Strata Properties

Question 1

Explain Strata Concept

Answer 1

• Way of subdividing land/buildings into parts for separate ownership with common features
• Each strata owner has fee simple interest in unit
• Tenant in Common interest in common property

EG: Condo buildings

NOTE: Taxed individually on property taxes

Question 2

What happens when Strata Property is Destroyed?

Answer 2

• Ins. claim is distributed based on latest valuation of each unit.

Question 3

How is a Strata Development Created?

Answer 3

• Strata plan filed in L.T.O
• Designates which land is lots and what is common property

Question 4

Explain Unit Entitlement (Strata Fees)

Answer 4

• Amount a strata owner contributes to common expenses of the strata corp.

Question 5

Explain Common Property

Answer 5

• Any property not assigned as lots in a strata complex

Question 6

Strata Corporation

Answer 6

• Consists of individual strata owners once strata plan is deposited in LTO

Question 7

Explain The Responsibilities of Strata Council

Answer 7

Consists of 4 to 7 members elected within unit owners…
Responsibilities consist of….
1. Maintain common property insurance
2. Creation of operating funds for expenses
3. Contingency (Unpredicted expenses) Reserve Fund

NOTE: Not responsible for work required on individual lots

Question 8

Explain Powers of Strata Council

Answer 8

1. Control and Management
2. Register Liens on unpaid expenses (Strata Fees)
3. Remove use of common property for valid reasons

NOTE: Cannot prohibit sale of unit to non-BC resident

Question 9

Comparisons with Co-operative Units

Answer 9

• Easier to finance purchase of Strata Unit, compared to the financing of a Co-op Unit for purchaser

Question 10

What must be considered when converting a building into a Strata?

Answer 10

Municipal Corporation must consider 3 things:
1. Priority of rental accommodation over privately owned housing
2. Re-location of people currently living in building
3. Life expectancy of building

Question 11

Explain Grandfathering

Answer 11

• If a person is practicing a by-law retroactive to any changes being made to that by-law, that person is exempt from the new by-law due to the grandfathering clause

Question 12

Amendment (Changes) to By-Laws

Answer 12

• Council needs 3/4 (75%) of votes to amend by-laws in residential strata’s
• Council needs majority votes to amend by-laws in commercial strata’s

Question 13

Who passes By-Laws and Rules

Answer 13

• Strata corps. pass By-Laws
• Strata council pass rules

NOTE: If conflict, By-laws prevail

Question 14

Explain By-laws and Rules

Answer 14

• Provide for control and management for strata lots and common property
• Cannot be enforced unless filed in LTO

If someone is dissatisfied with decision, they can:
1. Appeal to BC Supreme Court
2. Bring mandatory Injunction (Issued by BC Supreme Court)
3. appoint an arbitrator in residential strata

Question 15

What can you not do when dissatisfied with decision of Strata Council

Answer 15

1. Mark Lien on council
2. Cannot withhold dues