117 Square Metre Wall Sells for $3.04m
Earlier this month a 117-square-metre concrete wall sold for $3.04 million – this wouldn’t have been possible it wasn’t a separate Strata Title. The “property” is located on the side of a 13 storey building near the corner of Flinders and Swanston Street.
Colloquially known as “the wall” it houses a digital billboard that generates an estimated $360,000 in annual advertising revenue.
In the intervening few weeks, the subject of the sale has come up in conversations with clients and real estate agents. The discussion and conversation invariably leads to the question ‘what is a strata lot?‘
So What is a Strata Title Lot?
An Owners Corporation is created upon the registration of a Plan of Subdivision. The Plan specifies and designates the individual lots as well as areas deemed to be common property.
Traditionally a strata lot serves to segment and define the boundaries of an apartment, townhouse, factory, office or car space.
In recent years a handful of property developers have taken an innovative approach to the subdivision process by creating a strata lot on the exterior of a building. This new take on a strata lot has a corresponding Strata Title and can, therefore, be sold and transacted on like other forms of Strata-Titled property.
We recommend that you inspect the Owners Corporation records before entering into a contract on a strata lot. It is best to be fully informed before you buy the strata lot in question.
Time to Re-evaluate the Strata Title Management of Your Building?
Speak to Strata Management Consultants Melbourne – on 1300 917 848 or visit https://www.strataconsultants.com.au/contact-us