Need your advice

Hi, I am one of 34 units (2 bd) with an offer of being redeveloped. To Brisbane city 7km, 3 minutes walk to train, 8 mins walk to major shopping centre. Land value 5.8M. I don't want to move away from the area. I bought 4 years ago at $300k (renovated and renting @ $400 per week). Market value is lower and body corporate have offered investors and owners $275-$355k only. Offer by developer is over 14M. My contract says I own 2 lots of 67 lots, community-titled. What should I receive? An equivalent unit in the area doesn't have the land, garden, pool I have. Thanks so much. Also, the PM owns 3 lots of the 67 lots and bought the letting rights for 1.2M.

 

The developer gave an amount to the body corporate committee, who sent out a letter telling us the breakdown, the minimum and maximum amounts we would receive. There is no mention of a general meeting for all being held. It looks like it has been decided by the committee. How does the 2 lots of 67 work when a PM and letting rights are involved?

 

The BC committee wrote that they assessed the breakdown to be divided by 34 units and 6 units value for the letting rights. Is this right?

 

I'd engage a lawyer to check everything to make sure its kosher.

 

Can you just call the strata body? They look like they are trying to explain your position but have not done so well.

How much you will get is an important question.

And the body should get a lawyer to look at the contract - share the cost among all of the owners.

 

Yes, that is what I am wondering. There is no mention of the 67 lots in the letter from the committee, but I believe they have engaged a lawyer but I haven't been advised. Do I represent myself with a lawyer or is it plain and simple division according to the lots we've been allocated as in the contract...

 

The extra lot would be for a car-space

 

I did contact the strata management we employ but they hadn't read the two page letter that had been sent out by the committ

 

I did email one member on the committee and sent an email to the strata manager asking if there was going to be a general meeting and have had no response to that question. The committee said the max is 355k and that they assessed the breakdown of 34 units and 6 to PM so I think I will have to pay for my own lawyer to find out how the lots figure into this. I don't know where to start with finding a lawyer, for my little unit. I really appreciate your comments and will follow up with a property lawyer. I thought the lots breakdown would be set in stone, end of story.

 

Can you call the committee? Somebody must have put energy into this.

It seems like you are stuck in a horrible spot.

 

Interesting case. Got time for coffee?

I suspect your "67 lots" means lot entitlement. Maybe not all 34 Owners have he same share. It's not too big a difference so no big worry there imho.

Agree with what everyone says: get a good lawyer! Must be someone who knows this stuff. I can suggest if you like. But most importantly, I don't think you or the BC should pay. These fees should be paid by the "Offeror". After all, they are the one proposing and they should present some solid thing to you. Talk to your BCM, have a look at previous minutes and correspondence, talk to the Committee, Owners, neighbours......

This is intriguing and I can't comprehend. Why BC is offering? How was this "offer" done? Who gets the "surplus"?

 

The BC C'tee wrote that all need to agree for the sale to go through. I am waiting for the next letter to tell us the result of the poll. The last letter arrived and gave me 3 nights to decide if we would sell if offered x amount by the developer. Bit of a shock but it is sinking in now.

 

Thanks, I feel I should get independent advice, the committee only consists of 4 members I think.

 

Yes, I don't know who gets the surplus, too scared to ask. If you have a few recommendations for prop. lawyers that would be good. You're a PM yourself?

 

I think 3 lot entitlements are for the property manager. Most of us have a car space.