Owners Hub > Blog >
What is an owners corporation
Published November 16, 2016
A common question with regard to property is what is an Owners Corporation? Learn about what an owners corporation is and what we actually do.
An Owners Corporation (Strata title) is actually an Australian innovation in property law that has been copied around the globe.
Strata title separates parts of a property into lots, (commonly called a unit, apartment or townhouse etc.) and allows individual ownership combined with shared ownership in the shared property (commonly called ‘Common Property’ e.g. foyers, driveways, gardens).
The entity of all lots and common property is called the owners corporation. Therefore the Owners Corporation is the entire group of owners of all lots within that specific property.
An Owners Corporation is also known as body corporate, strata company or community association, depending on your state or territory of residence and the type of scheme, (or how old you are, living through various legislative changes).
Developments that can exist under strata plans can be:
- Mixed use – i.e. retail and/or commercial and/or residential
- Serviced apartments
- Retirement villages
- Caravan parks
The Owners Corporation is responsible for the good management of the Owners Corporation and maintenance of the property.
Within the Owners Corporation, owners can vote on management decisions at an Annual General Meeting (AGM). Between AGM’s, decisions are usually made by a committee of owners who are elected at the AGM.
Managers of the Owners Corporation (appointed by the owners) usually manage the day-to-day financial, maintenance, and other administrative and legislative duties due to the complexity and ever increasing legislative requirements.
Contact Owners First if you would like to find out more about Owners Corporation, or you specific property, as we are more than happy to discuss strata at any time.
A fun strata fact:
Strata title came into being in 1961 (in NSW) and there are now more than 270,000 such schemes across Australia representing over two million lots.