Essentials for Unit Owners

Living in units has many benefits. These are best realised when all unit owners in your Corporation are well informed and cooperate. The following notes may assist you to better understand the benefits and responsibilities of buying, owning and living in a unit.

The Law

There are two documents which determine (by South Australian law) how your units are managed. The first is the Strata Titles Act 1988, which applies to all groups. The second is your Strata Corporation Articles, which apply to your group specifically and describe the conditions under which a unit is owned and occupied. Many groups follow the standard Articles, but others have made additions and alterations over time. Check with the Lands Titles Office for any amendments.

Reforms to the Strata & Community Titles Acts in October 2013 oblige body corporate managers to undertake additional obligations.

The Strata Corporation

Here are some of the Corporation's more important duties:

• To control, manage, administer and hold in trust the Common Property, and do all things reasonably necessary for the enforcement of its Articles
• To insure all buildings and improvements for their full replacement value, along with cover for public liability
• To keep in a state of good and serviceable repair and properly maintain the Common Property
• To hold an Annual General Meeting (within 15 months of the last AGM)

Some groups engage a professional Body Corporate Manager to assist with these matters.

The Strata Plan

The units, common property and all boundaries are defined in the Strata Plan, which is deposited in the Land Titles Office and identified by a number. The Plan shows:

• The building boundaries
• Each unit and its subsidiaries
• Unit entitlements

Your Corporation Officers or Manager can show you a Plan, or you can obtain one from the Lands Titles Office (101 Grenfell St, ph 8226 3983). The Certificate of Title to your unit will not show a plan as most other titles do — instead it refers to the Strata Plan, which defines the boundaries of your unit.

Unit Boundaries

Your unit has definite boundaries. These can vary but are generally defined under Section 5 of the Strata Titles Act as follows:

• Where a boundary is defined by reference to a wall or fence — the boundary is the inner surface of the wall or fence
• Where a boundary is defined by reference to a floor — the boundary is the upper surface of the floor
• Where a boundary is defined by reference to a ceiling or roof — the boundary is the undersurface of the ceiling or roof

Common Property

Each group of strata titled units has a Common Property title, issued in the name of the Strata Corporation. The Corporation holds the Common Property in trust and, through meetings of its members, administers necessary business. Each unit owner has an interest in the Common Property in proportion to their unit entitlement. Your interest in the common property cannot be dealt with separately.

Unit Entitlement

Each unit has assigned to it a "Unit Entitlement", shown on the last sheet of the Strata Plan. It is based upon the capital value of each unit as a proportion of the capital value of all units. This figure is used to calculate each owner's contribution to the Maintenance Fund, unless owners unanimously agree otherwise.

Unit Subsidiaries

Unit subsidiaries consist of carports, garages or parking areas, porches, balconies, gardens or yards, as shown on the Strata Plan. While they may not be physically attached to your unit, they are nonetheless deemed to be part of it. Where any of these have no obvious height limits, the ownership is limited to a height above ground designated on the Strata Plan.

Unit subsidiaries can only be used for the purpose for which they were created — for example, a carport cannot be converted for any other purpose without appropriate planning and Strata Corporation approval. The character of the unit and its subsidiaries must not be altered without approval.

Meetings

The Corporation must call a general meeting of all owners once a year. Officers of the Corporation (Presiding Officer, Secretary, Treasurer) are elected at this meeting. A Management Committee of officers and owners may also be elected — the committee can be very useful for decisions between AGMs. Minutes must be kept and maintained. Any officers must own a unit in the group (exceptions apply to commercial groups).

Voting

Each unit has one vote regardless of how many people own the unit. A vote may be by proxy. Unfinancial members — that is, owners behind in their payments — cannot vote except on matters requiring a Unanimous Resolution. In non-residential groups (commercial & industrial strata), voting arrangements may vary in accordance with unit entitlement, and tenants may be elected as officers and committee members. See sections 23(1a) and 34(2) of the Strata Titles Act for details.

The Maintenance Fund

The Maintenance Fund covers the costs of managing and maintaining the Common Property. Typically the fund provides for:

• Lawn cutting and grounds maintenance
• Drain and gutter cleaning
• Insurance premiums
• Management fees
• Exterior painting (Sinking Fund)

Animals

You can only keep animals (except guide and disability dogs) with the majority approval of the Corporation, or unless the Articles say otherwise.

Alterations & Additions

The Strata Titles Act (Section 29) requires that unit holders seek permission (a Special Resolution) from the Strata Corporation before starting any building or structural work, or generally altering the external appearance of a unit. Examples include: pergolas, air conditioners, sheds, awnings, and satellite dishes. Check with your manager or strata secretary before proceeding.

Who Owns What — Plumbing

Sewers

Services that do not serve a single unit or lot are the Corporation's common property — including sewerage disposal. Once a pipe branch serves only one unit, it becomes that owner's responsibility to maintain.

Water

The Corporation is responsible for water pipes until they only serve a single unit. Once a water pipe serves only your unit, it is your responsibility to maintain.

The Articles

Unless stated otherwise, your Strata group will have the following default set of Articles. The Corporation, owners and occupiers are all bound by the Articles — they are, generally speaking, the conditions under which a unit is owned and occupied. Enquire with your manager or the Lands Titles Office to confirm the current Articles in force at your group.

1. A unit holder must:

• Maintain the unit in good repair
• Carry out any work ordered by a council or other public authority in respect of the unit
• Keep the unit in a clean and tidy condition

2. A person bound by these Articles must not:

• Obstruct the lawful use of the common property by any person
• Use the common property in a manner that unreasonably interferes with the use and enjoyment of the common property by other members of the strata community, their customers, clients or visitors
• Make, or allow customers, clients or visitors to make, undue noise in or about any unit or the common property
• Interfere, or allow customers, clients or visitors to interfere, with others in the enjoyment of their rights in relation to units or common property

3. A person bound by these Articles must not use the unit, or permit the unit to be used, for any unlawful purpose.

4. Subject to the Strata Titles Act 1988, a person bound by these Articles must not, without the Strata Corporation's consent, keep any animal in, or in the vicinity of, a unit.

5. A person bound by these Articles must not:

• Park a motor vehicle in a parking space allocated for others, or on a part of the common property on which parking is not authorised by the Strata Corporation
• Fail to take reasonable steps to ensure that customers, clients or visitors do not park in spaces allocated for others or on unauthorised parts of the common property

6. A person bound by these Articles must not, without the consent of the Strata Corporation:

• Damage or interfere with any lawn, garden, tree, shrub, plant or flower on the common property
• Use any portion of the common property for their own purposes as a garden

7. A person bound by these Articles must not:

• Bring objects or materials onto the site that are likely to cause justified offence to other members of the strata community
• Allow refuse to accumulate so as to cause justified offence to others

8. A person bound by these Articles must not, without the consent of the Strata Corporation, display any sign, advertisement, placard, banner or similar conspicuous material on any part of their unit visible from outside the building, or on any part of the common property.

9. The occupier of a unit may, without the consent of the Strata Corporation, paint, cover, or otherwise decorate the inside of any building forming part of the unit and may — provided unreasonable damage is not caused to any common property — fix locks, catches, hooks, screens and other similar items to that building.

10. The occupier of a unit used for residential purposes must not, without the consent of the Strata Corporation, use or store on the unit or on the common property any explosive or other dangerous substance.

11. A person bound by these Articles must:

• Maintain within the unit, or on a part of the common property set apart for the purpose, a receptacle for garbage that is adequately covered
• Comply with all council by-laws relating to the disposal of garbage

12. A unit holder must immediately notify the Strata Corporation of:

• Any change in the ownership of the unit
• Any change in the address of an owner
• Any change in the occupancy of the unit

Get in touch

For a confidential conversation, advice on how to change strata management, or if you have any queries about general maintenance on your property, please get in touch with Acacia Collective.