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ARTICLE · 14 AUGUST 2019

Strata Collective Sale: August 2019 Update

August 2019 marks the issue of the first ever judgment by the NSW Land and Environment Court approving a collective sale under Part 10 of the Strata

AustraliaReal Estate and Construction

Summary

 August 2019 marks the issue of the first ever judgment by the NSW Land and Environment Court approving a collective sale under Part 10 of the Strata Schemes Development Act 2015 (the Act).

Since the Act commenced in November 2016, owners of strata schemes in NSW have had the ability to instigate a sale or redevelopment of their strata scheme (known as a 'strata renewal plan') subject to the approval of 75% or more of lot owners as well as the NSW Land and Environment Court to ensure the strata renewal plan is just and equitable in all circumstances.

In the almost three years since the introduction of the legislation, the existence of the legislation has helped a number of groups achieve collective sales by mutual agreement, however until now no group of owners have successfully navigated the entire court process and received a court order.

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