Proposed reform of Queensland body corporate laws
By Luke Hefferan
The Queensland government has announced plans to reform current body corporate laws as part of their commitment to address the state’s ongoing housing crisis. The government hopes the reforms, along with an upcoming review of the South-East Queensland Regional Plan, will assist in making more land available for development, unlocking the largest number of new lots and homes in the state’s history.
Current laws
Currently, a community titles scheme can only be terminated if a resolution without dissent is passed by the body corporate or the court orders it is just and equitable to terminate the scheme.
In announcing the proposal at an Urban Development Institute of Australia regional planning event on 16 February 2023, Deputy Premier Steven Miles said in some areas, like the Gold Coast, the only way to achieve new development is to demolish existing multi-unit dwellings. He went on to say “existing body corporate rules which require unanimous agreement of unit holders have allowed single owners to block developments. In some cases, the result has blocked or impeded development of whole city blocks”.
What do the proposed reforms mean?
The reforms, if passed, would mean only 75 percent of owners in a scheme would need to approve the termination in situations where it is not economically viable to maintain or repair the scheme’s buildings. This lower threshold will make it easier to sell or redevelop ageing and rundown complexes.
However, it could be a while before the proposed changes become law. Drafting the legislation addressing these changes and stakeholder consultation is expected throughout 2023.
Reach out to our Investment Funds team for more information.
Contact
Jordon Lee
Lawyer
Geoff Benson
Lawyer
Harvey Duckett
Lawyer
Luke Denham
Lawyer
Jemima Whiteman
Lawyer
Bradley White
Lawyer
Sarah Khan
Lawyer
Marie Mitilineos
Lawyer
Gloria Tam
Lawyer
Sheldon Fu
Lawyer
Anna Cao
Lawyer
Claire Bourke
Lawyer
Chloe Taylor
Lawyer
Silvana Brcina
Lawyer
Daphne Schilizzi
Lawyer
Andrew Banks
Lawyer
Isabella Urso
Lawyer
Jessica Liu
Lawyer
Amelia Spratt
Lawyer
Luke Raams
Lawyer
Emma McDonald
Lawyer
Carl Ayers
Lawyer
Gus Hu
Lawyer
Rebecca Dodd
Lawyer
Rachel Bonic
Lawyer
Samantha Frost
Lawyer
Emma Bechaz
Lawyer
Matt Dolan
Lawyer
Luke Hefferan
Lawyer
Related industries
Investment Funds You might be also interested in...
Insurance | 17 Mar 2023
Subpar result for sub-subcontractor
The New South Wales Supreme Court has recently considered the construction of a general liability policy of insurance, as to whether a sub-subcontractor was an ‘insured’ or ‘agent’ as defined in the policy to enliven coverage. We examine.
Uncategorised | 17 Mar 2023
Systems and processes – adequate not perfect
ASIC brought a proceeding against the Commonwealth Bank of Australia (CBA), alleging CBA violated the ASIC Act and Corporations Act by erroneously charging monthly account fees to customers in circumstances where the fee should have been waived. ASIC asserted CBA did not have adequate systems and processes. The court dismissed the proceeding and rejected ASIC’s argument that systems and processes need to have a zero percent mistake or failure rate to be adequate. Partner Selina Nutley explains the key points and what you need to know now.