Question: For a building built before 1974, has our strata management company breached their responsibilities by not informing our executive committee that owners of all units are liable for their balcony remedial repairs?
Our nine unit apartment recently had remedial works done for concrete spalling and painting balconies and external/internal common areas. The block was registered in 1968.
As the building was built before July 1974, are balconies the responsibility of each owner? Our capital works fund paid for all repairs.
Should our strata management have advised us of this? If balconies are the owners’ responsibility, can we seek compensation from our strata managers for their failure to highlight NSW strata legislation?
What action can the executive committee take with our strata management company?
Has our strata management company breached their responsibilities by not informing our executive committee that owners of all units are liable for their balcony remedial repairs?
Answer: The ‘centre-line’ rule does not make balconies the responsibility of lot owners.
The ‘centre-line’ rule applies to strata plans registered prior to 1 July 1974.
It does not make balconies the responsibility of lot owners. It only applies to structures shown on the strata plan that adjoin two parts of the same lot.
The most common occurrence of this is the doors, walls and windows separating a lot and the balcony of the same lot. Provided that this structure is shown on the strata plan and provided that the strata plan does not have any contrary notations, the walls, doors and windows that separate the lot from the balcony would be lot property and the responsibility of the lot owner to repair and maintain.
This rule works up and down as well. For instance, the slab between a two level unit is part of the lot as it is a structure that adjoins two parts of the same lot.
To determine whether the balcony structure, such as the balcony slab, balustrade and ceiling, is lot or common property, it would be determined in the usual way and would most likely be common property.
Therefore, if the concrete spalling occurred in the balcony slab or balustrade, it would most likely still be the responsibility of the owners corporation to repair and maintain.
This is a very tricky area. Your owners corporation may wish to seek specific legal advice.
This post appears in the September 2023 edition of The NSW Strata Magazine.
Matthew Jenkins Bannermans Lawyers E: enquiries@bannermans.com.au P: 02 9929 0226