Released 21 June 2012



By Tim McKibbin

The NSW Government’s decision to review and where possible simplify strata laws is a step in the right direction for everyone involved in real estate and NSW generally.

Since the introduction of strata over 51 years ago, we have increasingly traded our quarter acre block for high quality, higher density living. This cultural shift in our accommodation preferences needs to be supported by a contemporary legislative framework.

In line with this, NSW Fair Trading Minister Anthony Roberts commissioned a community consultation to gain a better understanding of the concerns of the general public, experts, owners and tenants. This process saw over 13,000 participants record in excess of 1,200 comments. Notably, there were close to 600 suggestions for procedural change or law reform submitted.

Noise, parking and anti-social behaviour were recognised as the major concerns associated with strata living. Pets and smoking were also cited as major areas for reform, as were procedures and standards of governance. Submissions highlighted the lack of facilities for disabled people and the challenges of short-term rentals, right through to noise issues including the playing of pianos and use of leaf-blowers.

The consultation found that there is a need to implement strata laws that simplify the ability to budget for major works, or to help make the appropriate decisions for the termination of strata schemes.

At REINSW, we believe it is crucial that the right decisions are made in regard to the future of older buildings. It is always important in this discussion to remember that we are talking about people’s homes. However we need to recognise, as the feedback from consultation has, that there are times when buildings need major works or even demolition and that a regulatory process must be in place to respond on those occasions.

And, like those who participated in the consultation, we feel it is important to embrace the opportunities technology can provide, by way of example allowing people to attend meetings without being physically present.

Minister Roberts and his team are currently developing a discussion paper on strata and community title laws for release mid-year. They have clearly defined that their goal is to work with the community to develop laws which will serve NSW for another 50 years.

We look forward to seeing the direction that is taken by the Minister. We encourage the profession to become involved in this important discussion and we will continue to update you as this process continues.