Earlier this month, the Department of Fair Trading opened consultations for the Strata Schemes Management Regulation 2016 and Strata Schemes Development Regulation 2016. These regulations will affect the powers of strata schemes and their members.
The new regulations will include:
- how the market value of a building and its site is to be determined;
- the information that must be included in a strata renewal proposal;
- the information that must be included in a prescribed form of notice that must be sent to owners when a strata renewal committee is established;
- the details of costs and expenses to be deducted from the sale price that must be included in a strata renewal plan which relates to a collective sale of a scheme;
- the supporting documents that must be sent to owners with a strata renewal plan.
- Contributions and comment close on 18 May 2016 and 27 May 2016, respectively.
Prior to these rounds of consultations the Department also held consultations regarding the draft strata Bills and also, industry roundtables. The new regulations are due in November-December 2016.