Victorian Consumer Affairs Minister Nick Staikos announced on June 13 that an independent expert panel would carry out the review to ensure it was working fairly and efficiently, and in the interests of lot owners and residents in strata developments.
The panel will examine stakeholder concerns related to owners corporations, including hardship arrangements for lot owners who are experiencing difficulty paying fees, as well as voting requirements among lot owners.
“Significant reforms were made to laws in 2021 to better reflect the needs of Victorians living in apartments and other owners corporations properties — this expert panel will ensure those reforms are strengthened and improved even further,” Mr Staikos said.
Unethical management conduct, including dishonest business practices, unfair contracts, conflicts of interest and inappropriate commissions or ‘kickbacks’, will all be reviewed.
The current threshold stating that common property owned by an owners corporation can only be sold if all lot owners agree will be considered for appropriateness, while the review will also look at whether amendments made in 2019 to the act — to help manage bad behaviour in short-stay accommodation — are working effectively.
“One in four Victorians live in a property managed by an owners corporation — this review will ensure their needs and quality of life continue to be protected,” Mr Staikos said.
“The expert panel will also review provisions in the OC Act that regulate short stay accommodation in strata developments, helping to deliver essential protections for apartment residents.”
The panel will consult the Victorian community, including those living in owners corporations, and other stakeholders to inform its report.
Consultation will occur through Engage Victoria and start later this year.
The panel will also consider other methods for the community to engage with the review.
The chairperson of the expert panel is former consumer affairs minister Marsha Thomson. The other two members are yet to be announced.
The panel will provide a report to the Mr Staikos by December.
