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  • Writer's pictureJenkins Legal & Advisory

Major changes to strata laws - The new Strata Schemes Management Regulation 2016 is published

Most people would not know that strata title is actually an Australian innovation that has been copied around the world! In short, strata title allows individual ownership of a part of a property and shared ownership of the common parts of the property. The whole property is then governed by a central owners corporation.

Strata is the fastest growing form of property ownership in Australia and is expected to grow even more over the coming decades. There are now more than 270,000 schemes involving more than two million individual lots across Australia.

Obviously such a widespread and growing scheme needs to be updated regularly in terms of governance. New strata laws will commence on 30 November 2016.

The key changes listed on the NSW Government Fair trading website are:

  • strengthening the accountability of strata managers

  • allowing owners to adopt modern technology to conduct meetings, vote, communicate and administer their scheme

  • the need for owners to review by-laws (strata community rules) within 12 months, which can be customised to suit their lifestyle - such as whether to allow owners to keep a pet by giving notice to the owners corporation

  • a process for the collective sale and renewal of a strata scheme

  • a simpler, clearer process for dealing with disputes

  • broadening tenant participation in meetings

  • a new option to manage unauthorised parking through a commercial arrangement between a local council and a strata scheme

  • a clearer and simpler three-tier renovations process, which waives approval for cosmetic renovations within the strata lot (for example, installing handrails for safety).

For a full explanation of the changes please click here

If you are involved in a strata scheme or are thinking of buying a strata title property please contact our experienced property lawyers on (02) 4929 2000 or if you require further advice.


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