Living in a strata community offers a unique blend of independence and shared responsibility. One of the key aspects of strata living is being a member of a body corporate, which is responsible for managing and maintaining the common property and shared facilities within the complex.
To ensure a smooth and harmonious experience, it’s essential to familiarise yourself with the terminology commonly used in this context. In this article, we’ll explore the most common terms you need to know as a member of a body corporate in a strata community.
Strata Title
The legal ownership of individual units or lots within a strata development, allows residents to own their specific unit while sharing ownership of common areas.
Body Corporate
A collective of all owners in the strata community, responsible for making decisions related to the complex’s management, maintenance, and finances.
Common Property
Areas and facilities that are jointly owned and maintained by all residents, such as hallways, driveways, gardens, and recreational facilities – swimming pools, gyms, barbecue areas, and communal gardens.
Lot Owner
An individual who owns a specific unit within the strata complex, is also known as a unit owner.
Annual General Meeting (AGM)
A yearly meeting where all lot owners gather to discuss and make decisions about matters affecting the complex, such as budgets, maintenance plans, and elections.
Executive Committee
A group of elected lot owners (consisting of a chairperson, secretary, and treasurer) responsible for making day-to-day decisions on behalf of the body corporate, including budgeting and hiring contractors.
Special Levy
An additional fee is paid by lot owners to cover unexpected expenses or major repairs beyond the regular budget.
By-Laws
Rules and regulations established by the body corporate that all residents must adhere to, ensuring harmonious living and property maintenance.
Strata Manager
A professional or firm hired by the body corporate to manage administrative tasks, financial matters, and coordination of maintenance and repairs.
Proxy Voting
Allowing a designated person to vote on your behalf during meetings if you cannot attend in person.
Sinking Fund
A reserve fund set up to cover long-term repairs, renovations, and major expenses of the strata complex.
Common Seal
An official stamp is used to validate documents that require the body corporate’s authorization, such as contracts and agreements.
Maintenance Schedule
A plan outlining the regular maintenance tasks required for the upkeep of the complex’s common areas and facilities.
Exclusive Use By-Law
A by-law granting a specific owner the exclusive use of a particular area or facility, like a parking space or garden.
Building Manager
A professional hired to oversee day-to-day operations, maintenance, and security of the strata complex.
Strata Roll
A strata roll is a list of the owners in a strata scheme. It must be kept for the whole time the scheme is running and must contain information such as the owner’s name, address and contact details
Adjudicator
A neutral third party is appointed to resolve disputes within the strata community, often related to by-law infringements or disagreements.
Quorum
The minimum number of owners required to be present (physically or virtually) at a meeting to make it valid and enforceable.
Navigating life in a strata community and being an active member of a body corporate can be a rewarding experience. Understanding these key terms will empower you to participate in discussions, make informed decisions, and contribute to the smooth functioning of your shared living environment.
Whether you’re attending an AGM, discussing maintenance issues, or simply interacting with your neighbours, these terms will help you navigate the intricacies of strata living with confidence.
Keeping Costs in Check: Top 5 Strategies to Reduce Your Body Corporate Fees