Without consultation, can our strata CoO turn an unused garden space into a visitor car park? Is council approval required?
Our building has an unused common property garden area. There are currently no visitor bays in the complex. Without holding a general meeting or a formal special resolution vote, can our strata CoO turn this garden space into a visitor car park? They have insisted owners pay for the groundwork. Is council approval required?
The Strata Council may simply be undertaking works as requested by owners in the scheme.
This is an interesting question. There are a few components to the question which we need to break down.
Can the Strata Council turn a current area of common property from a garden into a visitor’s carpark?
Let’s look at the general duty of the Strata Company, which is outlined in Section 91 of the Strata Titles Act:
A strata company must -
- control and manage the common property for the benefit of all the owners of lots; and
- keep in good and serviceable repair, property maintain and, if necessary, renew and replace –
- the common property …
- any person property owned by the strata company
- A strata company may improve or alter the common property in a manner that goes beyond what is required under subsection (1).
According to sub-section (2) above, yes, the strata company may improve or alter the common property beyond repair.
Can the strata company turn a garden into a visitor parking area without council approval?
Unfortunately, without knowing which Local Council this is or where within the complex the proposed parking bay is located, this cannot be answered. Each Local Council has their own rules as to what is permitted and it would be suggested that any Local Council laws are checked, eg if a section of a verge can be changed to a parking bay and what other rules they may have in place which need to be adhered to when changing areas within the complex (eg if a building permit is needed) or where the cost is above a certain value.
Can the Strata Council proceed with this work without holding a general meeting or special resolution vote?
The functions of the Council are outlined in Section 135(1) of the Strata Titles Act:
- The functions of a strata company, subject to this Act and to any restriction imposed or direction given by ordinary resolution, are to be performed by the council of the strata company.
Yes, it is my opinion that the Strata Council may proceed to undertake improvement works to the common property as per Section 91(2), as long as the expenditure is within a certain amount as prescribed (by the Regulations - $500 per lot per annum above the budget expenditure amount). Or if the expenditure is above the prescribed amount, authorised by special resolution of the owners, which would be done through a General Meeting or an Outside Meeting Resolution.
If there are not sufficient funds for the expenditure and the Strata Council may need to raise a levy on the owners, then this would also need to be taken to a General Meeting of the owners for consideration.
Whilst not specifically mentioned, this also raises a question about engagement / communication with the owners. Have owners raised concerns with the Strata Council about the lack of visitor parking at the complex and were they asked to look at how they may incorporate visitor parking into the complex? If so, then the Strata Council may simply be undertaking works as requested by owners in the scheme.
It is important to remember that the Strata Council is normally a group of volunteers doing their best to maintain and enhance the asset value of the complex for the benefit of all owners. If this change is beneficial, it is my opinion that this should be communicated to the owners and owners should be encouraged to be engaged in the process.
Disclaimer - the above is provided as general information only and the owner or the Strata Company should seek legal advice about their matter.
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