STP-17 Termination of a Strata/Survey-Strata Scheme
Version 1 – 04/01/2018
1 Termination of a Strata Scheme (formerly section 21.1 of the practice manual)
A strata scheme can be terminated by unanimous resolution. The effect of the termination is to revert to the original land parcel with a title being issued in the names of all of the registered proprietors as tenants in common in shares proportional to their unit entitlement.
Easements created between strata lots inside the scheme and by-laws, etc. will terminate at the same time as the registration of the STGR Form 15. Easements in gross and easements entered into by the strata company with parcels outside the scheme or, previously registered easements carry forward and are registered on the new title.
Where a strata scheme is to be terminated a new deposited plan depicting the parent parcel as a whole lot must be lodged if that parent parcel is not a whole lot or have a unique parcel identifier. The plan must show all subsisting interests of a spatial nature and in such cases a schedule of interests and notifications must be included. A CSD file must be lodged with the deposited plan.
2 Termination by Unanimous Resolution (formerly section 21.2 of the practice manual)
The registered proprietors of lots in a strata scheme may resolve by unanimous resolution that the strata scheme be terminated. Where the parcel is not to be transferred, a TLA Form A5 signed by the strata company is required and must be supported by:
- a Notification of Termination of a scheme (STGR Form 15)
- the (unencumbered) duplicate certificates of title if any for each of the strata lots.
The Registrar of Titles will terminate (cancel) the Strata Plan and a title will be created and registered for the parcel, in the name of all the proprietors as tenants in common in undivided shares proportional to the unit entitlements of their respective lots. The land description reverts to the underlying freehold parcel.
Where the whole of the parcel is to be transferred, the lot proprietors may by unanimous resolution direct the strata company to execute the transfer. The transfer is prepared in the name of the strata company as the transferor and must be supported by:
- a Notification of Termination of a scheme (STGR Form 15)
- a certificate of the strata company (STGR Form 14)
- the unencumbered duplicate certificates of title (if any) for the strata lots.
Upon registration of the transfer, the Strata Plan is cancelled, and a new title is created and registered in the name of the transferee in respect of the land transferred.
If only part of the underlying parcel is being transferred the transfer process must be supported by a new Deposited Plan. This Plan must show a Lot or Lots for the land being transferred and a Lot for the land to be retained by the Strata Lot owners. An application on a TLA Form A6 for a balance title must be lodged simultaneously with the transfer. This application must be in the name of all the lot proprietors.
3 Variation upon Damage or Destruction (formerly section 21.3 of the practice manual)
Where a building is damaged or destroyed, the District Court may, on application by either the strata company, a proprietor or a registered mortgagee of a lot, make an order terminating the scheme. On receipt of an application on a duly executed TLA Form A5 together with a copy of the order, the Registrar of Titles will make the appropriate entry on the Strata Plan. The effect of the entry is the same as provided in the STA for termination of strata schemes (section 30) and survey-strata schemes (section 30A).
For a variation upon taking of part of the land in the parcel, see STP-16 On Compulsory Acquisition sections 1 and 2.
4 Termination by Taking of the Whole of the Parcel (formerly section 21.4 of the practice manual)
Land may be taken from a strata scheme under the provisions of Part 9 of the Land Administration Act, 1997 (replacing similar provisions in the Public Works Act 1902, 1902).
Under section 29C of the STA, the Governor may, in an appropriate notice, declare that the strata scheme is terminated. The Registrar of Titles will register the land in the parcel in the name of the Crown or other authority in which the land has vested under the notice.
5 Termination by Order of District Court (formerly section 21.5 of the practice manual)
The District Court may, on the application of the strata company or a proprietor or registered mortgagee of a lot within a scheme, make an order terminating a strata/survey-strata scheme. If an Order is made terminating the scheme, the strata company must register the Order by the lodgement of an application on a TLA Form A5 executed by the strata company that is accompanied by a copy of the Order of the District Court.
The Registrar of Titles will cancel the Strata Plan and a title will be created and registered for the parcel, in the name of all the proprietors as tenants in common in undivided shares proportional to the unit entitlements of their respective lots.
6 Termination of a Survey-Strata Scheme (formerly section 21.6 of the practice manual)
While there may be certain advantages being an owner in a Survey-Strata Scheme as opposed to a Strata Scheme, Survey-Strata Lot owners are faced with a different set of rules when they resolve to terminate their scheme. Unlike Strata schemes where the unit entitlement is based on capital value, the unit entitlement for Survey-Strata schemes is based on site value and may be further complicated by the existence of Common Property Lots.
A duly convened meeting of the Strata Company must be held, and unanimous resolution passed in order to terminate. Survey-Strata Schemes can only be terminated with the consent of the WAPC under section 30A (2) (b) of the STA.
Where it is intended to convert Survey-Strata Lots to Freehold Lots by termination a Form 15 is registered together with a certificate by the WAPC consenting to termination. This is a rare occurrence; however, the process must be supported by a Deposited Plan with the purpose of “Conversion” and signed by a Licensed Surveyor eligible to lodge plans at Landgate.
If no Field Book was lodged to support the Survey-Strata Plan to be terminated, a re-survey will be necessary, and a Field Book for that Survey must be lodged. The “Conversion” plan must retain the same Lot numbers as depicted on the Survey-Strata Plan with Common Property Lots being amended by removing the “CP” prefix. The following notation must be endorsed on the Conversion Plan:
“CREATED FOR ISSUING OF CERTIFICATES OF TITLE UNDER THE TRANSFER OF LAND ACT 1893 AND THE STRATA TITLES ACT 1985 FOLLOWING TERMINATION OF SURVEY-STRATA PLAN ______________. BY APPLICATION ______________”
Certificates of Title under TLA will:
- Then issue for each former Survey-Strata Lot.
- Not issue for the common property Lots until a transfer under section 30A (4) of the Strata Titles Act 1985 is registered.
In most cases it is intended to terminate a Survey-Strata Scheme and proceed with a new development or convert the Lots in the Scheme back to what was the original parcel. Landgate requirements are as follows:
- Lodgement of a new Deposited Plan with purpose “Subdivision” depicting the proposed re-development.
- A new Field Book to support the new subdivision or where it is proposed to amalgamate the Survey-Strata Lots into the previously surveyed freehold parcel, no Field Book is required and the Deposited Plan may be “compiled” from original survey information. Approval of the Deposited Plan by the WAPC.
- Lodgement of an application for the new Title(s) the subject of the new Deposited Plan together with a Form 15 of the STGR and a certificate by the WAPC consenting to the termination of the Survey-Strata Scheme.
Surveyors should clearly indicate on their “Surveyors Report” the intention of the Plan. A “conversion” plan must still precede the plan of “Subdivision” however this “conversion” Deposited Plan can be created by a Landgate auditor provided the Surveyor pre-allocates a Deposited Plan number for that plan (see Plan Example 43).
Landgate will create a simplified “Conversion” Deposited Plan from the survey form of the Survey-Strata Plan as follows:
- by assigning a pre-allocated Deposited Plan number to a copy of the existing Survey-Strata Plan form.
- by adding in brackets, under the Common Property Lot numbers on the copy of the Survey-Strata Plan form the same Lot number, but without the “CP” prefix.
- by adding the following notation:
“DEPOSITED PLAN ______________ CREATED FOR ISSSUING OF CERTIFICATES OF TITLE UNDER THE TRANSFER OF LAND ACT 1893 IN LIEU OF UNDER THE TRANSFER OF LAND ACT 1893 AND THE STRATA TITLES ACT 1985 FOLLOWING TERMINATION OF SURVEY-STRATA PLAN ______________ BY APPLICATION ______________ PRIOR TO ISSUE OF CERTIFICATES OF TITLE THE SUBJECT OF DEPOSITED PLAN ______________ BY APPLICATION ______________ ”
Surveyors should note that only the Deposited Plan marked with the purpose “Subdivision” is to be endorsed by the WAPC.
The registration process is to lodge the “Notification of Termination of a Scheme” document (see Form 15 of the STA) simultaneously with the appropriate transfer(s) document for the former Common Property Lot(s) under section 30A(4) of the STA and the Application to register the “Subdivision” Deposited Plan. Where the former Survey-Strata Lots are not in a single proprietorship appropriate Transfer documents are also required to effect the required ownership of the Lots on the “Subdivision” Deposited Plan.
Easements created on a Survey-Strata Plan under Regulations 14E to 14I of the STGR will automatically be discharged on the termination of a scheme in which it has effect. See section 5F (1) (a) of the STA. These easements cannot be brought forward onto a Conversion Plan or a Deposited Plan marked with the purpose “Subdivision”.
Easements created under section 167 of the P & D Act (formerly section 27A of the TP&D ACT) may be brought forward onto the new Deposited Plans however should they no longer be required they must be “Extinguished” by an Application prior to the registration of a Notification of Termination.
Similarly, easements created under section 136C of the TLA may be brought forward provided they are not between lots within the scheme, in which case they must be “Discharged” by application under section 136J of the TLA.
Easements created by document follow the same procedures and where necessary are to be surrendered by application. All existing easements affecting a Survey-Strata must be given careful consideration when the termination option is adopted.