Thinking Inside the Box

A Paddocks Sectional Title Lifestyle Blog

You are EXCLUSIVELY invited…

marcos-luiz-photograph-292744-unsplashBy Zerlinda van der Merwe

In our consulting department, it is a fact, proven over and over again, that exclusive use areas are one of the most misunderstood legal concepts in sectional title schemes, even though most schemes have exclusive use areas.

As an owner in a sectional title scheme, do you have access to, and use of:

  • a balcony;
  • a patio;
  • a terrace;
  • a courtyard;
  • a garden;
  • a parking bay; or
  • a storeroom?

If you do, then we invite you to join us at our half-day UCT Exclusive Use Areas in Sectional Title Schemes workshop, that will cover all the key issues relating to exclusive use areas in sectional title schemes.

The workshop is also aimed at trustees, who are the elected representatives of the owners in a sectional title scheme, and are responsible for doing all things reasonably necessary for the enforcement of the rules and for the control, management and administration of the common property.

Unfortunately, trustees, like owners, often have little or no understanding of the extensive legal requirements involved in the creation or registration of exclusive use areas, its legal nature, physical and financial responsibilities.

If you are an owner, trustee, employee or the appointed managing agent of a body corporate, or an estate agent specialising in the sales of units in sectional title developments, we urge you to download the information pack and register for the next 2018 workshop.

As an introduction to what we will be talking about in the workshop, let’s take a look at exclusive use areas, either registered, or created in terms of rules, in sectional title schemes.

How is an exclusive use area registered?

In terms of section 27 of the Sectional Titles Act 95 of 1986 (“the STA”), the developer, when making application for the opening of a sectional title register, and the registration of the sectional plan, may impose a condition by which the right to the exclusive use of a part of the common property, set out for this purpose on the sectional plan, is granted to the owner of the section.

The developer cedes the right to the exclusive use of a part of the common property to the owner of a unit within the scheme by the registration of a notarial deed in the favour of the owner. Should a developer cease to be a member of the body corporate before the cession of this right, the right to an exclusive use area still registered in the name of the developer, will vest in the body corporate free from any obligation, such as a mortgage bond.

Should the body corporate wish to delineate and register the rights of exclusive use, the members of the body corporate will need to authorise the process by passing a unanimous resolution. The body corporate may then instruct an architect or land surveyor to apply to the Surveyor-General for the delineation on the amending sectional plan of extension, of a part of the common property for the exclusive use by the owner of a section. The body corporate will transfer this right by the registration of a notarial deed. This registered right to an exclusive use area is deemed to be a real right to immovable property, which can be transferred or bonded.

How is an exclusive use area created in terms of rules?

In terms of section 10(7) of the Sectional Titles Schemes Management Act 8 of 2011 (“the STSMA”), a developer or the body corporate may make management or conduct rules which grant rights of exclusive use and enjoyment of parts of the common property to members of the body corporate.

In terms of section 10(8) of the STSMA, these rules will include a layout plan to scale, on which it is clearly indicated, the locality of the distinctively numbered exclusive use areas, and the purpose for which these exclusive use areas may be used. A schedule will also be included, indicating to which owner the exclusive use area is allocated.

The management or conduct rules, along with the layout plan and schedule of allocation, once approved by the members via special or unanimous resolution, must be submitted to the Community Schemes Ombud Service for examination and approval, and will only come into operation on the date of such approval.

Are contributions payable on exclusive use areas?

In terms of section 3(1)(c) of the STSMA, the trustees of the body corporate must require that the owner of a section, entitled to the right of exclusive use of a part of the common property, whether such a right is registered or conferred by the body corporate rules, to make an additional contribution to the body corporate’s administrative fund as estimated necessary to defray the costs associated to that area of common property.

Who is responsible to maintain exclusive use areas?

In terms of section 3(1)(l) of the STSMA, the body corporate is responsible to maintain the common property, including exclusive use areas, in a state of good and serviceable repair. Whereas, in terms of section 13(1)(c) of the STSMA, an owner must just keep their exclusive use area in a clean and neat condition.  

If you are interested in attending the workshop, or wish to arrange a consultation with presenter, Zerlinda van der Merwe, contact us at Paddocks on 021 686 3950 or at info@paddocks.co.za.

WORKSHOP DETAILS:

REGISTER BY:

CPT – 13 April 2018
JHB – 3 August 2018

WORKSHOP DATE:

CPT – 25 April 2018
JHB – 17 August 2018

WORKSHOP FEE:

CPT – R1,500
JHB – R2,500

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This entry was posted on March 14, 2018 by in eua, EUA workshop, Exclusive Use Area, Online education, sectional title scheme management.

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