Hi Guys,
Just a question I have for you, i’m currently seeking legal council on this issue, however I thought I might put this up on here in the meantime.
A developer behind my block of apartments in South Yarra who intends on building a 20 story tower has purchased an apartment in our block.
I have call the ‘agent’ selling the proposed apartments off the plan anonymously who advised they will have guaranteed uninterrupted views.
I asked how this could be done due to the building in front, and what would be stopping them from going up.
To which I got “our developer has purchased one of the apartments which will be owned by the owners corporation of the new building, so 110 people would need to agree to the existing building to go up. Which would never happen.
If this is true, this is a true mockery of the system, my question is, can this be done? What avenues do we as owners have to stop this, or is this some giant loophole the developer has found.
Thanks in advance.
It depends on your strata agreement. If you need unanimous support to redevelop your building or change the agreement then the developer has found a huge loop hole in your system – not the system because all strata agreements are different. However, it can go to court, but there is cost and no guarantee that you will win.
Well I met with our legal council, and what the developer is doing is completely LEGAL.
An owners corporation can purchase property that is outside of its subdivision.
Furthermore this will make it impossible should we all decide (barr the apartment owned by owners corp for the building behind) to modify, build up, or sell collectively to a developer.
There is a bill currently trying to be passed that will change the current laws that allow a 80-90% confidence vote to make changes to a property. This is currently only in N.S.W and as yet has not been passed.
hmmm… There is no constituted bc on the proposed development as there is no building so there cannot be a registered strata plan requiring an oc to be formed.
The developer has purchased the unit not the bc.
Nothing new or earth shattering, just strategic.
Once the project is completely sold they will possibly sell the one unit as they have made a wafty promise which they cannot fulfil once the unit is sold. Even if the developer passes the unit to the future bc what obligations will lie with bc for the unit? How will income/losses be distributed? Etc
Hi again Zenetti.
Seems you're still having problems with this damn developer trying to secure the air/space above you to secure uninterrupted views for his off the plan development. There are a number of options open to you and if the matter is urgent why not seek an court ordered injunction effectively freezing the developers ability to continue until either a court has mandated an acceptance of this tom foolery or new legislation is passed? Why not place an application to Council to have your place developed (bluff, of course) but it will cause Local Council to delay the other developer until full consideration is given to your application.
You see, you need to be a 'thorn in their side' and find ways to delay and bluff until you can obtain either some legal clarity or the developer simply gets pissed off and realises this is too hard and just walks away. There are many other ways of delaying and just being an outright pain and some can be even more so depending on the support you have from your neighbours. Class Actions have a lot more clout than just one voice crying in the wilderness.
Drop me a line if you want to 'chew the grissle' a bit more……..Thanks Anthony and Scott.
Currently the unit is owned by the developers business.
This will eventually be transferred into the OC once it has been established.
As a collective we have a few avenues we are pursuing, as we are trying to limit our exposure I will not go into detail.
I know he will not walk away, this particular developer has successfully developed 4 20+ towers in our street and is notorious for this type of conduct.
Certainly a learning curve though!
Hi Zenetti.
There are ways to prevent this developer from bending you over a desk and giving it to you. PLEASE don't be intimidated by his size or prior success in squashing the 'little guy'. At the very least, there are ways to turn him into a voodoo doll and just keep sticking pins in him. I sincerely wish you well!It ‘s always fun when you can frustrate a developer. Remember, you don’t owe him anything.
Absolutely Scott, Absolutely!
Even more enjoyable when you can be a thorn in one of the greedy ones!!! LOLThat poor developer is just trying to make a dollar, LOL.
Thanks gents, I work for a large commercial builder, hence my advice has come through our own legal channels.
Not to worry, I still have a few ‘pins’ yet!
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