Flat Chat Forum Buying and Selling Current Page

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  • #9746
    brendjca
    Flatchatter

     Hi all,

     

    We currently own two units in the same unit block (both privately owned under the same names). We live in the 2 bedroom/1 carpsace, and rent out our other 1 bedroom/1 carspace.

    We have acquired another car and now really need 2 carspaces. What would be the process (if we can) to allocate the rental property carspace to our 2 bedroom unit? We would concider doing this at the end of the current lease, then possibly selling the rental as a 1 bedroom/0 carspace. Can we do this and what would be involved if so?

Viewing 9 replies - 1 through 9 (of 9 total)
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  • #24230
    Sir Humphrey
    Strataguru

    Quite a few years ago I had a neighbour with two parking spaces and one car. I had two parking spaces and 3 cars. We came to an arrangement whereby I informally rented my neighbour’s spare space. More recently we again had three cars to accommodate and a different neighbour was happy just to let me use their spare space. 

    #24229
    EdwardThirlwall
    Flatchatter

    I think that if you can find a tenant that doesn’t need your carspace, just the apartment unit, then that would be the best solution for your situation. Personally I see a lot of people who use their car lots as extra storage room when they don’t own a car, so maybe you could find a tenant like that?

    #22623
    Anonymous

    Not to sound like a dampener, but that sounds pretty reasonable. Moving the lot over to your existing apartment would technically increase the value since it would be an apartment that has 2 parking spaces now. I don’t think they would be able to do a temporary move of the carpark space too, so definitely it might be worth checking out what the other alternatives may be. Wishing you all the best in finding a good solution though!

    #22459
    brendjca
    Flatchatter
    Chat-starter

    Hi all

    Thanks for the response, yes we have considered renting/leasing a space but felt for the time we plan to live here (many years!) it would be more beneficial financially to transfer the additional space to the one unit.

    The building is 2 years old so I think that the parking allocation permitted under the DA did require a minimum number of spaces averaged between the different unit sizes (1,2 and 3 bedrooms + visitor spaces). I imagine if this is indeed true of the DA we don’t really have any chance at transferring the space…

    If we can transfer – is stamp duty payable on the additional value it is deemed to be worth to the single unit? I see that there are considerable other costs possibly involved as per Whales comments (subdivision, new strata plan etc) and I imagine it may be many more thousands..

    Cheers
    Brendjca

    #22454

    Congratulations on your new car first off. Have you guys thought of finding a garage or alternative storage space near your apartment instead of eating up the unit that belongs to your tenants? OR perhaps you could ask your condominium / apartment manager if there are any other arrangements that would agreeable if they can’t give you their approval for the reallocation of the carspaces. 

    #22447
    Sir Humphrey
    Strataguru

    Is there not a risk also of falling foul of some planning law that might have required that each dwelling be associated with at least one parking space? A condition of building approval for the entire development might have been that there was sufficient parking. I think there is usually a formula of one space per smaller unit and two per larger unit, the definitions of smaller or larger having varied in time and location. 

    #22441
    scotlandx
    Strataguru

    Assuming that the carpark space forms part of the whole lot, i.e. together with the unit, then what has been said applies.

    If the carpark space constituted a separate lot, then it would be relatively easy, as you could simply sell the unit without the carpark.  That kind of scenario can be common for buildings with garages.

    #22439
    Whale
    Flatchatter

    That’s spot-on!

    Whist brendjca can certainly rent the second property without a carspace and use that for the additional car, permanently / officially allocating that carspace to the unit that they occupy would require the consent of their Owners Corporation, and necessitate a Strata Sub-Division involving a re-survey of the Scheme, the production of a revised Strata Title Plan, and a valuation to determine the revised units of entitlement and levies for both Units.

    All that information has to then be submitted to NSW Land & Property (inc the former Land Titles Office) so that the official records can be updated; for a further fee.

    not worth the effort and the expense in my opinion.

    #22433
    tharra
    Flatchatter

    My advice would be to consult a strata lawyer in your state. If musical chairs car spaces are permitted under local council provisions I would imagine the strata process involves changing the unit entitlement of both lots & thus a non trivial exercise.

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