A unit title is a form of property ownership where you own your unit, but the common areas are owned by the body corporate. This ownership structure is common in high-rise apartment blocks.
In smaller unit title developments, all owners are likely to be members of the body corporate committee; in larger developments the body corporate committee is appointed by the owners. An annual levy is paid and the body corporate committee manages and maintains the property, and the common areas, on your behalf (depending on the body corporate rules).
Many unit title owners are unaware that the Unit Titles Act places significant compliance obligations on the body corporate, as well as the owners of each unit. Regardless of whether there are 20 units or two, the obligations are the same. These obligations include:
- Having body corporate rules
- Retaining written records of the body corporate decisions
- Establishing and updating a long-term maintenance plan, and
- Having separate and identifiable operating expenses and long-term maintenance accounts.
If you are a unit title owner and you are unsure about the way your body corporate operates, there is some basic information here. For more detail relating to your particular situation, we’re happy to talk with you about your specific obligations and responsibilities.
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