No doubt many Sydney-siders and others interstate heard about the recent fire in a Strata Titled block in Bankstown last Thursday where the unfortunate circumstances lead to the death of an occupant along with the serious injury of another.
Due to my line of work I visited the site today to view the extent of the damage and was concerned about the predicament the lot owner placed themself in. The lot was a three bedroom unit however it appeared as though an extra bedroom had been illegally constructed in the living area. Further to this, there was evidence of two single beds in the lounge area. It was apparent that this three-bedder housed up to ten occupants.
This illegal bedroom was positioned such that it had direct access to a wrap-around balcony and thus blocked access. It is common that these types of share units have locks on the bedroom doors for the security of the tenants. If this were the case, an issue may have arisen where the deceased and injured party's were not able to escape via this illegal bedroom on to the balcony which may have left them otherwise unharmed.
A visit to other lots in this block revealed that many units had a similar set-up.
It is imperative that investors have their Legal Liability insurance in order. Particularly in Strata, I see many Landlords not taking up any Landlords insurance due to Strata Insurance covering fixtures and fittings. Whilst this is true, they are leaving themselves massively open to litigation from tenants.
Potentially the above lot owner will be in serious legal trouble, perhaps manslaughter, and may also be sued by the family's of the deceased and injured. If they don't have Legal Liability insurance, they may be in a position needing to apply for bankruptcy.
The moral of this story is that savvy investors need to ensure the that Owners Corporation approves any renovations they do. Not doing this may lead to circumstances such as the above.
Simon Plummer | SP
https://www.sp.com.au
Email Me | Phone MeSP
Thanks Plummer.
Very good points you make.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Hi Plummer,
I wonder if the property was self-managed and if it was professionally managed did the inspection reports mention new wall and 'other beds'
Message to all LL makes sure you go through your inspection reports with a fine tooth comb and attend to items identified.
Further to Plummers comments.
Most of us are aware of the need for smoke alarms to be fitted into properties. Most of us are also aware that batteries need changing every 12 months (ever hard wired alarms).
But not a lot of people are aware that the alarm only has a life of 10 years – it needs to be replaced after this. Just down my own house as the alarms were 12 years old.
Electrician wasn't even aware of the 10 year lifespan on alarms.
This was only brought to my attention at a recent structural fire fighting course I attended as part of my volunteer fire brigade work.
Hi Derek,
Good share, I doubt many of us were aware of that one !
We may have to go and buy some new alarms.
Cheers.
Hi All.
Thanks for starting this post Plummer and sharing Derek.
This really boils down to the fact that in most councils have regulations covering rooming houses, (this is really the basis on which this property was being let) there are fire regulations etc for a REASON.
There still seems to be so many backyard operators trying to get away with cramming as many people in as they can, with no regard to tenant safety, and in this case it has been a tragic outcome. This unfortunate story also adds to the myth that all landlords are only out make as much money as they can, no matter the cost.
Seeing so many new users here, I'd say take a lesson people. This is the wrong way to do a rental property.
I hope they throw the book at the landlord….
Disgusted.
D
DWolfe | www.homestagers.com.au
http://www.homestagers.com.au
Email MeIt is only the ionising smoke detectors which use a radioactive isotope which loses its effectiveness over time ie 10 years. The newer (& better) photoelectric detectors do not have a use by date.
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