Combining the features of apartment occupancy with those of home ownership has for ages been a dream of urban dwellers, but direct ownership of “condos” has not been easily achieved. Historically, the law allowed landowners to subdivide their land into several separate parcels. The master of any bit of land also owned the building(s) on it. But what if who owns a building wished to subdivide a building into several parts each owned by separate owners? Although owners could subdivide land, regulations did not easily permit them to subdivide the buildings into separately owned parts. In Roman Law it had been forbidden and at Common Law, though it was permitted, it was generally viewed as dangerously cumbersome in the lack of express statutory authorization.
Before the introduction of condominium ownership an alternate form of apartment ownership called’Commonhold of Flats’in England and’Real Estate Stock Cooperative’in the United States were introduced. Nowadays, laws facilitating such “condominium” ownership have already been enacted in both civil and common law lands.’Strata Title’is a form of ownership devised for multi-level apartment blocks, which may have apartments at different levels or “strata “.Strata title was first introduced in New South Wales, Australia to raised cope with apartment blocks. Previously, the sole satisfactory method of dividing ownership was company title, which suffered from numerous defects such as the difficulty of instituting mortgages.
A strata development contains strata lots, common property and common assets. The part of the property that is individually owned is technically called’strata lot ‘, although we normally refer to it with various terms such as’condominium’,’condo’or’strata unit ‘. Every strata owner owns a proportionate fascination with the normal property and common assets of the strata corporation. The owner cannot separate his / her fascination with the strata lot from the proportionate fascination with the common property and common assets, with a couple of exceptions. In practicality this means that the strata lot owner cannot sell only the proportionate curiosity about the most popular property and common assets while retaining the interest in the strata lot.
The master of a strata property has less autonomy than a person who owns a non-strata curiosity about real estate. That is so because the individual strata ownership is always susceptible to the broader community interests of the strata development. The strata corporation is based upon a democratic structure, with by-laws that reflect the strata’s community values. These by-laws govern how owners and tenants may utilize the strata lots, the common property and common assets. The combined owners of all strata lots make up the strata corporation. Each owner has one vote per strata unit, and eligible voters elect a strata council to transport out the day-to-day work of the strata corporation.
Major decisions that affect strata owners or their strata lots must be made by the eligible voters in general meetings. The same legal principles that apply to a 450-unit residential condominium development apply to a 50-unit industrial warehouse complex and a 20-parcel bare land strata or, for example, a two-unit duplex strata. The strata scheme is self-enforcing, in that there is no government body that regulates compliance with strata legislation and there are no’strata police ‘. To enforce the provisions of the law, every owner has the proper to file a software into Court for an order requiring the strata corporation to conform to the legislation. Furthermore, certain disputes among owners or with the strata corporation can be arbitrated.
A strata development is not the same as a cooperative housing project. Aside from the undeniable fact that what the law states governing strata corporations is distinctive from what the law states governing cooperatives, in a housing cooperative a corporation is done to get or lease and develop land for housing. The corporation is named an’association ‘. The association owns the lands or buildings or in some instances leases the property from the leasehold landlord. Someone becomes a person in the cooperative by investing in a share in it.
Probably the most significant difference between both types of ownerships is that in a strata development the master buys a pastime in a strata lot and, thus, owns real estate. Instead in a housing cooperative the member only owns a share in the association. He doesn’t own a pursuit in real estate. Finally, it is feasible for condominiums to contain single family dwellings: so-called “detached condominiums” where homeowners don’t maintain the exteriors of the dwellings, yards, etc. or “site condominiums” where the owner has more control over the exterior appearance. These structures are preferred by some planned neighborhoods and gated communities.