New strata laws bring NSW into modern day: UDIA's Stephen Albin

GUEST OBSERVER

The Urban Development Institute of Australia commends the State Government for introducing new strata laws that bring the NSW scheme into the 21st century.

Strata managers, developers and property legal professionals have been working with the government over the past four years to reach an outcome that reflects modern day society.

The strata laws under which we have been operating are the oldest in the world so the system was in desperate need of an upgrade.

The exponential growth in the popularity of strata ownership means that reform was essential to bring strata line with modern life.

This is a fantastic outcome that will give owners of apartments more flexibility to renew dilapidated apartment buildings which are costly to maintain.

And these new laws will give owners the opportunity to make more profit from the collective sale of a strata development then if they were to go it alone.

As the Bills do not apply to existing strata schemes, only future strata schemes with current strata owners having the option to opt in, so it will take time to see material change in the NSW system.

And in reality any collective sale of the strata development is complex and will take up to two years to achieve. The sale would have to go through courts and those in opposition will have the opportunity to argue their case.

Stephen Albin is the Chief Executive Officer of the Urban Development Institute of Australia NSW and can be contacted here.