Part 1 Preliminary

This Act is the Strata Schemes Management Act 2015.

This Act commences on a day or days to be appointed by proclamation.

The objects of this Act are as follows—

(a) to provide for the management of strata schemes,

(b) to provide for the resolution of disputes arising from strata schemes.

(1) In this Act—

accessibility infrastructure means changes made—

(a) to part of the common property, including by installing, removing, modifying or replacing anything on or forming part of the common property, and

(b) to facilitate a person with a disability having access to—

(i) the common property, or

(ii) the lot in the strata scheme in which the person resides.

accessibility infrastructure resolution means a resolution to do one or more of the following that is specified to be an accessibility infrastructure resolution—

(a) to finance accessibility infrastructure,

(b) to add to the common property, alter the common property or erect a new structure on the common property for the purpose of installing accessibility infrastructure,

(c) to change the by-laws of the strata scheme for the purposes of the installation or use, or both, of accessibility infrastructure.

accounting records means the accounting records required to be kept by an owners corporation under section 96.

administrative fund of an owners corporation means the fund established by the owners corporation under section 73.

aggregate unit entitlement of lots in a strata scheme means the sum of the unit entitlements of the lots.

approved insurer means—

(a) a general insurer within the meaning of the Insurance Act 1973 of the Commonwealth, or

(b) any other person prescribed by the regulations for the purposes of this definition.

assistance animal has the same meaning as in the Disability Discrimination Act 1992 of the Commonwealth, section 9(2).

building, in relation to a strata scheme or a proposed strata scheme, means a building containing a lot or proposed lot, or part of a lot or proposed lot, in the scheme or proposed scheme.

building element, for Part 11, Division 3AA—see section 211AA.

building management committee means a building management committee established for a building under a strata management statement for a strata scheme.

building manager —see section 66.

building manager agreement –see section 67.

building product, for Part 11, Division 3AA—see section 211AA.

by-laws means the by-laws in force for a strata scheme.

capital works fund of an owners corporation means the fund established by the owners corporation under section 74.

change a by-law—see section 133.

commission includes an insurance broker fee.

common property, in relation to a strata scheme or a proposed strata scheme, has the same meaning as it has in the Strata Schemes Development Act 2015.

common property rights by-law —see section 142.

community scheme has the same meaning as it has in the Community Land Development Act 2021.

company nominee of a corporation means an individual for the time being authorised under section 154 (1) by the corporation.

connected, in relation to 2 or more persons—see section 7.

covenant chargee of a lot or development lot in a leasehold strata scheme means a covenant chargee of a leasehold estate of the lot.

damage policy —see section 160 (1).

decennial insurance, for Part 11, Division 3AA—see section 211AA.

defective building work —see section 190.

Department means the Department of Customer Service.

developer of the strata scheme constituted on registration of a strata plan proposed under a development scheme means the person who, for the time being, is—

(a) the original owner of the strata scheme, or

(b) a person, other than the original owner, who is the owner of a development lot within the strata plan.

development lot means a lot in a strata plan or strata plan of subdivision that is identified by a strata development contract as a lot that is to be the subject of a strata plan of subdivision under the development scheme for the contract.

development scheme means the scheme of development provided for, and represented by, a strata development contract.

disability has the same meaning as in the Disability Discrimination Act 1992 of the Commonwealth, section 4(1).

DLI policy, for Part 11, Division 3AA—see section 211AA.

financial statements means the financial statements prepared by an owners corporation in accordance with Division 3 of Part 5.

floor includes a stairway or ramp.

freehold strata scheme has the same meaning as it has in the Strata Schemes Development Act 2015.

function includes a power, authority or duty, and exercise a function includes perform a duty.

independent surveyor means a person who is not connected to the original owner and who—

(a) is a member of the Australian Institute of Quantity Surveyors and holds the designation Certified Quantity Surveyor, or

(b) is a member of the Royal Institution of Chartered Surveyors and a Chartered Quantity Surveyor.

initial maintenance schedule means the schedule prepared by the original owner under section 115.

initial period of an owners corporation of a strata scheme means the period—

(a) commencing on the day the owners corporation is constituted, and

(b) ending on the day there are owners of lots in the strata scheme (other than the original owner) the sum of whose unit entitlements is at least one-third of the aggregate unit entitlement.

interested person —see section 226.

large strata scheme —see section 6.

leasehold strata scheme has the same meaning as it has in the Strata Schemes Development Act 2015.

lessor of a leasehold strata scheme has the same meaning as it has in the Strata Schemes Development Act 2015.

local council, in relation to land, means—

(a) the council of the area under the Local Government Act 1993 in which the land is situated, or

(b) a person declared by the regulations to be the local council for that land for the purposes of this Act or any specified provision of this Act.

lot, in relation to a strata scheme, has the same meaning as it has in the Strata Schemes Development Act 2015.

minor renovations —see section 110.

mortgage, in relation to a lot in a strata scheme, has the same meaning as it has in the Strata Schemes Development Act 2015.

mortgagee, in relation to a lot or development lot in a leasehold strata scheme, has the same meaning as it has in the Strata Schemes Development Act 2015.

multi-storey scheme —

(a) means a strata scheme—

(i) that comprises at least 1 building with more than 2 storeys above ground level, and

(ii) where the whole or a part of at least 1 lot in that building is located above the whole or a part of another lot, and

(b) includes a scheme of a type prescribed by the regulations.

occupier of a lot means a person in lawful occupation of the lot.

officer of an owners corporation means the chairperson, secretary or treasurer of the owners corporation.

on-site residential property manager means a real estate agent exercising on-site residential property manager functions within the meaning of the Property and Stock Agents Act 2002.

original owner —

(a) of a freehold strata scheme means the person who held the fee simple in the parcel the subject of that scheme when the strata plan for the scheme was registered, or

(b) of a leasehold strata scheme means the person who, immediately after registration of the strata plan for the scheme, is entitled to a leasehold estate in all the lots in the scheme or is entitled to a leasehold estate in 2 or more lots in the scheme with total unit entitlements exceeding more than two-thirds of the aggregate unit entitlement of the lots in the scheme.

owner of a lot in a strata scheme means—

(a) except as provided by paragraph (b) or (c), each person for the time being recorded in the Register as entitled to an estate in fee simple in the lot (in the case of a freehold strata scheme) or as entitled to a leasehold estate in the lot (in the case of a leasehold strata scheme), or

(b) except as provided by paragraph (c), each person whose name is entered on the strata roll in accordance with section 178 as being entitled to an estate in fee simple in the lot (in the case of a freehold strata scheme) or as entitled to a leasehold estate in the lot (in the case of a leasehold strata scheme), or

(c) each person who is taken by section 43 (1) of the Strata Schemes Development Act 2015 to be the owner of the lot.

owners corporation means an owners corporation constituted under section 8 for a strata scheme.

parcel means—

(a) in relation to a strata scheme, the land from time to time comprising the lots and common property in the scheme, and

(b) in relation to a plan lodged for registration as a strata plan, the land comprised in that plan.

part strata parcel has the same meaning as it has in the Strata Schemes Development Act 2015.

person present at a meeting includes a person who is not personally present but is able to vote at the meeting by another means specified under clause 28 of Schedule 1 or clause 10 of Schedule 2.

planning approval means—

(a) a development consent, or

(b) an approval under Part 3A or Part 5.1 of the Environmental Planning and Assessment Act 1979.

positive covenant means a positive covenant imposed on land under section 88D or 88E of the Conveyancing Act 1919.

precinct scheme has the same meaning as it has in the Community Land Development Act 2021.

public authority means a public or local authority that is constituted by or under an Act.

real estate agent has the same meaning as in the Property and Stock Agents Act 2002.

registered means registered in the office of the Registrar-General.

registrar means a registrar of the Tribunal.

relevant defect, for Part 11, Division 3AA—see section 211AA.

retirement village has the same meaning as it has in the Retirement Villages Act 1999.

schedule of unit entitlement, in relation to a strata scheme, has the same meaning as it has in the Strata Schemes Development Act 2015.

Secretary means the Secretary of the Department.

special resolution —see section 5.

storey, of a building, includes the following—

(a) the ground level,

(b) a level of a split level.

strata committee of an owners corporation means the strata committee of that owners corporation established under this Act.

strata development contract has the same meaning as it has in the Strata Schemes Development Act 2015.

strata information certificate —see section 184 (1).

strata interest notice —see section 22 (1).

strata management statement has the same meaning as it has in the Strata Schemes Development Act 2015.

strata managing agent means a person appointed as the strata managing agent for a strata scheme.

strata plan has the same meaning as it has in the Strata Schemes Development Act 2015.

strata roll for a strata scheme or a former strata scheme means the strata roll for that scheme established under Division 1 of Part 10.

strata scheme means a freehold strata scheme or a leasehold strata scheme.

sustainability infrastructure and sustainability infrastructure resolution —see section 132B.

tenancy notice means a notice given to an owners corporation under section 258.

tenant of a lot means a lessee, sublessee or assignee of a lot, but does not include an owner of the lot.

the Register has the same meaning as it has in the Real Property Act 1900.

Tribunal means the Civil and Administrative Tribunal.

unanimous resolution —see section 5.

unfinancial owner means an owner of a lot in a strata scheme who has not paid all contributions levied on the owner that are due and payable, and any other amounts recoverable from the owner, in relation to the lot.

unit entitlement of a lot in a strata scheme means the unit entitlement of the lot shown on the schedule of unit entitlement for the strata scheme.

utility lot means a lot designed to be used primarily for storage or accommodation of boats, motor vehicles or goods and not for human occupation as a residence, office, shop or the like.

vertical transportation product, for Part 11, Division 3AA—see section 211AA.

wall includes a door, window or other structure dividing a lot—

(a) from common property or from another lot, or

(b) if the lot is a lot in a part strata parcel—from any part of a building that is not within the parcel.

Note.

The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.

(2) A reference in this Act to the registration of a strata plan or a strata plan of subdivision is a reference to the registration of a plan as any such plan under the Strata Schemes Development Act 2015.

(3) This Act applies to a leasehold strata scheme in the same way as it applies to a freehold strata scheme unless otherwise specified.

(4) Notes included in this Act do not form part of this Act.

(1) In this Act, a resolution of an owners corporation is a special resolution if—

(a) it is passed at a properly convened general meeting, and

(b) of the value of votes cast—

(i) not more than 25% are against the resolution, or

(ii) if the resolution is a sustainability infrastructure resolution—less than 50% are against the resolution, or

(iii) if the resolution is an accessibility infrastructure resolution—less than 50% are against the resolution.

(2) In determining a special resolution, the value of a vote for a lot is equal to the unit entitlement of the lot, subject to subsection (2A).

(2A) The value of a vote cast by an original owner of a strata scheme must be reduced by two-thirds if—

(a) the total unit entitlement of lots for which the original owner is entitled to a vote is at least half of the aggregate unit entitlement of the lots in the scheme, and

(b) the scheme comprises more than 2 lots.

(3) In this Act, a resolution of an owners corporation is a unanimous resolution if it is passed at a properly convened general meeting and no vote is cast against the resolution.

Note.

A motion or election that is not required to be approved by a special resolution or unanimous resolution is passed by a simple majority of votes (see clause 14 of Schedule 1).

(1) In this Act, large strata scheme means a strata scheme comprising more than 100 lots or another number of lots prescribed by the regulations for the purposes of this section.

(2) When calculating the number of lots in a strata scheme for the purposes of this section, utility lots and lots used for the purposes of parking are not to be included in the calculation.

(3) The regulations may contain provisions of a savings or transitional nature consequent on a change in the kinds of schemes that are large strata schemes.

(1) For the purposes of this Act, a person (the principal person) is connected with another person if the other person—

(a) is a relative (within the meaning of the Local Government Act 1993) of the principal person or, if the principal person is a corporation, is a relative of the holder of an executive position in the corporation, or

(b) is employed or engaged by the principal person or is a business partner of the principal person, or

(c) if the principal person is a corporation, holds an executive position in the corporation, or

(d) is the employer of the principal person, or

(e) is employed or engaged by, or holds an executive position in, a corporation that also employs or engages the principal person or in which the principal person holds an executive position, or

(f) has any other connection or association with the principal person of a kind prescribed by the regulations.

(2) However, the principal person is not connected with a member of an owners corporation, or the strata committee of an owners corporation, merely because of any dealing, contact or arrangement the member has with the principal person in the capacity of a member of the owners corporation or strata committee.

(3) In this section, executive position in a corporation means the position of director, manager or secretary of the corporation, or any other executive position of the corporation, however those positions are designated.