This article is about the process and requirements for obtaining exclusive use allocations in community title schemes and how to address potential opposition.
Even friends need private spaces, if only within the depths of their own souls, where no one else is allowed to intrude – Mary Balogh
Community Titles Schemes consist of lots and common property.
Exclusive use of part of the common property can attach to a lot.
The most common types of exclusive use allocations are for car parks, balconies and courtyards, but there are others.
Obtaining an exclusive use allocation
To obtain an exclusive use allocation, a resolution without dissent and the consent of the owner of the lot to which it attaches is required.
A resolution without dissent requires no ‘no’ votes. Not everyone has to vote in favour, but no one can vote against it.
Where a motion for an exclusive use allocation fails, an Adjudicator of the Commissioner’s Office has the power to deem it resolved. However, an Adjudicator, will only do so if they are satisfied that the opposition (the ‘no’ vote) was unreasonable.
Compensation
A common reason for a ‘no’ vote is where no compensation for the exclusive use is offered.
The High Court said:
A person with a property interest may reasonably insist on conserving that interest even if it is not presently being employed to that person’s material advantage. That is so, if for no other reason than that he or she may reasonably expect to be offered something in return for agreement to part with it to another lot owner.
This means voting ‘no’ because compensation is not offered is not unreasonable and an Adjudicator won’t deem the motion resolved.
Getting it across the line
There are other reasons why voting ‘no’ won’t be unreasonable.
As such, if you want to get an exclusive use allocation it is important to understand and address the reasons why people may vote ‘no’ to have the best chance of success.
We can help with that.
To learn more about exclusive use allocation, or to discuss your body corporate issues, contact our friendly team.
Bronwyn Rule Redchip Strata Law E: BronwynR@redchip.com.au P: (07) 3193 0500
This post appears in Strata News #767.
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Read next:
- QLD: Q&A Bylaws, General Rules & The Act
- QLD: Q&A Oppressive or Unreasonable Strata Bylaws
- QLD: Mandatory self-resolution in community titles schemes
This article has been republished with permission from the author and first appeared on the Redchip Strata Law website.
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