NSW: Q&A Are neighbourhood association members also community association members?

This article is about neighbourhood association members and community association members.

Question: The neighbourhood association is a subsidiary of the community association. Are members of the neighbourhood association also members of the community association?

Answer: The neighbourhood association as a whole is a member of a community association.

The neighbourhood association as a whole (rather than individual lot owners within the neighbourhood association) is a member of a community association as per the section in the Community Land Management Act 2021 (NSW) extracted below:

8 Establishment of community scheme

1. A community scheme is established by the registration of a plan for the subdivision of land—
   
   1. that is not part of a community parcel, precinct parcel, neighbourhood parcel or strata parcel, and
   
   
   2. into 2 or more community development lots and 1 other lot that is community property, whether or not the plan includes land that, on registration of the plan, will be dedicated as a public road, public reserve or drainage reserve.


2. The registration of a community plan constitutes a corporation with the corporate name “Community Association DP No XXXX”, where the number to be inserted is the number of the plan registered as the community plan.


3. The members of the corporation are as follows—
   
   1. the owner of each community development lot in the community parcel that has not become subject to a subsidiary scheme,
   
   
   2. the precinct association constituted if a community development lot in the community parcel becomes subject to a precinct scheme,
   
   
   3. the neighbourhood association constituted if a community development lot in the community parcel becomes subject to a neighbourhood scheme,
   
   
   4. the strata corporation constituted if a community development lot in the community parcel becomes subject to a strata scheme.

Leanne Habib Premium Strata E: info@premiumstrata.com.au P: 02 9281 6440

This post appears in the March 2025 edition of The NSW Strata Magazine.

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