Thinking Inside the Box

A Paddocks Sectional Title Lifestyle Blog

Authorising Luxurious and Non-Luxurious Improvements to Common Property

luxurious and non-luxurious improvements

By Jennifer Paddock

Prescribed Management Rule 33 provides different procedures and consent levels for authorizing luxurious and non-luxurious improvements to the common property in a sectional title scheme.

 

Luxurious improvements:

May only be effected or removed by the trustees if they are authorized by unanimous resolution of the body corporate. (If you’d like to know how to properly pass a unanimous resolution, I’ve written about it here)

 

Non-luxurious improvements:

An intended non-luxurious improvement to the common property may only be effected or removed by the trustees if they follow the procedure below:

1. They must give written notice to all owners indicating their intention to proceed with or remove the intended improvement after 30 days (from the date of posting). This notice must also set out:

  • Costs of effecting or removing the improvement
  • How it will be financed and the effect on levies paid by owners
  • The need, desirability and effect of the improvement or removal thereof

2. If, within the 30 day period, any owner requests a special general meeting in order to discuss the proposal the trustees must call a SGM.

  • If a SGM is requested and called the trustees may not proceed with the improvement or removal thereof unless at the SGM it is authorized by a special resolution. (If you’d like to know how to properly pass a special resolution, I’ve written about that here)

3. If no meeting is requested within the 30 day period the trustees are then free to proceed with the improvement or removal thereof as detailed in their previous notice sent out to all owners.

 

You might be wondering what types of improvements are considered luxurious and what types are considered non-luxurious in nature.

Stay tuned as I will be dealing with that in my Next Blog Post…

 

Advertisements

4 comments on “Authorising Luxurious and Non-Luxurious Improvements to Common Property

  1. Dennis
    January 27, 2017

    If you have the normal steel balustrade and this needs to be replaced. The trustees want to replace this with more expensive stainless steel and glass.

    Is this a luxurious improvement?

    What percentage of owners need to vote to accept this?

    • Paddocks
      February 9, 2017

      Dear Dennis,

      Thank you for your comment. We are more than happy to help, however we do not give free opinions / advice. Please email us on consulting@paddocks.co.za with regards to your matter, and we can provide you with a no-obligation quote, so that we can assist you.

      Kind regards,
      Paddocks

  2. Pingback: Distinguishing between Luxurious and Non-Luxurious Improvements to Common Property - Jennifer Paddock | UTH

  3. Pingback: Distinguishing between Luxurious and Non-Luxurious Improvements to Common Property | Thinking Inside the Box

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow us on Twitter

Address:

+27 (0)21 686 3950
Mon - Fri
8am - 5pm

Enter your email address to follow this blog and receive notifications of new posts by email.

Join 441 other followers

%d bloggers like this: