With people insisting on higher standards and a better living environment, developers who lead in master planned residential communities within Australia should consider the use of a Community Titles Scheme over land subdivisions. Riverstone Crossing, Calypso Bay and Ridges Peregian Springs are excellent examples of highly successful schemes.
When owners/investors decide to purchase in a Community Title Scheme, they should be aware that they become part of a strata community that has systems to:
- Maintain the high standards of amenities
- Promote community spirit
- Maximise the value of their property
- Provide aggregated service benefits, and
- Improve their overall lifestyle
These systems and consequential benefits are not available in council operated subdivisions without a Community Title Scheme (CTS). A purchaser considering buying in a normal flat land subdivision often wonders what will happen to the pristine gardens, parks, public areas, and footpaths when the developer sells their last lot.
They express concerns that the standards will drop significantly as the public areas revert to the control of the local authority, which potentially has a negative impact on the amenity and value of homes.
The benefit of Community Title Scheme is these concerns are minimised, if not completely removed.
Land subdivisions can be structured into a body corporate/owners corporation in various ways. They are developed using a Standard Format Plan (SFP) or Plan of Subdivision (POS), which divides the project using lines and monuments on the land. Some land subdivisions also include unit, townhouse or commercial aspects within the site and they participate in the same body corporate/owners corporation.
This provides exit strategies for the developers and leaves a valuable perpetual legacy that is transitioned to the owners.