NSW Fixes the Strata Termination Dilemma

Last year I asked the question Do We Need a Strata Terminator ? arguing that maybe the debate about reducing the level of owner approval to end strata corporations would be overcome if we had a strata terminator who could simply make the decision unilaterally.


Well, that's exactly what the NSW Government is about to do.


It's creating a quango called Urbangrowth NSW that will have powers to compulsorily buy private property to include in large development sites.  In the context of strata that means the power to take over the building and effectively terminate it (with to without strata owner approval).  


It effectively ends the strata debate on forcing owner agreement to terminate strata corporations for redevelopment purposes and simultaneously avoids the problem of deciding owner compensation when that happens by substituting a fair market value formula when owners can't agree.

And if you don't think that possible, the Planning Minister, Brad Hazzard, said the new body would be ''Landcom on steroids''.

You can read more about the announcement in this Sydney Morning Herald article and the Australian Financial Review article.



The cynical side of me thinks that this also assists developers (and not strata owners) since it means that they don't have to pay a premium to resistant strata owners to amalgamate development sites.


Francesco ...