New strata laws came into force on 30 November 2016 in New South Wales that are set to make it easier for apartment owners to update or redevelop their ageing unit blocks, or to collectively sell their block to property developers.
As an accountant or financial planner, these new laws will make it significantly easier for your clients with property investments to "cash in" and make a profit by selling to a developer, or to work with other owners to improve their building and benefit financially from its increased value.
Prior to the reforms, a strata scheme could only be terminated if the owners universally agreed to that decision. Obviously this was usually a very difficult process and left investors with little option other than to rent an apartment out, or to sell the property individually. However, now, a vote of only 75% of strata committee members will allow the collective owners to either sell the property as a whole or redevelop it themselves.
The next Coleman Greig briefing, presented by experienced Property lawyers Monique McDermott and Ricky Raad, will focus on the new Strata laws and what they mean to your clients. Topics covered will include:
- How does an investor initiate a collective sale or redevelopment of a strata property?
- What is a strata renewal proposal?
- How does a strata renewal proposal or strata termination come into effect?
- Land & Environment Court considerations
- What if your client does not wish to sell or redevelop and they are in the minority 25%?
Make sure you are familiar with the changes to Strata law so that you know the issues and opportunities available to your clients!
Places are limited so book early to avoid disappointment.