In simple terms, strata means shared property ownership. You privately own your lot — an apartment, townhouse, unit, car space or storage area — and share ownership or responsibility for common property such as lifts, gardens, driveways, foyers, roofs, external walls and building facilities with the other owners in the scheme.
Strata is a form of property ownership where you privately own your individual lot, such as an apartment, townhouse, unit, car space or storage area, and share ownership or responsibility for common property with the other owners in the scheme. Common property can include shared areas such as lifts, gardens, driveways, foyers, stairwells, roofs, external walls and building facilities. In NSW, a strata scheme is a building or group of buildings divided into lots such as apartments, townhouses or villas.
What does strata mean?
Strata means a property has been divided into individually owned lots and shared areas called common property. The individual lot is owned by one owner, while common property is owned or managed collectively by all owners in the scheme.
Strata is commonly used for apartments, townhouses, units, villas, mixed-use developments and some commercial buildings. It creates a legal framework for managing shared property, collecting levies, making decisions and maintaining the building or shared land.
What do you own in a strata property?
When you buy a strata property, you usually own your private lot and share ownership or responsibility for common property. Common property generally includes any part of the land, building or airspace that is not part of an individual lot. This may include gardens, passages, walls, pathways, driveways, stairs, lifts, foyers and fences.
Who manages a strata scheme?
A strata scheme is managed by the collective group of owners. Depending on the state or territory, this group may be called an owners corporation, body corporate, strata company, community corporation or strata corporation.
Many schemes appoint a professional strata manager to help with administration, meetings, levy notices, records, maintenance coordination, insurance, budgets and compliance.
What is common property in strata?
Common property is the shared part of a strata scheme that is not owned by one individual owner. It may include shared building areas, shared services and structural parts of the property.
Lifts and stairwells
Shared gardens and landscaped areas
Driveways, pathways and foyers
Roofs, external walls and building structure
Shared pipes, wiring and building services
Swimming pools, gyms or shared facilities where applicable
The exact boundary between a private lot and common property depends on the registered strata plan, plan of subdivision, by-laws and the law that applies in that state or territory.
Why does strata exist?
Strata exists because many properties have both private areas and shared infrastructure. For example, one person may own an apartment, but no single owner individually owns the main lift, roof, garden, driveway or shared hallway. Strata creates a legal structure for:
Private ownership of individual lots
Shared management of common property
Collective decision-making by owners
Payment of levies for shared costs
Building maintenance and insurance
Rules or by-laws for owners and residents
Appointment of a strata manager or committee where required
What does a strata manager do?
A strata manager is a professional appointed by the owners corporation, body corporate or strata company to help administer the scheme. The strata manager does not usually own the building or make all decisions alone. Instead, they help the owners carry out the day-to-day management of the scheme.
A strata manager may help with:
Preparing meeting notices and minutes
Issuing levy notices
Maintaining strata records
Coordinating common property repairs
Managing insurance administration
Preparing budgets and financial reports
Helping the scheme follow relevant laws and by-laws
Who pays for common property repairs?
Common property repairs are usually paid for by the owners corporation, body corporate or strata company using levies collected from lot owners.
In general, owners are responsible for maintaining their own lot, while the owners corporation or equivalent body is responsible for maintaining and repairing common property. The exact responsibility can depend on the registered plan, by-laws, state legislation and the nature of the repair.
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Key takeaways
Strata means you own your private lot and share common property with other owners.
Your lot may include an apartment, townhouse, unit, car space or storage area.
Common property may include lifts, gardens, driveways, foyers, roofs, external walls and shared building services.
The owner group may be called an owners corporation, body corporate, strata company, strata corporation or community corporation.
A strata manager may be appointed to help administer the scheme.
Owners usually pay levies to fund shared costs, repairs, insurance and administration.
Rules, responsibilities and terminology vary by state and territory.
Related questions
What is strata in Australia?
Strata is a property ownership structure where you privately own an individual lot and share ownership or responsibility for common property with other owners in the scheme.
What is common property in strata?
Common property is the shared part of a strata scheme that is not owned by one individual lot owner. It may include lifts, gardens, roofs, driveways, stairwells, foyers, external walls and shared building infrastructure.
Who manages a strata property?
A strata property is managed by the collective group of owners, often called an owners corporation, body corporate, strata company or community corporation. A strata manager may also be appointed to assist with administration.
Who pays strata costs?
Lot owners usually pay levies to fund shared costs such as building maintenance, insurance, administration, repairs and common property expenses.
Is strata the same as body corporate?
Not exactly. Strata describes the ownership structure. Body corporate is the name used for the group of owners in some Australian states and territories, such as Queensland, Northern Territory and Tasmania. In NSW, Victoria and ACT, the group is commonly called an owners corporation.
Do I automatically join the owners corporation or body corporate?
Yes. When you buy a lot in a strata scheme, you generally become part of the owners corporation, body corporate, strata company or community corporation automatically.
Can I renovate my strata property?
You may be able to renovate your strata property, but approval may be required depending on the type of work and whether it affects common property, building structure, plumbing, waterproofing, external appearance or by-laws.
Is every apartment in Australia strata?
No. Many apartments are strata titled, but not every apartment uses the same ownership structure. Some may be company title, community title, leasehold, retirement village accommodation, build-to-rent or another arrangement. Buyers should check the title documents and contract before purchasing.