Owners of cross lease properties face much the same complexities
as owners of unit title properties in that your insurance claim
affects your neighbours as well as you. The difference is that,
unlike unit title properties (where all unit owners are covered by
the same insurance policy taken out by the body corporate), cross
lease properties often feature adjoining properties covered by
different insurance policies.
Cross lease properties usually feature two or more flats built
on one parcel of land, with long term (999 years is common) leases
giving each flat owner the exclusive use of their flat. As an owner
of a cross lease property, you are bound by the terms and
conditions in the lease document registered against your title. The
lease forms used for cross leases are reasonably standard, but
several different forms exist. What applies to one cross lease
development may not apply to another.
