Strata Community Australia is pushing the Queensland Government to look into ways to reform Strata law so that developers won’t need 100% of property owners to agree to a redevelopment.
Current Strata laws in Queensland are such that all owners of strata property, must agree to sell their land to developers. This requires a resolution without dissent and means that property owners may be trapped residing in their run down and ageing apartments because one owner is not agreeable to selling.
As a result of this higher prices might be offered to that particular property owner as incentive, which can result in unfairness to other property owners who have already reached an agreement.
This entire proces can be lengthy process that divides a building because one owner is holding out in the hope of selling their property at a higher price.
A reform in Queensland would set to change the law that requires a resolution without dissent. Instead Strata Community Australia is conducting research into international legislation that works effectively.
For example, in Singapore, if a building is less than 10 years old 90% of owners must agree to sell, but if a building is more than 10 years old, only 80% of owners need to agree to the redevelopment.
Especially in Queensland, and specifically the Gold Coast where blocks that were built in the 1970’s are built on prime redevelopment land, a reform in legislation would be music to the developer’s ears and money in the pockets of owners.
If you have any enquiries or require assistance in a Body Corporate/Strata Property Law matter, please contact our office on (07) 5630 6888.