Sectional Titles

Renting of common property

Section 17(1) of the Sectional Titles Act ("the Act") says that the body corporate may, only by a unanimous resolution of its members, let part of the common property to an owner/ tenant only. Such a lease is one which -
a) "was entered into for a period of not less than ten years;
b) was entered into for the natural life of the lessee or of any other person
mentioned in the lease; or
c) is renewable from time to time at the will of the lessee indefinitely or for
periods which, together with the first period, amount in all to not less than
10 years".

Even if such a lease was profitable, for example, the erection of advertising banners on the walls of the scheme, it could not be done if the agreement is with an outsider. A degree of flexibility is allowed regarding the length of leasing, in that Section 38(i) of the Act allows the body corporate to "...let a portion of the common property to such owner or occupier by means of a lease other than a lease contemplated in section 17(1)".

The article ends with a discussion of management rule 68 which, in addition to outlining the duties of owners delineated in Section 44, states that "an owner shall not use his section, exclusive use area or any part of the common property, or permit it to be used, in such a manner or for such purpose as shall be injurious to the reputation of the building".

Article on Property24

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