Condo Types and Governance Models Differences, Explained
Explain the differences between phased condominiums and bare land condominiums, focusing on development timelines and registration under the Condominium Property Act.
WHAT YOU'LL LEARN
Phased Condominiums
Bare Land Condominiums
Governance in Phased Condominiums
Governance in Bare Land Condominiums
Criteria for Evaluation
Phased Condominiums
Definition
According to the Condominium Property Act, a phased condominium is a development registered in stages, where subsequent phases are added to the original condominium plan over time.
Disclosure Statement
The Condominium Property Regulation requires developers of phased condominiums to submit a Phased Development Disclosure Statement. This statement must include:
A detailed plan for each phase of the development.
Anticipated timelines for completion of all phases.
The effect of each phase on common property, shared facilities, and contributions to the condominium corporation.
Registration
Each phase must be registered separately under the Land Titles Act, with updates to the condominium plan to reflect the additions. New units or changes to common property are noted in the updated plan.
Bare Land Condominiums
Definition
As per the Condominium Property Act, bare land condominiums consist of individually owned lots, where the boundaries of the unit are defined by land markers rather than physical structures. Example: A detached house within a bare land condominium plan is a separate unit, while the roads and green spaces are common property.
Key Differences
As per the Condominium Property Act, bare land condominiums consist of individually owned lots, where the boundaries of the unit are defined by land markers rather than physical structures. Example: A detached house within a bare land condominium plan is a separate unit, while the roads and green spaces are common property.
Boundaries: In bare land condominiums, the boundaries of the units are defined by survey plans, not walls or floors as in conventional condominiums.
Maintenance Responsibilities: Owners are typically responsible for maintaining their lot (land and any structures on it), while the corporation maintains common areas.
Critique governance models of various condominium types, considering factors such as owner involvement, board decision-making, and dispute resolution mechanisms.
Governance in Phased Condominiums
Owner Involvement: In phased developments, early owners may bear higher costs for common property until subsequent phases are completed. According to the Condominium Property Regulation, developers must clearly explain this in the disclosure statement.
Board Challenges: Boards face complexity in managing shared facilities that grow with each phase. Decision-making authority might need to adapt as new phases are registered, requiring ongoing revisions to bylaws.
Governance in Bare Land Condominiums
Owner Involvement: Bare land condominium owners are typically more independent in managing their individual lots but still must adhere to bylaws regarding common property use, such as roadways or community spaces.
Dispute Resolution: Disputes often arise over maintenance of shared infrastructure, such as roads. The Condominium Property Act provides a framework for resolving disputes through mediation, arbitration, or court applications.
Criteria for Evaluation
Owner Involvement: Does the governance structure promote fair representation for all Definitions, Structures, and Ownership owners?
Board Decision-Making: How effectively does the board allocate resources across shared facilities, particularly as new phases are added?
Dispute Resolution: Does the governance model provide a clear and effective process for addressing disputes?
Case Study
Review the governance of a phased condominium corporation where owners in the first phase feel they are unfairly paying for the construction of common property intended for future phases.
Evaluation Task
Identify the governance shortcomings in this scenario and propose strategies for improvement, referencing the Condominium Property Act and the Condominium Property Regulation.
