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Living in a strata community usually has to deal with limitation of parking spaces. Before you move into a strata community development, it's important that you understand parking spaces and the strata parking rules. This all depends on your personal preference and your personal circumstances. This also depends on how often you receive visitors.
Parking spaces would relate to your constant use of particular common parking spaces. This also could relate to your visitors' use of the parking spaces. And there are strata parking rules that usually govern these spaces. But the general one says that parking should not obstruct others' enjoyment of common property, meaning the parking spaces have to be used.
And this also means that if there's limitations in time when it comes to using visitor parking spaces, they should also be observed. What's important is you as a resident or you as a landlord, you both need to be aware about the strata parking rules. And also determine whether these types of parking spaces limitations fit your personal situation.
There are rights within Australia in respect of strata communities enforcing parking rules, but if in doubt if a parking rule is invalid, whether a parking rule is valid or invalid, it's important that you seek expert advice in that regard. Keep in mind when it comes to parking spaces to avoid conflict, understand the limitations and parking spaces and also understand the parking rules.
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When it comes to water damages, the key thing that needs to be determined is where is the water coming from? It sounds like a simple question, but it becomes complex when you involve experts and they will explain to you that there are different ways to test where the water is coming from.
And it's not a simple test either. And it could be coming from multiple properties. It could be coming partly from common property or private property. There are also different ways that water leak is tested. They are the dye and water thermal tests. Also, there are methods of observing where the mold is coming from. These are just some of the many types of tests that could be carried out and the first thing they do is ask the question.
These tax reports are not straightforward, but that's actually the purpose of a report. Once that's been identified, if it's identified if it's from private property, the owner's rights is to make a claim against the owner of that private property. If the leak is coming from and or common property, an owner may have a claim against the owner's corporation, but it would not be sufficient where it is you, the layperson, would be identifying where the leak is coming from.
Even if you were an expert, it is in the best interest that you get a report that is independent from an expert who can identify and confirm in writing through a report where the leak or leaks are coming from. Next is what are the resultant damage that the water leak caused. It needs to be identified through a report what has been damaged within your property because of this water leak.
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When it comes to pet ownership and living in Strata community, it's very different from living in a standalone dwelling. I say that because it's important for the pet owner to understand that there are certain things they should be considering when it comes to living in a Strata community. One of the main things to, consider in a living in a Strata community is that when they're using the common property, most especially, it is the owner's responsibility, the pet owner's responsibility to make sure that any loss or damage caused by their pets on the common property, which includes nuisance caused by their pets to other residents, it is their responsibility. There are certain body corporates or owners corporations or the Strata communities within Australia that are given the right by their respective state laws when it comes to creating rules that govern the behavior of owners and their pets. So what's important is where the owner has decided or the owner of the pet has decided to live in a Strata community, they should understand the rules that have been created by that particular Strata community when it comes to pets. Clean up after your pet when they're using the common property. Be conscious and be respective of other spaces so as to not receive allegations that your pet is causing nuisance. We love our pets, and it's important that we also protect them. And by protecting them, that is understanding the rules that the Strata community has when it comes to pet ownership.
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There are 5 key steps that I wanna take you through to compel the builder to fix the defects and particularly to a common property. The first one is get the tool, the defects report. The defects report could be obtained from a building consultant. Guide the building consultant on what is already known to the Strata community and the defects and instruct them to prepare the defects report. The second tool that the Strata community should obtain is instruct a quantity surveyor to prepare the list and methods of how to fix defects and how much it would cost.
These two reports are key items that needs to be collected prior to demanding the builder to rectify the defects. The third one is get all the details of the builder so that the Strata community has taken all the necessary actions to make a demand and reach the builder. The 4th item is send that demand. The demand letter requires the builder to rectify the defects, give a due date of when the works will commence, and also attach all the defects reports and quantity surveyor reports that are obtained to support the allegation against the builder. And of course, the 5th step is if the builder does not act on it, follow through.
Follow through with the demand and issue, the necessary legal proceedings. Of course, this depends on the steps prior if there are steps prior to issuing legal proceedings against a builder, it's state by state depending on the state legislation, follow that through.
These methods are the key things compel the builder to rectify the defects.
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Get ready to elevate your knowledge with StrataLife Podcast, the place where you should go to learn and get inspired on all matters strata. Welcome back to StrataLife Podcast by Rochelle Castro. Today's episode, I'd like to talk to you about how a strata community could manage residents' misbehavior. There are four key steps in dealing with residence misbehavior. Some of these misbehavior would include but not limited to, of course. Things being thrown around from the balcony that would put in danger others whilst using the common property. Too much noise from another apartment or unit. Mess being left on common property that could cause damage to common property. Blocking or obstructing the use of common property. Sometimes even spell emanating from someone's unit where it's not well kept. But there's a way, there are four steps that I'd like you to take note of in this episode. four steps that the strata community could do in respect of dealing with residents' misbehavior. Step one is review and determine the relevant rule or bylaw of the strata community in respect of a misbehavior. If one does not exist, the strata community should consider creating that special rule or bylaw. Once identified which rule or bylaw, second step is create, if one does not yet exist, a policy which is a step-by-step procedure on dealing with complaints about misbehavior of residents. The policy should be reviewed from time to time and should be determined on the different steps, step-by-step procedure that both the strata community and the manager who is actually taking action on behalf of the strata community when it comes to dealing with complaints about residents' misbehavior. Third step is within that policy, determine what steps to take. Is this issue relating to the resident misbehavior? Is it a phone call first that should be done? Or is it a courtesy letter? Or is it appropriate to issue a letter of demand? Or is it appropriate to issue a breach of noise? Depending on the gravity, the seriousness, and the repetition, if it's a recalcitrant offender who's been doing it. from time to time and it's causing significant impact on other residents. It's important to determine what steps to take. And sometimes it's better to pick up a phone call. Maybe it's not appropriate. Maybe it's appropriate to issue a breach notice. But definitely the third step is determine what steps to take in respect of alerting the offender about the complaint that's been addressed about the alleged misbehavior. And finally, number four, determine when to go legal or what to issue legal proceedings. It's appropriate for the strata community to determine when to get legal advice, expert advice, and gather all the evidences if it's the strata community who would take action in respect of enforcing the rules. So there are ways to deal with the misbehavior of residents. It's absolutely, absolutely important that both the strata manager and the strata community understand the steps that it ought to take in the event that complaints are raised about residents' misbehavior. If you like and enjoy and are being educated with these podcasts, please like, share this content and the podcast with your friends, your family and the Strata community and colleagues so that they could also enjoy and appreciate living in a Strata community. Until next time, my name is Rochelle Castro. See you here in StrataLive Podcast.
Thanks for watching!
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Get ready to elevate your knowledge with Strata Life podcast, the place where you should go to learn and get inspired on all matters strata. Welcome to Strata Life by Rochelle Castro. And today I will be talking about what is the purpose of the Strata community's budget. The, there are three components to a Strata community budget, which is raised at the annual general meeting.
And it's important that you as lot owners attend the annual general meeting so that we could have a say on the budget that's going to be passed in the next 12 months or within the financial year period. So the three components of a strata community budget are the following you've got the administration budget.
You've got the maintenance or sometimes they call sinking fund. Others call it capital works fund budget, and you've got the special levy. So the administration budget is for the daily operations of the strata community. A big chunk of that is the strata insurance, where the premium that would provide for replacement or reinstatement of the building and also the public liability.
The other parts of the administration budget would include the strata manager's fees. It would also include any charges that would have to be paid for the government expenses for repair and maintenance that is, uh, It comes based on circumstances. So once off works, for example, it would also include components such as disbursements or expenses that would be part and parcel of the administration budget.
So that's one part of the strata community budget. The second one is it's got three different terms, depending on which state you are in. Other states call it maintenance fund. Others call it Sinking Fund, the others call it Capital Works Fund. So usually these are for long term maintenance plans. An example of it would be lift replacement works where it's a, uh, requires a large budget and it would take years for the strata community to save money up and to spend for that particular plan.
So really the maintenance a sinking or capital works fund is acting like a bank account or savings account, whether it's part of that bank account. When I mean that, don't misunderstand me. It, it means that it is put as a separate funding that would be spent based on what is planned for long term repair and maintenance.
The third one is a once off levy, which is a special levy, and these are for special projects. It doesn't necessarily have to be relating to repair and maintenance. It could also be for experts expenses. So when there are incidences such as unfortunate building defects or where there is an ex, a special project such as upgrading the common property and, uh, it needs to be raised as, as soon as possible as a once off levy, that would be called a special levy.
Remember what I said, it's important that you attend the annual general meeting to determine and have a voice. In the budget that's raised for the financial year and also the special general meetings that are held. This is the time when those types of meetings are when the special levies are also usually determined.
If you enjoy these sessions, please like, share with family members and friends so that they could also learn and enjoy living in a Strata community. My name is Rochelle Castro here in Strata Life Podcast. See you next time.
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Get ready to elevate your knowledge with Strata Life Podcast, a place where you should go to learn and get inspired on all matters Strata. Welcome back to Strata Life Podcast by Rochelle Castro. In this episode, I would like to discuss with you what to do if your apartment or unit is found to have building defects. There are three key steps that you could do to prepare in compelling the person who is liable to fix the defects. Number one is get an expert report. The expert report could be prepared by a building consultant. It's important that you give instructions to the building consultant to include in the expert report their findings on who is liable or what is causing the defects on the property and the damages to the property. The second step is to get an expert if it's the building consultant or quantity surveyor who could identify the quantum or how much it will cost to fix the defects and also identify in that second report what are the steps to fix the defects. These two key expert reports are the tools, the key tools that will allow you to pursue the person at fault in respect of the defects and the damages that resulted from those defects. And finally, number three, once you have those two tools, you can actually make a demand through yourself or if you prefer a construction and Strata lawyer to pursue and compel the person who is at fault to fix the defects and also the damages that has been caused to your property. Three key steps, crucial in with the two tools before you attack. It's really how I look at it because you need to be able to prove that the person you are making allegations is actually at fault and that experts have said that they are at fault. So those are the steps on what you should do if you find your apartment or unit defective. If you like the contents of the Strata Life podcast, please like, share with your friends so that you could spread the education so that you can better enjoy living in your Strata community. My name is Rochelle Castro. See you next time here in Strata Life.
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Welcome back to Strata Life Podcast by Rochelle Castro. Today's session, I will be discussing your options in respect of How you would deal with decisions made by the committee where you do not agree with such, such decisions. In a strata community, the committee is empowered to make decisions on the daily operations of the strata community, and that requires an ordinary resolution.
What the committee is not empowered to do is make decisions that require a special or unanimous resolution. These types of resolutions are special and unanimous. would require that all the owners put in their votes. That said, going back to the power that's been given to the committee, if it requires an ordinary resolution, the committee can absolutely make that decision.
From time to time, there are owners or members of the Strata community who do not agree with such decisions, and what are your options? In respect of that type of situation, you could issue a complaint and address that to the Strata community. But the complaints must, in my view, have three elements.
Number one, what is your reason for disagreeing with the decision of the Strata community? What is your legal basis, if there is a legal basis? For the disagreement in the decision of the Strata community, and are there evidences that you could attach to your complaint? It's absolutely important that the three elements, your reasons, the basis, and supporting documents or evidence in respect of your complaint, are all part and parcel of that complaint that you would address the strata community to the committee itself so that they could take your complaint seriously.
In my view, without those three elements, it is highly likely that the committee would not address and or Take seriously your matter. So it takes preparation and the three elements to make sure that your complaint would get to the attention of the Strata community. So that's the topic for today in this episode, in respect of what are your options?
So, um, I'm going to be talking about how to make decisions in respect of a disagreement with a committee decision. Please share, like, and inform your friends about Strata Life podcast by Rochelle Castro so that they would know more and so that they can better enjoy and take care of living in a Strata community.
Until next time, my name is Rochelle Castro. See you here in strata life podcast.
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Get ready to elevate your knowledge with Strata Life Podcast, the place where you should go to learn and get inspired on all matters strata. Welcome back to Strata Life Podcast by Rochelle Castro. Today, this particular podcast is directed to professional strata managers. In the last podcast, I covered ways to better communicate the committee with the professional strata managers. I think it's just appropriate to cover the best ways that the strata managers can work with their committee. So let's get down to it. First tip is that the strata manager should agree and recommend where necessary the different channels on communicating that will be used to communicate particular subject matters. You as strata managers best know what are the best tools. One is email, other one is chat room. If you have an app, use an app. And if necessary, sometimes you just have to pick up that phone. So agree on the type of subject matter. That way you are not heavily reliant only on your inbox. And so that you can then clean up also the clutter in your inbox. So again, agree on the different tools and the subject matter when it comes to communicating with your committee. Second is on receipt of instructions from your committee, relay back those instructions so as to make sure you have understood what they are and this is also an opportunity for you as strata managers to consider if it's additional work or it will take a lot of work don't expect that the committee would know they don't know the details of what you do so it's up to you to tell them whether it's additional work and then if where there is an opportunity inform them whether or not you will charge extra for that and that will allow a conversation, a frank and direct conversation about whether the committee would like you to proceed with that, whether you are willing to do that at a certain cost or no cost and it's just a clear direct conversation about these additional work that the committee would like you to do. Whether either way it's important that you are able to relay back instructions to make sure that you are getting the accurate instructions and also having a conversation about the extent of work that is required to do that matter, to do that task. And finally, maintain an action list for yourself and or for the committee. It's important to maintain an action list so that you tick off what has been completed, monitor what is ongoing, what has been completed, monitor what is ongoing, and also give a tracking list of the progress of all the matters. And it's important to provide regular updates, especially for those matters that are quite long, provide regular updates to the committee whether or not there is movements. whether or not there is And if you're working with contractors, ask them for regular updates as well, And if you're working with contractors, ask them for regular updates as well, whether or not it's asked by the committee. After all, that is one of the tricks and special tricks when it comes to customer service. Any customer, which includes the committee, would like updates even if it's not asked for. which includes the committee, would like updates even if it's not asked for. Which includes the committee, would like updates even if it's not asked which includes the committee, would like updates even if it's not asked for. There you go. Those are the three tips to better communicate and work with your committees as strata managers. I'll see you next time here.
My name is Rochelle Castro here in Strata Life Podcast.
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First method is agree on the method of communication. There are different platforms. It's not always email. There could be a chat room that could be agreed upon. In addition to the email, there's a chat room. There's also calls. There are just some things that you need to pick up the phone and speak with them, that it's not necessary that you use the email as a chat room. So my point is, agree on the method of communication depending on the subject matter, rather than continuously copying in the strata manager in all communications between all you committee members and expect them to read, they will not read, they will miss. And what you do not want is a miscommunication because it's just not humanly possible. If you create the inbox as a chat room and expect at the manager, because in reality they are dealing, they are not the only, you are not the only committee that they're dealing with. So agree on the methods of communication and the channels of communication depending on the subject matter that's being discussed or you're giving instructions. Second is decide as a committee, make a decision on a subject matter, talk amongst yourselves, and then once you read a decision, give those instructions to your strata manager for them to action. If you need some guidance from the strata manager, bring them in. But if it's a discussion amongst the committee, make that discussion amongst you and after making a decision, then give the instructions to the strata manager. That way it's seamless and it avoids a misunderstanding as the last thing you want is put energy and effort to clear up what has been miscommunicated. So again, decide first as a committee, talk amongst yourselves, discuss, communicate, and then give the instructions after to the strata manager so that those instructions are delivered clear. And finally, maintain an action list. As a committee, a lot of things, a lot of subject matters would have to be coming on your table. And we know you are volunteers and the last thing you want is miss things or get confused or get overwhelmed. One tool that you definitely could use to help you as a committee is create that action list. Not only is it beneficial for you, but it's also beneficial when you give instructions to your strata manager.
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One of the things that's difficult with running a committee is when you're trying to make decisions and move forward. But in reality, because of the different personalities, there are disruptors and there will be clashes that could occur. But I would like to share with you in this podcast five tips on how to handle complaints and disruptor.
One, put the procedure in place. Create a flowchart or even put in a policy in place to make sure that it is a list of the requirements and step-by-step procedure that you and your committee could follow. You won't get lost. It's like having a guidance and a follow-through on what to take. That way, no matter how surprise you get with what comes in, that has to be decided by the committee in respect of complaints or even disruptors, you can always go back to that flowchart or procedure that you would follow. Trust me, it works.
Tip number two, acknowledge receipt of the complaint or a matter that has been addressed to you. It's important that there is a response saying, Thank you for your communication. We will revert to you and give them an estimate time of reply so that they would know when to follow up. This also avoids unnecessary communication, and you don't want to have someone to follow through every day. And that allows you to control how long you would need to respond. Of course, it should be within reasonable time, seven days, 14 days, and then follow through as long as it's, again, in your flowchart or your procedure or policy.
Tip number three is follow the procedure so you do not get lost. That's how simple it is. Or provide a reply, and the reply should be either you will take action. You will not take action or give us more information so that we can decide whether we will take action or we will not take action, and then set out the reasons why. And remember, if the committee, if your committee is not ready to make a decision and you need more information, data, or evidence, ask that. And again, with that, provide a time frame of how long they could provide it. That way, you are not waiting forever.
Number five, allow for an appeal and follow through with the procedure as to whether you are taking action or not taking action. That way, the person who has made a complaint or has addressed an issue can see that you are reasonable, and they are given a final opportunity to provide further information through an appeal.
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What I'd like to talk to you about today is the importance of seeking approval and what are the steps in seeking the approval when you carry out renovations in your property and of course when I say when you seek approval I am really referring to your strata community.
It's important for you to understand that when you carry out renovations because you live in a community whether it's physical or whether it is behavioural impact, there will be an impact to the rest of the community and because of that it's important that you seek your Strata Communities approval sometimes in your relevant legislation that you're working on or that your Strata community is under sometimes it is required that a written approval is sought or sometimes them just getting an information or written notice from you that you are going to carry out renovations.
The reason for renovations approval is being required by the Strato community is so that they could prepare the rest of the community in the renovations that you are also care that you are carrying out. Not only that it also protects you so that you make sure that when the works are carried out you're not going to get any unfortunate interference or notices from your neighbours that they become quite informed about the renovations that you are carrying out, not only that you are also informing your contractors on the steps that are required so that they are not interrupted when they are carrying out your renovation works
So getting an approval from your Strata community is absolutely important because of those two factors; One, for the Strata community to prepare, meaning the community to prepare for the renovations that are going to be carried out and also, so that you and your contractors could better prepare so that you avoid uninterrupted renovation works and so that you can enjoy the product of the renovations you're carrying out.
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Our discussion for today is about Understanding the Implications of Water Leak from your Balcony or Terrace. The reality is when it is determined by an expert and it could be a contractor when I say expert a building manager, building consultant or an engineer that your waterproof membrane needs to be fixed or it has past its lifetime.
The consequence of not fixing that issue is water ingress and water ingress is not good for your neighbors, it's not good for the structure most especially if the structure is common property because what happens is the water ingress would impact not only your property, the common property, and your neighbor's property which is the unit below if any. So, the implications of water leak that you need to understand are contained in three things.
Number one, once an expert tells you that you need to fix your waterproof membrane act promptly in rectifying the issue.
Second one is inform the parties for in impacted by the issue of the water ingress and tell them that you're being proactive in resolving the issue.
No.3 once it is rectified inform the impacted parties that the rectifications have been carried out in that you've been informed, as long as you really have been informed by the contractor that the rectifications have now stopped the water ingress.
It's quite important for you to not ignore this issue because the longer it occurs, the longer you allow for water ingress to continue, the more damage and resultant damage could occur and it could not only impact others enjoyment of their property but it could definitely cause in the dispute that could have been avoidable and costs and stress to you would unfortunately unavoidable.
So, it is important that more specially if you're in the Strata community or living in the Strata community that you understand these three implications and you must action them best practice as early as practicable in respect of any water leak or water ingress that is coming from your balcony or even your terrace.
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You see, it's absolutely certain for the strata community to pass a special resolution because it gives the power to all the owners to make a decision if they want to lease or license part of the common property. Now, this wasn't given to the executive committee for the very reason that all the other owners in your community must be given an opportunity to voice out whether they want to lease or license that shared area.
Now, if the executive committee decides to skip that requirement, which is really a legal requirement to pass a special resolution, and decides to make that decision, they're really acting beyond their powers. And what could be the consequence be them opening themselves up to any liabilities that could be made by another owner or even the person that's been granted a lease or license?
So it's absolutely necessary that your strata community passes a special resolution, records that special resolution in the minutes or a ballot, and then confirms in the lease or license document that a special resolution has been passed. In that way, there will be no future arguments that could absolutely be avoided, and no allegations made against the committee in the absence of a special resolution being passed.
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One of the common issues that one faces when they start living or owning property in a strata community is the obligation to contribute financially. Contribute to the maintenance of the community. There are times that owners stop providing contributions or giving their contributions because they have issues with the maintenance being dealt with. Unfortunately, that isn't the solution because those who bought into a property with a strata community actually have a legal obligation to contribute.
But it's not just about obligation. Keep in mind that because your strata community is maintaining your shared property, your private property value is maintained, and there's a high likelihood of it increasing but not providing or not giving your contribution because you have a concern, that's not the solution. If you have a concern with the way the strata community is operating, you must address it to them in writing.
That way, you could demonstrate your seriousness about your concern and that you are addressing it and you would like them, the strata community, to resolve it. On the other hand, where your strata community requires you to complete a complaint form to address your concerns, do so. That way, again, you demonstrate how serious we are in trying to find a solution to your concerns. If that fails, you can then request your strata community to have a dispute resolution meeting so that you are given an opportunity to voice out and explain further what you have written down so that they can understand your concerns.
Now, I do say it's important for you to communicate, but it's also important for you to assess the issues that you address. And there may be times when it's necessary for you to get expert advice. Include that expert advice to your written concern that you address the strata community so that they can see how determined you are in resolving this issue.
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And it gets quite distressful for Strata community, especially when there are a number of complainants who approach them and demand that the issue be resolved. It's important for this executive committee to first determine the seriousness of the issue and how much information has been put forward by the complainant. If there's not enough information that the complainant has provided to the executive committee, it's important that more information is requested. Once all the information, all the relevant information, or enough information is provided, the executive committee. If you're an executive committee, you should determine the seriousness of the issue that has been presented.
Is it something that a phone call could resolve? Should a letter of demand to stop the misbehavior be issued? Or is this something where an initial breach notice should be issued followed by a final breach notice? Should there be a dispute resolution meeting allowing the parties to come to the table and discuss ways to resolve the issue? The key here is identifying the correct communication platform to use so as to approach the issue and determine ways, practical ways, commercial ways, or even legal ways to resolve the issue.
One thing that as an executive committee should remember is that the legal process is not the only process or what's available, the resource that's available. There are also external resources such as the health department, the police, your local council or local government who could help you, and other centers who could provide the assistance. And those should not be ignored and looked upon as ways to help the complainants and residents who are facing the unfortunate situation of a misbehavior.
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Do Strata communities have to get involved in owner-to-owner water leak disputes? Unfortunately, most times they do. This particular podcast provides clarity on the five reasons why Strata communities get involved in water leak disputes.
One, the water leak originates from common property. That's quite clear. If the water has come from common property, the Strata community would be involved in the water leak dispute.
Number two, the water leak could have originated from private property, but also runs through to common property and has reached another private property. This is where the water leak dispute becomes quite complex, although even if the leak did not originate from the common property as long as it has run through the common property, unfortunately, the Strata community would have to be involved in the dispute.
The aggrieved owner of the water leak has filed a complaint to the Strata community and wants it to enforce its rules or bylaws to resolve the issue. This is just like any other issues or complaints raised by any owner or occupier. But it's important that the Strata community make an informed decision as to whether it will enforce the rules. But in our view and experience, it's important that where a water leak dispute is contained in a complaint, the Strata community ought not to ignore it and make a determination on the enforcement of its rules or by-laws.
Four, the Strata community could be denied of Strata insurance renewal claim or permanently be denied of a claim relating to water leak damages. This is ultimately a disaster for the Strata community where they have been ignoring water leak issues between owner to owner, or where water leak disputes have been raised by occupiers to the Strata community. Unfortunately, there is a possibility that the Strata insurer would deny claims to the Strata community that relates to any water leak disputes. So definitely the Strata community should be insurer would deny claims to the Strata community that relates to any water leak disputes. Definitely, the Strata Community should be involved in these disputes so as not to face a disaster of insurance problems.
And five, the integrity of the building could be compromised if the water leak issue is not resolved as early as possible. Acting reasonably and acting timely is important for a Strata community because if a Strata community ignores water leak issues within a building, it could have a significant impact on the integrity of the building and could compromise the safety of its occupiers and investors. So it's important that the Strata community is involved in such water leak disputes.
These are the five reasons why Strata communities get involved in water leak disputes. Do you think there should be items that must be included in the list? We want to hear from you, so please share our podcast with those who could learn more about Strata Living or share your comments in a comment section.
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A man's home is his own Castle. This is no doubt familiar to you. One of the most exciting times in a person's life is when they buy their first property and more properties. However, the exciting time could turn into a nightmare where building defects are involved.
Let's explore the five steps to resolve building defects in the Strata community.
1. Hire a building Inspector to confirm in a report if the defects are structural or nonstructural. It's important to get an expert to identify as soon as possible these components, structural or nonstructural so that a plan could be set by the Strata community on what could be pursued or not pursued for the builder to rectify.
2. Get legal advice to determine if the defects are part of the common property or private property, it's important for the Strata community to determine through legal advice, their rights, and responsibilities. Of course, in the first instance, with a common property, in the second instance with private property and determine why they should even be involved in a private property. This could be obtained through another expert by getting legal advice.
3. Write a letter to the builder to compel them to rectify the defects. Of course, at the end of the day, it's important that the person or the party responsible for those defects, which is the builder in this instance, should be issued a letter of demand to require them to rectify the defects.
4. If the builder refuses to carry out rectifications and if the legal costs to pursue the builder for the defects outweigh the defects rectification costs, the Strata community should make a commercial decision to raise the funds to rectify the defects themselves. This is a commercial decision that should be carefully thought of by not only the committee, but we do also encourage that it would be presented to all members of the Strata community. So everyone is involved to determine whether everyone wants to pitch in making a commercial decision. There are many developments that we know have made decisions such as this, especially where they have determined that the defects are not that significant and they should just and ought to just do away with the stress of litigation and resolve the defects themselves.
5. If the rectification costs outweigh the legal costs to pursue the builder, pass the required resolutions to issue legal proceedings against the builder and action accordingly. Ultimately, there are developments that we know would have to resort to litigation. It's absolutely necessary that the resolutions are passed by the Strata community to allow them to pursue litigation and ultimately reach the goal of compelling the builder to rectify the defects.
These are the five steps to resolve building defects. Do you think there should be items that must be included in the list we want to hear from you please share our blog with those who could learn more about Strata living or share your comments in the comments section, as usual, remember to continue upgrading yourself.
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After attending an Annual General Meeting or what I will call AGM, you would receive a copy of the minutes, but before that, you would receive a copy of the notice when you're getting invited to the meeting. Have you ever wondered, as a member of the Strata community, what are the further details or items that will be discussed at the AGM that's scheduled so that all Strata community members receive clear decisions that will be made at the AGM?
It is crucial to highlight the five documents that should be attached to the AGM notice and here they are.
1. A copy of the last AGM minutes. I'm referring to the decisions made at the last Annual General Meeting and what's going to occur at the current Annual General Meeting or AGM, is to confirm the contents of the minutes of the AGM that was last held. It's important that this part of the meeting is determined to make sure that the Strata Communities documents are accurate when reflecting decisions made by the Strata community.
2. A copy of the Strata Insurance Policy It's common practice that at an AGM, renewal of the Strata insurance policy is determined by all members, so a copy of the Start insurance policy is definitely important to be included in the AGM notice.
3. Contracts due for renewal at the AGM. There are a number of contracts and usually their annual contracts are a bit more or longer than that. That would need to be decided whether the Strata community is willing to renew those contracts, whether it's by contractors or by service providers. Of course, it's important to make that decision if they are informed and a copy of the contracts due for renewal should be included in the AGM notice.
4. Financial Statement of the Strata Community money. It's important the Strata community is aware of what's happened to their contributions, the member’s contributions, how they were spent, if there's any money left, and whether the bank or the piggy bank, if you like to call it is healthy or whether it needs to be improved. And that would guide the Strata community members in making the decision as to whether they should maintain the budget based on the last financial year or whether there should be an increase in budget. This would also help managers guide the Strata community members in making decisions as to whether there should be even contingency that should be added to the upcoming financial year's budget
5. Contractor service provider Quotes. These are quotes that should be read fairly by the Strata community members before making a decision as to whether particular contractors’ or service providers’ quotes should be accepted. Of course, we don't encourage that all quotes are presented in Annual General meetings, but we do encourage that where there are significant funding required, it would be prudent that they are addressed at an AGM so that all the members are informed of the decision that would be made in respect of accepting significant quotes.
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You would need a common license or lease if you would like to use part of the common property to install your solar panels or personal effect such as your business signage on the common property. Have you ever wondered what should be included in a common lease or license? Even if you're not a lawyer, it is important to understand their components. Let's have a look at five of them.
1. Lease or licensed area based on a plan of subdivision. Having the lease or licensed area specified based on a plan of subdivision is absolutely important so that it is clear what is being leased or licensed.
2. The term or period of the common lease or license. This is the length of time or the life of the lease or license. It must be clear to both parties the one who is either leasing or licensing and the Strata community who is actually leasing or licensing part of the common property and that would be the term or the period of the lease under license.
3. The authorized use of the leased or licensed area? Identifying the authorized use of what is being leased or licensed is crucial in a lease or license document.
4. How much, if any, is the lease or license fee, or is it at a peppercorn rate of $1 considered paid at the start of the common lease or license period? It's important to identify if there's going to be significant money exchanged or is it simply where the Strata community will allow a peppercorn rate which I have said is one dollar paid at the beginning of the lease or license. So that the person or party leasing or licensing the common property is aware of any money or investment that needs to be put in the least or licensed area.
5. What are your responsibilities to repair and maintain the lease or license area this is usually passed on to the lease or the license of the area that's being leased or licensed. It's important to clarify, and understand point by point what is going to be their responsibility during the term or the period?
These are the five essential parts of common property, lease, or license, also known as a common lease or license.
- Visa fler
