I recently purchased an apartment in a building named ‘Lavender Garden’ that is part of a community scheme called ‘Aspire Heights’. Since it is an apartment is it also part of a strata scheme? What do I need to know?
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Answer by Neha Sharma, Hillsdale 2036 Sydney
- When you purchase into a community scheme it is likely that you are purchasing a lot within a subsidiary scheme of a larger community scheme.
- You are now part of an owners corporation for the ‘Lavender Garden’ strata scheme. You are also part of an association for the ‘Aspire Heights’ community scheme.
- Put simply:
- you must individually pay for everything inside your apartment;
- collectively pay for everything outside your apartment that is the common property of Lavender Garden; and
- collectively pay for common property within the Aspire Heights community scheme. For example if Aspire Heights has a pool or a gym that you have access to you must contribute for its maintenance and upkeep through your levies.
- Sections 57-60 of the Strata Schemes Management Act 1996 (NSW) apply to a strata scheme that is part of a community scheme. The law states that if the by-laws for a strata scheme are inconsistent with the community management statement or a precinct management statement (if applicable) then the management statement will prevail.
- If you decide to lease out your apartment your lessee (tenant) must also comply with the community management statement and the strata scheme by-laws.
- You must provide the lessee with a copy of the management statement as an annexure to the lease. A penalty of $110 applies if you do not comply.