Key reforms to Queensland body corporate laws

By Luke Hefferan

The Palaszczuk Government yesterday announced key reforms to body corporate and community title laws in Queensland which aim to make it easier to sell and redevelop ageing or rundown community titles schemes, as well as new protections for buyers and lot owners.

Here’s a quick summary of key changes proposed in the Body Corporate and Community Management and Other Legislation Amendment Bill.

Termination of a strata scheme

The current requirement for unanimous consent from all lot owners to terminate a scheme will be reduced to require only 75 percent to vote in favour, subject to meeting certain conditions.

Some of these conditions include –

  • determining it is not economically viable either now or within five years to carry out adequate repairs to the building (as determined by a professional report), and
  • preparing a termination plan which outlines the arrangements to terminate the scheme as well as confirming minimum compensation amounts for the lot owners.

Termination under sunset clauses

The Bill intends to bring Queensland in line with the southern states in respect of sunset clauses in off the plan contracts.

Currently, either party can terminate a contract without penalty if settlement has not occurred by the sunset date. However, the Bill intends to limit the circumstances where a developer can terminate and require the developer obtain either –

  • the consent of the buyer (acting reasonably), or
  • an order from the Supreme Court allowing the termination.

Other key changes

Some other practical changes proposed in the Bill relate to permitting by-laws to prevent smoking on common property and balconies as well as invalidating by-laws which prohibit owners or occupiers keeping pets in their lots, except in specific circumstances.

How can we help?

While the ultimate legislative changes are yet to be seen, our Real Estate lawyers can answer your questions about any intended sale or purchase of lots in a community title scheme and how these proposed changes may affect your ownership or development of those lots in the future.


Kristy Dorney

Kristy has over 20 years' experience in leasing, development, and construction law.

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