Sectional Titles

When clusters lose lustre

According to Johannesburg property lawyer Karen Bleijs of Biccari Bollo Mariano Attorneys, the absence of specific legislation for cluster developments and those that are part cluster-part Sectional Title "leaves little protection for owners when things go wrong". They are not necessarily better than sectional title schemes despite the absence of difficult owners on a body corporate.

Some common problems experienced by cluster development owners include:

  • Badly structured on non existing Home Owners' Association (HOA).
  • No clause in the offer to purchase binding the owner to the HOA.
  • Rules they don't like.
  • Disappearing developers - an incomplete development when the developer goes into liquidation.
  • Owners doing their own thing - blatant disregard for architectural guidelines.
Proper planning by the developer combined with expert legal advice cannot be overemphasised when purchasing a home in a cluster development, an article which graphically shows the problems of such developments can be found at El Dorado loses its allure.

Article on Moneyweb

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