Peter Lawlor - Labor for Southport PO Box 340
Chirn Park
Queensland 4215
Tel: 5532 5068
Fax: 5532 0394
email: southport@parliament.qld.gov.au
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Body Corporate Fees

Posted by editor (editor) on Feb 24 2010
2010 >>

Hon. PJ LAWLOR (Southport—ALP) (Minister for Tourism and Fair Trading) (10.11 am): This

year the state government will change the way body corporate fees are decided for Queensland’s more

than 350,000 unit owners. The Body Corporate and Community Management Act 1997 will be changed

so there is a better and fairer system for working out shared costs within apartment complexes or other

community title schemes. This is a much-needed change. The act has a loophole, or at least an

anomaly, which unfairly allows some unit owners to get away with paying less than their fair share of

body corporate fees. The act required all unit owners to contribute equally to the body corporate for

building maintenance et cetera, meaning that a ground-floor, one-bedroom unit or a 26th-floor, fourbedroom

penthouse has to pay the same. Equal is not necessarily equitable.

 

Since the act was introduced in 1997, lot owners could apply to have their lot entitlements and

thus body corporate fees reduced at any time. Penthouse owners can effectively slash their own body

corporate fees, but these costs are merely passed on to the others in the complex so that a ground-floor

studio unit owned by a retiree or a pensioner would be left paying much more than they had budgeted

for when buying the unit—in some cases double—and this has forced many unit owners out of their

homes. The situation needs to be fixed if affordable housing options are to be available to a wide range

of Queenslanders. Essentially, what this will mean is that an owner of a small one-bedroom place on a

lower floor at the back of a unit complex would not be required to contribute as much towards common

expenses as someone with a more expensive place such as a four-bedroom, top-floor apartment with

views.

 

The Queensland government will allow these buildings and complexes which had lot entitlement

adjustments made to revert to their original method of dividing body corporate fees when the plan was

registered. In 2008 consultations were held to hear how the existing lot entitlement system was working

and how it could be improved. Unit owners will now have more certainty about what body corporate fees

they are up for. It is important we adopt the most appropriate rules as they underpin the growth of

apartment living in Queensland, which more people are turning to each year and which is needed to

cater for our rapidly growing population.

Last changed: Feb 24 2010 at 11:51 AM

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