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A property developer creates a strata scheme but retains ownership of the basement car park while selling individual apartments. Years later, a dispute arises about maintenance responsibilities. Under strata legislation, what is the most likely outcome?

Correct Answer

A) The developer, as owner of the car park lot, is responsible for maintaining it.

If the car park is a lot on the strata plan that the developer kept, the developer owns it like any other lot owner: they maintain the lot, pay levies on it and are bound by the by-laws. It does not become common property. The owners corporation still maintains common property, which may include structural parts such as the slab or external walls, so the plan and by-laws must be checked to see exactly where the boundary lies.

Answer Options
A
The developer, as owner of the car park lot, is responsible for maintaining it.
B
The car park automatically becomes common property once most apartments are sold.
C
Each apartment owner must buy a share in the car park to fund its upkeep.
D
The whole strata scheme is invalid because the developer kept part of the building.

Why This Is the Correct Answer

A car park kept by the developer as a lot is the developer's property. As lot owner, the developer maintains it and pays levies, while the owners corporation stays responsible for any common property within or around it.

Why the Other Options Are Wrong

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Related Topics & Key Terms

Key Terms:

strata schemeretained ownershipdeveloper responsibilitycommon propertymaintenance obligations
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