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What is exclusive use, and what are the rights and obligations?

A body corporate is made up of two types of property: lots and common property. Lots are individually owned by lot owners. Common property is owned by the body corporate and is any part of scheme land that isn’t a lot. This means common areas, pools and grounds, and depending on how the scheme is structured, the outside of the buildings, will form part of the common property.


This common property is to be managed and used for the benefit of all lot owners, but there is a way to restrict access to common property to certain lots. This is called exclusive use. An example may be a car parking area. There may be an area outside for visitor parking, but a body corporate might have a secure garage with parking. Exclusive use might be granted over certain parks to certain lots. What are the rights and obligations of exclusive use?


Generally, exclusive use means that just that: exclusive use over common property. The most common example is parking where some areas of the common property are designated exclusive use for parking.



The body corporate’s by-laws may include conditions and obligations of a person who has the benefit of exclusive use. This can include how it may be used, how it must be maintained, how it might be improved, and although other by-laws cannot impose a monetary liability, an exclusive use by-law can regulate how amounts can be recovered.


Unless otherwise stated, usually if someone has exclusive use over part of the common property it is their duty to maintain it, but this depends on the by-laws and circumstances.




 

This article is intended as general information only and should not be relied upon as legal advice. For specific legal advice please contact us here.

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