WA Perth Strata Laws, Common area, advice

Discussion in 'Property Management' started by Shogun, 30th Aug, 2018.

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  1. Shogun

    Shogun Well-Known Member

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    With regards to 6 individual villas on a block.
    Common driveway.
    They have common building insurance.
    No Strata fees or sinking fund.
    There is no Strata body or requirement for meetings.
    Do properties need to be formally valued every set period of time for insurance purposes?
    What is the requirement to look after common property? The sides of driveways are over grown with weeds. The verge (council) is over grown with weeds. The front property has a yard which is overgrown with weeds. The whole property looks shabby.
    Sections of brick paving needs repairs.
    What would the process be to get the common areas tidied up?
    Are there lawyers? to write a letter to the owners? ie a suggestion for a company who could do it.
     
  2. Perthguy

    Perthguy Well-Known Member

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    That doesn't sound right. Have you checked the Strata Titles Act or Regulations.

    From memory if there are more than 4? units then there needs to be a Strata body.
     
  3. Aaron Sice

    Aaron Sice Well-Known Member

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    ....4 or more.....

    If the Strata Management agreement allows, typically any group of members can get together and dissolve a strata body by simple majority - BUT - a simple majority of members MUST BE PRESENT OR PROXY to vote with due notice given to all members likely to be an eligible party to the vote.
     
  4. Stoffo

    Stoffo Well-Known Member

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    Wow, amazing to think that when neighbors can't agree to get a fence replaced that 6 of you can get along so well ;)
    Oh wait, nothing is being done because there is no strata o_O
    Of course no one will do anything because its someone else's job :rolleyes:
    Can't see how there is an insurance policy if there is no body corporate :confused:
    What happens if unit 3 doesn't pay their share, does the policy become void ?
     
  5. Skinman

    Skinman Well-Known Member

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    I’ve got a similar situation on a triplex block and it’s hard work. Luckily the other 2 are owner occupied so they aren’t too hard to convince to chip in for a tidy up every so often. Interested to hear opinions on here as our common drive is in need of a refurb and no one seems too keen to address it.
    With regard to insurance one of the oo’s organises and pays each year then we pay our share.
     
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  6. Leslie

    Leslie Well-Known Member

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    I bought a property 4 years ago that is part of the strata title with 5 properties in total. There is no strata body, no meetings etc. Luckily, my house has its own driveway while the other 4 houses are in the shared driveway. I am trying to find the owners as all of them are rented atm. Browsing through purchase documents, I found out that the developers were part of the strata body and 10 years ago they met and decided that there will be no meetings, no sinking fund, sent that meeting minutes to govt. authorities and then they sold and vanished to Singapore.
     
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  7. Big Daddy

    Big Daddy Well-Known Member

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    Where can i find this information? I remember vaguely something about the developer is exempt if they still own 50+% of the development.

    Does this information state that strata is only mandatory for 6+ dwellings?
    https://www0.landgate.wa.gov.au/doc.../$file/1129-Guide-to-Strata-Titles-online.pdf

    Small scheme exemptions
    See sections 36A and 36B of the Act
    The 1995 amendments to the Act allowed small schemes to be exempt from some of the management requirements under the Act. The strata company for the scheme remains in existence, despite the exemptions for small schemes.
    17.1 Two (2) lot schemes
    See section 36A of the Act
    Two (2) lot schemes are automatically exempt from the following requirements:
    • to hold annual general meetings, after the first one (1) has been called by the original proprietor;
    • to keep minutes of meetings and books of account;
    • to prepare annual accounts;
    • to have a separate mail box for the strata company;
    • to keep a roll of lot owners, but each lot owner must notify the other owner of his or her address for the service of notices; and
    • to establish an administrative fund, for example, a strata levy fund.
    Owners of two (2) lot schemes may decide to comply with any of these requirements. However, if they decide to establish an administrative fund they must first pass a by-law to that effect.

    17.2 Three to five (3-5) lot schemes
    See section 36B of the Act
    The same exemptions that apply to two (2) lot schemes may apply to schemes having three to five (3-5) lots if the strata company passes a by-law to that effect. The by-law must be made by a resolution without dissent. By-laws made to adopt the exemptions can be set aside by a new by-law passed by resolution without dissent.


    2. Except in the case of a two-lot scheme, where a unanimous resolution is required, a resolution without dissent is passed, if:
    o The owners (or their proprietors) of not less than 50% of the lots in the scheme, who between them represent not less than 50% of the unit entitlements in the scheme, vote in favour of the resolution and:
    o No person votes against it at the meeting when it is voted on or within in 28 days later. (see sections 3AC, 3C and 3CA STA)
    • If the proposed unanimous resolution or resolution without dissent is passed with amendment at a meeting, notice of that amendment must be given to each owner who was not present personally or by proxy at the meeting. If that notice is not given within 7 days after the meeting, the resolution will be of no effect (see sections 3C(2) and 3C(3)
    STA).
    • An owner who owes any contribution or other money to the strata company is not entitled to vote on an ordinary resolution or a special resolution (see section 3D and Schedule 1 by-law 14(6) STA).

    In most cases the Act requires a unanimous resolution to any two (2) lot scheme resolution.
    3. A special resolution is passed if those lot owners, or other persons entitled to vote, who vote:
    • in favour of the resolution have no less than 50% of the lots in the scheme OR have no less than 50% of the unit entitlement in the scheme; and
    • against the resolution do not have 25% or more of the unit entitlement in the scheme OR 25% or more of the lots in the scheme (see section 3B STA)
    In schemes having three to five (3-5) lots, a special resolution will be passed:
    • In a 3 lot scheme, if there are 2 lots in favour and those lots have between them not less than 50% of the aggregate unit entitlements;
    • In a 4 lot scheme, if there are 3 lots in favour and those lots have between them not less than 50% of the aggregate unit entitlements of all lots; and
    • In a 5 lot scheme, if there are 4 lots in favour and those lots have between them not less than 50% of the aggregate unit entitlements of all lots (see section 3B(3) STA).
     
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  8. Shogun

    Shogun Well-Known Member

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    Thanks Big Daddy. That is a start for solving my issue
     

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