HOW IS LAND DIVIDED?

Subdivision of Lands

the division of land into two or more parcels

-It need not involve “new homes” or the requirement for disclosure

-At common law, the owner of an estate in fee simple had an inherent right to subdivide their parcel of land.

-Briefly, modern subdivisions require regulatory approval. The approving authority is required to decide if the subdivision is in the public interest.

Different ways that land registered in the Land Title Office can be subdivided

1. “traditional”, two dimensional subdivision or reconfigure two lots into threee, with new interior lot lines.

2. could subdivide airspace

The Strata Concept

-allows the subdivision of a building, or sometimes land, into separate parts for individual ownership, together with an ownership interest in the common property

-“strata” and “condominium” are synonymous.

-If a strata plan has been filed, strata lots and common property are created, regardless of the “look” of the building or the marketing terms used.

-Subject to the Strata Property Act, we treat a strata lot in the same way as any parcel of land for which a title is registered in the Land Title Office. For example, for the purposes of assessment for real property taxes, each strata lot, together with the strata lot owner’s share in the common property, is deemed to be a separate parcel of land and is assessed and taxed individually.

-With the purchase of the strata lot, the owner also automatically acquires a proportionate fee simple interest in the common property as a tenant in common with the other owners in the apartment

Common property

any part of a strata plan that is not part of a strata lot, and a variety of service facilities, depending on their location and use

Strata lot

the parts shown on the strata plan that are created for individual ownership

Subdividing a Building

-When the subdivision occurs, the building is subdivided into strata lots, while the underlying land forms part of the common property of the development.

-In other words, the strata lots are created out of the building, not out of the land.

-E.g., the property is subdivided into 18 strata lots together with common property. Each strata lot is equivalent to a separate parcel of land.

Schedule of Unit Entitlement

a table included in the strata plan that sets out each owner’s proportionate interest in the common property. It is often used to calculate a strata lot owner’s share of a strata corporation’s expenses

Conversions

a project in which the developer stratifies a building by subdividing it into strata lots

-A developer who wishes to convert an existing building into a strata development must first obtain the necessary approval from the local municipal council or regional board of the regional district

-If a developer wishes to convert a building occupied by residential tenants, then the Residential Tenancy Act also applies. Once the developer obtains all necessary permits and approvals to convert the building to a strata complex, the developer must comply with the Residential Tenancy Act to terminate the tenancies of existing tenants.

Bare Land Strata Developments

defining characteristic: the stratification of land, rather than a building, into separate parts, some of which are privately owned and some of which are commonly owned.

-If the road, being common property, requires repair, then the strata lot owners are liable for the costs, unlike a “traditional” subdivision where title to the roads vests in the municipality

-Usually, a building scheme governs the development to ensure a uniform appearance among the houses built on the bare land strata lots.

-flexible development tool, allowing developers to use the bare land strata concept to create recreational, commercial and industrial developments.

Air Space Strata Developments

-air space can be subdivided under the Land Title Act in a similar manner to land

-most commonly used in condominium developments, where, for example, the developer wants separate ownership of the residential and commercial components

-one of the advantages of creating a separate air space parcel within a building is that the residential and commercial strata lots are in different strata corporations, with different bylaws, rules and expenses, etc.

-complex agreements necessary for such a development to work efficiently. For example, there will be easements between the separate parcels, dealing with matters such as support, elevators, water and sewer pipes, and “common” facilities.

Mixed Use Strata Developments

Typically, these developments contain residential strata lots with strata lots designed for other uses, like stores or offices.

This would occur where no air space plan has been filed to create separate properties.

Strata Principles

1. A Strata is a Strata: The strata legislation applies to every type of strata development

2. The Strata Scheme is Self-Enforcing

3. Not on Reserves: provincial legislation, which includes the Strata Property Act, does not apply on such lands. If, however, a First Nation has concluded a treaty with British Columbia and Canada, then the Strata Property Act will apply, as the First Nation lands are no longer “reserve” but are owned by the First Nation in fee simple

Owner developer

the person who creates a strata development

Strata Plan

To create a strata development, a developer must first subdivide a building or land into strata lots together with common property. This is done by depositing a document called a “strata plan” at the Land Title Office.

-must show which parts are strata lots available for purchase by individual owners and which portions are common property.

-In the case of a strata plan that subdivides a building, the plan is not normally filed until the building is nearly complete, as the plan must “match” the building

-The regulations require that in the case of a bare land strata development, the strata plan must clearly state next to the approving officer’s signature that it is a bare land strata plan.

-A developer must obtain the required approvals, including approval from the appropriate local government authorities, before depositing a strata plan in the Land Title Office

2 basic types of strata plans

-strata plan: one that subdivides a building

-bare land strata plan: one that subdivides land

Every strata plan must show the following

• a unique registration number (e.g., Strata Plan No. VR 150);

• the boundaries of the land;

• the location of any buildings (except in bare land strata developments);

• a drawing distinguishing the strata lots from one another by numbers or letters in consecutive order;

• the area of each strata lot in square metres;

• a Schedule of Unit Entitlement;

• a Schedule of Voting Rights, if there is at least one non-residential strata lot; and

• any bylaws that differ in any respect from the Standard Bylaws.

A licensee who lists a strata lot for sale must do the following

1. search the title of that strata lot

2. check, among other things, the registered strata plan, any amendments to it, as well as any resolutions affecting the common property.