15 Jan 2016

New WA strata title law - opportunity for developers

The Western Australian Government has announced its intention to introduce legislation within the next six months to amend the State's Strata Titles Act.

This will have business implications for property developers and financiers involved in residential and mixed use property development projects in WA.

Following an extensive period of industry consultation, the Government has confirmed that the current law will be changed in the following key areas:

  • Two new types of strata title will be introduced: Community Title and Leasehold strata schemes.
  • More flexibility for staged strata development.
  • New information to be given to buyers before they sign a strata purchase contract
  • Streamlined resolution of strata disputes.
  • Enhanced regulation of strata managers.
  • Termination of strata schemes greater than four lots by at least 75% majority of owners.

The new law is designed to support the Government's policy of promoting flexible and sustainable housing options, and to meet higher density living targets in Perth.

The draft legislation is still to be released. However, developers of strata and mixed use projects in WA and their financiers should be planning for the expected changes now. Developers with also have new options for undertaking developments, so now is the time for them to be reviewing their strategy for undertaking:

  • new mixed use residential developments; and
  • redevelopments of existing strata buildings through a collective sale process.


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Clayton Utz communications are intended to provide commentary and general information. They should not be relied upon as legal advice. Formal legal advice should be sought in particular transactions or on matters of interest arising from this communication. Persons listed may not be admitted in all States and Territories.