Morning All…just wondering if there is a difference between these?Paul DobsonParticipant@pauldobsonJoin Date: 2003Post Count: 1,196
Some good information on the difference is available at:
Cheers, PaulNigel KibelParticipant@nigel-kibelJoin Date: 2005Post Count: 1,425
Always interesting Stratum came before strata. The main difference is that Strata you are buying an apartment or townhouse where you are buying the whole thing that can also include that land around the unit, where stratum you are buying the space between the walls. So clearly strata was an improvement.Scott No MatesParticipant@scott-no-matesJoin Date: 2005Post Count: 3,856
Beg to differ there Nigel, in the stratum developments that I have seen, the stratum does come first but the owner of the stratum has the rights to further develop their stratum eg a multi-use development may contain 2 or more stratum eg carpark, retail, commercial and residential stratum. If stage 1 & 2 eg carpark and commercial are built, the remaining stratum can be sold off to another developer who can then build and undertake strata subdivision of the residential component or retal components etc.
(Not sure what happens in States other than NSW).xdrewParticipant@xdrewJoin Date: 2010Post Count: 479
The difference between Strata and Stratum came simply because the state of ownership on property gradually changed and the issues that arose created different conditions for usage.
Its really the same reason that body corporations are now owners corporations. The reason is that the existing body corp framework had limitations based largely on the requirements for smaller shared facilities.
Before the concept of strata title was introduced in the 1960s, company title had developed to provide for the separate ownership of apartments. For the first time, this allowed people to buy an apartment rather than a house with the majority of company title home units set up in the 1920s and 1930s (ty LoanMarket for this definition)
Stratum (a continuation from Company title) left you with ownership of the unit title, plus a share in a company that managed the shared spaces of all the units. In other words .. you'd have shared responsibility, management and ownership of the shared spaces through the management company.
Strata changes this by allocating the common areas to a Body Corporate .. split into proportionate share and responsibility by liability and voting decisions proportionate. It renders the requirements of management separate from direct owner responsiblity. However .. liability from body corporate decisions and actions is still at owners expense.
There was a reason for mentioning the change from Body Corporate to Owners Corporation as well. Body corporation was fine up to a certain point (lets call it roughly 50 units). After that it fell to a situation where it was insufficient and required too much paperwork. Because of the need to address much larger shared spaces (some buildings now cater for 200+ units) there was a need to change conditions to match existing requirements.christianbParticipant@christianbJoin Date: 2009Post Count: 386
Great summary Xdrew.
Thanks for the info everyone