
The most common defects include:
• moisture ingress i.e. roof top leaks or inadequate run offs
incorrectly installed window frames
cracking on internal or external walls
rising damp from pooling around building perimeter
substandard workmanship and materials.
The inspector will determine if it is a design fault, material issue or poor workmanship.
So where does this leave you if you are the owner of a lot that has been completed within the last few years and your builder is no longer trading?
Every situation is different however, assuming that no defect reports have been completed to date, the initial requirement will be engaging a qualified building inspector to inspect the common property and provide a detailed defects report. An asset register should also be obtained as the Strata Manager will now be acting on behalf of the Owners in managing repairs and maintaining assets.
The best advice for all Owners is to have a Defects Report completed while the builder is still solvent so repairs can be addressed at their expense. It is an uncertain economy and it is impossible to know how long a company may remain trading.
BCI WA inspectors have been inspecting strata properties for 26 years in Perth. We offer practical, independent advice and explain defects so Owners can understand the condition of their property and agree on an optimal maintenance strategy.
‘RESEARCH SHOWS THAT ABOUT 52% OF APARTMENT OWNERS IN WA HAVE HAD OR ARE EXPERIENCING DEFECTS. ’SAM REECE, WAAA
QOur Council of Owners have stated that there shall be no noise on weekends and public holidays. This is a bylaws and has never been voted on. Can the Council of Owners do this?
We are a Strata Survey Estate with 19 lots. Our Council of Owners have stated that there shall be no noise on weekends and public holidays and that there shall be limited noise during the weekdays and only during the hours between 9 am to 4 pm.
This rule is not included within the bylaws and has never been voted on or put to a motion for voting purposes.
The management statement provides statutory guidelines for noise within the local shire boundaries in conjunction with state law in WA. The management statement also states that bylaws or rules inconsistent with State and Statutory laws are not enforceable.
Can you advise or explain the legality of the advice that the Council of Owners has stated?
These conditions prevent even normal maintenance or hobby work to be carried out within our own premises. We do carry out work in accordance with the State requirements for noise.
AThe council of owners cannot make rules or guidelines without approval from owners at a general meeting.
The council of owners cannot make rules or guidelines without approval from owners at a general meeting. Also, any rule cannot override state and or local government statutory laws or by-laws. Also, from your comments they are in violation of your strata by-laws and further under the recent reform they could be deemed discriminatory.
Yes, they could recommend introducing new by-laws however they would need to have consideration to local government noise bylaws and the requirement under the act that by-law cannot be discriminatory.
As it stands, they are exceeding their authority under the Strata Titles Act.
Brian Rulyancich | StrataTAC strata@stratatac.com.au
QAn owner of a lot has sent in a voting paper for motions noted on the Notice of the AGM. The AGM is being held face to face, and the owner has indicated his vote on the voting paper and dated and signed the voting paper. Is the Strata Company required to record this owner’s vote without a proxy?
AThe voting paper may not meet the requirements of the Act if the owner does not attend the meeting in person to cast their vote/s.
As per Section 124 of the Strata Titles Act 1985, an instrument appointing a proxy to cast a vote (often referred to as a ‘form of proxy’ or ‘proxy form’) must be in writing and executed (‘signed’) by the appointer (i.e. the proprietor/s of the lot).
The ‘voting paper’ referred to in the query does specifically appoint a proxy so it may not meet the requirements of Section 124 if the owner does not attend the meeting in person to cast their vote/s.
Section 125(1) may also apply whereby a member of a strata company who is an individual and sole owner of a lot who is present at a meeting must cast votes personally rather than by proxy.
Andrew Chambers Chambers Franklyn Strata Management andrew@chambersfranklyn.com.au
READ MORE HERE
large palm tree bang on my roof and gutters, waking me at night and potentially damaging the building. I’ve requested the tree be removed, but nothing has been done. What do I do now?
We live in a small, 6 lot strata. There is a large palm tree located on the common property extremely close to my lot. The fronds bang on my roof and gutters, waking me at night and potentially damaging the building.
A building inspector recommended the palm tree be removed as there is a potential for damage to the structure. The vote was 4 to 2 against removal. I pointed out the potential for future costs for strata if the tree damages my property.
At the meeting over 6 months ago, I asked for an independent tree surgeon’s report be carried out. This was agreed to but nothing has been done. What can I do to get the tree removed?
It would be reasonable to expect that a palm tree situated on common property is kept maintained to a level sufficient enough to prevent damage to your lot.
My response is based on the information provided from which I make the following assumptions:
1. That the palm tree in question is on common property for which no grant of exclusivity has been provided.
2. The boundaries of the parts of lots that are building’s are the external surfaces making the gutters and roof part of the lot.
A strata company has a responsibility to maintain the common property as well as to manage the common property for the benefit of all lot proprietors (section 91 of STA1985). It would be reasonable for you as an owner to expect that a palm tree situated on common property is kept maintained to a level sufficient enough to prevent damage to your lot.
If the palm tree is banging on the building, it is very probable that it has the potential to
cause damage. You mention the vote on removal of the palm. Have you asked the Strata Company to consider pruning the palm away from the building line? It is my recommendation that you do so in writing outlining the reason why you’re requesting this. If the Strata Company refuses, you may wish to seek advice from a Strata Title Lawyer who can advise you on the methods available to you to resolve a Strata Title dispute, such as an application via the State Administrative Tribunal. I always recommend taking all reasonable steps to reach a resolution prior to doing this.
You mentioned the vote on the palms removal which took place on the back of a building inspector’s recommendation. It is hard to provide comment on this without knowing the qualification of the inspector who provided the recommendation, the basis of providing the recommendation and the likely or potential damage that could be caused. For example – if the inspector’s recommendation was based on the supported opinion that the palm was causing damage to the foundations of the building then it would be reasonable to expect the strata company to act. If the inspectors recommendation was that the palm could fall over and land on the building for no other reason than it can happen (a risk that exists with all trees) then it would be reasonable risk for the Strata Company to take.
Additionally, I always believe that in such matters it is always good to have more than one professional opinion.
Luke Downie | Realmark ldownie@realmark.com.au
Our unit has been using the visitor parking bay as it is the bay which is closest to our unit. This arrangement has been going on for decades without complaint as it is also more convenient for visitors who can then park at the front of the complex.
Recently, a resident complained and this triggered the end of the arrangement. The complaining resident has now left the complex. How can we reinstate the arrangement more permanently? Can the COO give written permission for our unit’s bay to swap with the visitor bay or can we enter into some type of lease?
There are various ways this can be achieved.
We assume that the visitor car bay sits in common property. Under Section 91 of the Strata Titles Act 1985 as amended 2018 the Strata Company must manage the common property for the benefit of all owners.
The Standard Bylaws further go on to say that an owner, occupier or other resident of a lot shall not park in the common property without the written consent of the Strata Company.
The visitor car bay obviously has been a designated parking bay for visitors to use, which would mean that the common property is being managed for the benefit of all the owners.
If an owner is using common property for their exclusive use, our recommendation is that either an owner/occupier is being granted exclusive use (creating a special lot) by way of registering an appropriate exclusive use bylaw voted on by the owners with a Resolution without Dissent Section 43 of the Strata Titles Act 1985 as amended) or the owner enters into a Lease agreement with the Strata Company over common property as per Section 93 (2) (c) of the Strata Titles
Act which also requires a Resolution Without Dissent or the Strata Company grants a licence over common property.
We recommend that the owner wanting to use the common property visitor car parking for their own use, either permanently or over a period of time exclusively, is seeking legal advice to ensure that any so prepared lease or licence agreement is done in the correct form and with the correct resolution for the owners to vote on.
Marietta Metzger | magixstrata marietta@magixstrata.com.auQ AHow do we permanently swap our distantly located parking bay with the more conveniently located visitor parking?
2 0 2 2 h a s s e e n i t s f a i r s h a r e o f e c o n o m i c t u r m o i l , w i t h r e c o r d i n f l a t i o n o c c u r r i n g a c r o s s A u s t r a l i a o n a l e v e l u n s e e n s i n c e 1 9 9 0 , r e a c h i n g 6 1 p e r c e n t a s o f Q 2 2 0 2 2 A s t o n i s h i n g l y , i n W e s t e r n A u s t r a l i a t h e r a t e i s e v e n h i g h e r , w i t h P e r t h l e a d i n g a l l c a p i t a l c i t i e s a t 7 4 p e r c e n t
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T h e A c t r e q u i r e s t h e p l a c e m e n t o f s t r a t a i n s u r a n c e i n o r d e r t o c o v e r c o n t i n g e n c i e s f o r d a m a g e t o a b u i l d i n g a n d / o r t h e c o m m o n p r o p e r t y , e x t r e m e w e a t h e r e v e n t s , o r e v e n p e r s o n a l i n j u r y a n d l i a b i l i t y . T h i s p r o t e c t s t h e v a l u e o f s t r a t a s c h e m e s t h a t a r e c u r r e n t l y s i t u a t e d i n t h e s t a t e
H o w c a n I k e e p m y s t r a t a l e v i e s l o w e r i n t o u g h e c o n o m i c t i m e s ?
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I n t h i s c u r r e n t p e r i o d o f h i g h e r c o s t o f l i v i n g p r e s s u r e s , b e i n g t h r i f t y i s i m p o r t a n t f o r a l o t o f u s t o a d a p t a n d c o n t i n u e t o l i v e w e l l ; t h i s d o e s n o t n e c e s s a r i l y e n d a t t h e i n d i v i d u a l h o u s e h o l d , o r i n t h e g r o c e r y l i n e .
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S C A ( W A ) a f f i l i a t e d s t r a t a m a n a g e r s , s u p p l i e r s a n d s e r v i c e p r o v i d e r s m e e t h i g h p r o f e s s i o n a l s t a n d a r d s , r e f l e c t e d i n t h e w o r k t h e y u n d e r t a k e e v e r y d a y , o f f e r i n g u n p a r a l l e l e d q u a l i t y A b o u t S C A ( W A )
S C A ( W A ) i s t h e p e a k a s s o c i a t i o n s u p p o r t i n g t h e S t a t e ’ s s t r a t a s e c t o r I t w o r k s t o r a i s e t h e p r o f i l e o f t h e i n d u s t r y t h r o u g h l a w r e f o r m , p u b l i c e d u c a t i o n a n d t r a i n i n g
y g p p y g g y upcoming SCA (WA) Owners Forum on Insurance is unmissable
This education session explains the insurance legislative requirements for the different types of strata schemes and addresses many of the areas of insurance owners are unsure of
Date: Tuesday, 6th December 2022
Time: 6:00pm 8:00pm Location: Perron Place, Victoria Park
Subscriber Price: $30
Sections of a strata insurance policy and what they cover
Common policy exclusions
General information insurers require to underwrite a risk and calculate the premium Understand why premiums are increasing
Frequently asked questions like who pays the excess?
To better understand your strata insurance and what it requires to be compliant, register now!
Nick has over 20 years of experience in the General Insurance industry starting off in the UK and gaining most of his experience since arriving in Australia in 2001 During that time he has been a financial adviser, a SME underwriter, a financial lines underwriter, a general Insurance broker and for the last 7 years he has specialised in broking strata insurance solutions for Strata Managers and their clients
Inge has a diverse background in Insurance and Finance in Australia and Asia Inge is a Business Development Manager for CHU Underwriting Agencies and has enjoyed a steep learning curve, joining the strata industry over 3 years ago Certified in change management, Inge believes she can add value working with strata professionals in the ever changing strata community
Leonie Milonas, PSC Property Lync Insurance Brokers
With over 28 years of insurance industry experience, Leonie is a qualified insurance professional, working within many sectors of the profession, with the last 14 years specialising in strata insurance underwriting and broking Leonie is no stranger to the strata industry having spent 6 5 years as a member of Strata Community Association (WA) Board and Industry Understanding Committee
Providing detailed, practical, and easy to understand strata information to all Australians.
strata@stratatac.com.au
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Strata Management Services in Western Australia
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