Chapter 2.3: Strata Property + Co-ops Flashcards
There are no “___________” who regulate compliance with the strata legislation
Strata police
Every strata development is ____________
Self-enforcing
___________: designates which parts of property are strata lots and which are common property
Strata plan
In a strata plan, there are 2 big classifications it discerns between, what are these?
1) strata lots
2) common property
Registration and approval of a strata plan creates an estate in ____________ for each individual strata lot
Fee simple
A strata plan cannot be deposited at the ____________________ until the developer has obtained all the required ___________, such as approval from local government authorities
Land title office
“Strata plans “ _________ the building
Subdivide
Common areas in a strata are classified as
Tenants in common
A ______________ is formed by the deposit of a ______________ whose members are the owners of the strata lots in the strata plan
Strata corporation
Strata plan
Collectively, the _________________ are as one entity, once the strata plan has been deposited at the _______________
Group of owners
Land title office
What are the key duties of the strata corporation
100% know this
Manage, maintain, insure, and repair COMMON AREAS
___________________ subdivide land
Bare land strata plans
A ________________ is required by regulation to be identified as such in the strata plan itself
Bare land strata plan
______________ are also known as mini strata corporation
Sections
Think of commercial on the bottom, housing on the top - Zara at Lakestone
___________ have their own executives and are created to represent the owners of specifically identified ___________
Sections
Strata lots
_____________ is the figure used to calculate a strata lot owners contribution to the common expenses
Unit entitlement
The purchasers interest is divided, __________ for strata lots, and ________________ for common property
Fee simple for lots
Tenants in common for common areas / property
How do property taxes work in a strata?
Each strata lot owner must pay his own property taxes plus a share of common property taxes
So strata lots + share of common property taxes
Reminder, the strata corporations only duties are
To manage, maintain, insure, and repair common areas
Common property is considered any property not _____________________
Designated as a strata lot
Strata corporations exercise exclusive control over ___________
Common property
Wording check for questions
When you see “duty to” who is this referring to
Strata corporation
Wording check for questions
When you see “owns” who is this referring to
The actual owner of the lot
Wording check for questions
When you see “power” who is this referring to
Strata council
_____________________ : common property designated for the exclusive use of the owners of one or more strata lot
Limited common property
What is an example of Limited common property (LCP)
You don’t own the parking spot, but you can use it
You don’t own your balcony, but you can use it
What does LCP stand for?
Limited common property
____________________ is a special privilege granted to owners and tenants to exclusively use common property that is not designated as limited common property (LCP)
Short-term exclusive use
Short term exclusive use is not ______________
Limited common property
With short term exclusive use, the strata may NOT grant the permission / privilege for more than ____________
1 year!!!
With Short-term exclusive use, the strata can ________________________
Cancel at any time with reasonable notice
There are 5 duties for the Strata Corporation, I know we already know the duty to manage, maintain, insure, and repair, but expand on those
1) duty to manage
2) duty to repair and maintain
3) duty to insure common assets
4) duty to keep records
5) duty to establish
Duties of Strata Corporation
Duty to manage
Control, manage, and administer the common property
Duties of Strata Corporation
The duty to insure common assets has how much of a limit?
No set amount!
Duties of Strata Corporation
Duty to keep records
Such as minutes, records, budget, and financial statements
Duties of Strata Corporation
Duty to establish
The duty to establish contingency and operating funds
What are the 3 types of funds strata’s have?
1) operating fund
2) contingency fund (CRF)
3) special levies
Operating fund
Common expenses
Used one or more times a year
Interim budget
Contingency / reserve fund (CRF)
These are the big expenses!
Used less than once a year
Special levies
Each owner must pay a portion
There are two types of Strata forms purchasers can obtain about Strata Corporations, what are they?
Information certificate (Form B) Certificate of Payment (Form F)
___________________: a document that informs a buyer of a strata lot whether there is any money owing to the strata corporation in respect to that strata lot
Certificate of Payment (Form F)
A certificate form F is a document that informs buyers of a strata lot where there is __________________ to the strata corporation in respect to a strata lot
Money owing
The information certificate (Form B) contains a whole whack of data, such as?
1) monthly strata fees
2) any amount owing to the strata
3) amount in the contingency reserve fund
4) amendments to the bylaws
5) judgments or orders against the strata corporation
6) storage lockers, parking stalls allocated
7) the most recent depreciation report must be included
8) the current budget
9) the rules of the strata corporation
10) number of strata lots in the strata plan
What are 2 things not in the Information Certificate Form B
Section’s accounts or bylaws
Schedule of Certificate of Title
A simple way to look at a Information Certificate (Form B) is as
Financial stuff
An Information Form B must be provided by the strata corporation in the prescribed form within ______________ of a request by an authorized person
1 month
_______________ enforces it’s bylaws and rules on behalf of strata corporation
Strata council
Strata council =
Power
The ____________ is an executive body which Carrie’s out the activities needed so the Strata Corporation fulfils its duty under the law
Strata council
For the 1st annual meeting through a strata council, they must give ________________________ in advance of every general meeting
20 days written notice
How do special general meetings work? (SGM)
If you have a 20% share in strata it entitles you to call a special general meeting to demand in writing that the strata corporation holds a special general meeting to consider a resolution or other manner
What are others things a strata corporation can do?
- enforce its bylaws and rules
- Crete rules to manage the common property
- prohibit the rental of units
- sue persons against whom the corporation has a legal claim
- remove owner’s rights to use common property
- register for a lien for unpaid strata fees (not fines)
Strata corporation bylaws must be ___________ in the _________________ to be enforceable
Filed
Land title office
A corporation corporation can register a lien for unpaid strata fees, what cannot they do?
File a lien for money owing as a fine
Collect fines by filing liens and forcing the sale of the owners strata lot
A strata council may hire a management council under certain rules, what are they!
1) they can hire someone for dad-to-day responsibilities
2) need 2 months notice to cancel a contract - important
3) can hire management company, but it may only take instructions from the Strata Council
Owner’s remedies to dissatisfaction of Strata
1) May sue strata corporation
2) court May order the appointment of administrator
3) obtain mandatory injunction
4) right to apply to the Supreme Court of BC for an order requiring the strata corporation to comply with the Strata Property Act
What are 2 things owners cannot do to take revenge on Strata’s
1) withhold payment of strata fees
2) File a lien against strata corporation
Every strata must have __________
Bylaws
Only the members can ______ the bylaws
Amend
Which mean make minor changes
________ can regulate the use of strata lord
Bylaws
Bylaws can restrict ____________ and________________
Rentals
Age restrictions
________ are less formal than bylaws and are optional
Rules
Rules are in place for the use, ________, and condition, of __________ and __________
Safety
Common property
Common assets
_________ cannot regulate the use of strata lots
Rules
Only bylaws can
The _______________ allows distinctions to be on the basis of age
Human rights code
How can you change bylaws and rules!
You need 3/4 vote, meaning you need 75% to pass
And these changes must go through the land title office
You have ________ per strata lot
1 vote
There are 2 exemptions to rental restrictions
1) family members - spouse, a parent, child of the owner
2) hardship (severe suffering or privitation)
Bylaws and rules are not enforceable if they contravene the _______________, the regulations, the _________________ or any other law
Strata Property Act
Human Rights Code
Bylaws and rules are not enforceable if they prohibit or restrict the right of an strata lot owner to freely ________, __________ or ___________
Freely sell, lease, mortgage
_______, _________, ________ and ________ much comply with the strata corporations bylaws and rules
Owners, Tenants, occupants, and visitors
A strata council or landlord that attempts to unduly restrict an individuals use of ___________________ may find themselves in contravention of _______________________, such as BC’s Human Rights Code
Medical cannabis
Human rights legislation
Government has not introduced any specific restrictions on strata councils with respect to ___________
Cannabis
The _______________ and licensing act doesn’t make any amendment to the ____________________
Cannabis control
Strata Property Act
Strata condominium vs a co-op. How do they differ!
Strata: fee simple
Co-op: no fee simple (only shares)
Strata: filed in land title office
Co-op: cannot sell their share
Strata: disclosure statement
Co-op - disclosure statement
Strata: easier to sell (and can sell who anyone)
Co-op: board of directors must approve buyer
Strata condominiums components
- fee simple
- filed in Land Title Office
- Disclosure Statement
- Residential Tenancy Act applies to rentals
- Easier to sell - a strata lot owner may sell to whoever they want
Co-ops components
- no fee simple
- cannot sell their interest
- hard to obtain financing
- governed by shareholders’ agreement and cooperative association act
- disclosure statement
- cannot rely on residential tenancy act
- board of directors must approve buyer
What is the one similarity between strata condominiums and co-ops
They both require disclosure statements!
___________ are not limited to buildings that were previously occupied or occupied for a residential purpose
Conversion
What 1st must be done for a developer to get a conversion approval
The developer 1st must obtain approval from municipal council
Where an existing rental building is being converted, the existing tenants are covered by the protection of the _______________________
Residential Tenancy Act
Conversions should be considered when?
3 ways
1) priority of rental over private ownership in the area
2) relocation of tenants
3) life expectancy of the building
Conversion should not be considered when?
1 reason
The potential increase in real property taxes
True or false strata corporations are not responsible for maintaining property insurance on common property
False! They are responsible for that
True or false
Strata corporations do not have to determine the amount of contribution to the contingency reserve fund each year
False - there has to be some sort of amount placed to the side each month
True or false
Strata corporations can keep a list of the names of tenants in their buildings
What should the following is sufficient notice of an AGM?
20 days in written notice
If an age restriction byelaw is passed by a strata corporation, it will apply to all of the current residence of the strate and may require some residence to vacate the strata lots within 90 days of passing the Bill
False!
The grandfather rule comes into play to protect you
When converting an existing building to a strata development…
1) The existing tenants must be relocated by the developer
2) The age and condition of the building is irrelevant
3) The developer must pay the existing tenants moving expenses
4) none of the above statements is true
4) none of the above
