Page 2 - Newsletter Issue 11 - May 2020

New Strata Laws to make Strata better… .

The much-anticipated Strata Titles Act 1985, also known as
the strata reforms, will come into effect as of Friday 1 May.

REIWA strongly supports the new legislation and worked
closely with Landgate and the WA Government to ensure
that the real estate industries concerns were taken into
consideration.

The reforms will bring strata communities into the
st
21 century and is expected to not only accommodate the
shift in housing preferences over the years, but also
Introduce new land development to options to drive
economic growth. The new process also includes a more streamlined approach
for when all lot owners agree about terminating the scheme.
A breakdown of the changes is listed below. For a detailed
understanding of each item, view Landgate’s summary of Improving strata management
what’s changing. Starting on Friday 1 May 2020, amendments to the following
sections will be in effect in order to improve strata manage-
Better buyer information ment and by-laws:
For those who are looking to buy into a strata property,
agents will be required from the 1 May 2020 who provide • Changes to by-laws.
buyers with more information using a single form which • Ten-year maintenance plan.
includes including:
• Embracing modern technology.
• The role of the strata manager.
• Estimated strata levy contributions over a 12-month period.

• The most recent statement of accounts of the strata Introducing leasehold strata
scheme.
A leasehold strata title is a built strata or survey-strata
• Any amount already owed to the strata company by the scheme with a fixed term of between 20 and 99 years. As
current lot owner. of 1 May 2020, plans for leasehold strata schemes can be
• The minutes from the most recent annual general meeting of lodged with Landgate.
the strata company or any extraordinary general meeting
that’s been held since. In leasehold scheme each lot has a lease of between 20 and
• A full set of the scheme’s by-laws. 99 years, with all lots ending on the same day. This will be
• Information about any termination proposal received by the utilised to provide affordable housing in strategic sites such
strata company. as round train stations.

More efficient dispute resolution Greater flexibility for staged subdivisions
As of 1 May 2020, all new disputes will be heard in the State The reformed Act makes it clear when the consent of owners
Administrative Tribunal (SAT), existing disputes will continue is required to change the way a scheme is being developed.
in the original forum. On 1 May 2020, schemes will no longer require a manage-
ment statement.
The SAT will have broader powers to resolve strata scheme
disputes and enforce by-laws. Details of staged development will now be set out in the
scheme by-laws and are called staged subdivision by-laws.
The only exception to SAT’s role as the ‘one-stop-shop’ for The changes ensure the rights of lot owners who have al-
strata disputes is the recovery of unpaid levies which are still ready bought into earlier stages of the scheme are protected,
to go through the civil courts. while making the process less cumbersome for developers.

A fairer process for scheme termination More information
The terminations process has been amended to allow for For more information visit www.strata.wa.gov.au.
majority approvals in some schemes.
Find out more by reading the amended Strata Titles
For schemes of four lots or less the decision to terminate Act and Strata Titles Act General Regulations.
must be unanimous for the termination to proceed.

For schemes of five lots or more, a comprehensive series of
safeguards are now in place including an independent review SOURCE:- https://reiwa.com.au/about-us/news/new-strata-laws-to-
by the SAT if there are any dissenting owners. make-strata-better/