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How To Implement A Strata Scheme In Your Business

There are now many businesses that occupy strata scheme-based lots, some as owners, others as tenants. However, in order to properly implement a strata scheme into this field, you need to be aware of all the relevant regulations, rules, and systems that are in place. 

Namely, occupying a strata lot means total compliance with added regulations. We understand just how many rules and laws a business needs to follow in order to actually get their work done. The terms of your lease, government regulation, municipal regulations…  So, basically bylaws, Owners Corporation, all required to actually make some alterations and modifications to common property, as well as to do business that has a tangible, physical impact on you.

Why all this matters

Bylaws regulate your day to day operations, they show exactly what you can and cannot do with your strata scheme. It presents how owners and occupants are to behave here, and it binds the owners, tenants, the owner’s corporation, and tenants of these lots. They regulate any and all matters that affect the management, the operation, and the control of there lots and the common property within strata schemes.

Of course, the core issue here is the different laws and bylaws that regulate strata schemes. Namely, the Strata Schemes Management Act of 1996 regulates strata schemes in the New South Wales area. These same bylaws, this specific act, can restrict the usage of any lots. In other words, you need to check and see if your business operations, if your specific business activities are not going to be restricted by said laws. 

Changes to common property and restrictions

For example, getting something like strata emergency services ready can greatly help and assist your tenants, and may even help out your business. You can get better deals on repairs, faster and cheaper. Namely business often modify their premises, they do fit-outs, or just make enough change so that the office can actually be suitable for their business and business operations. This most often requires some kind of approval from a local authority, most likely a local neighborhood or municipal council. Furthermore, when strata schemes are concerned, you will also need the consent of the owner’s corporation if you want to do any kind of alteration that results in a physical impact on the common property.

In order to implement the proper changes, you will first need the consent of the owner’s corporation when it comes to any proposed development applications. Namely, such applications can only be made by the owner of this property – in this case, the owner’s corporation. Next, namely, you are the owner of the inner surfaces of the walls, floors, and ceilings, but the actual structure is common property. In other words, if any of your alterations will mess up the walls, floors, and ceilings of this structure, you will need to get the approval of the owner’s corporation. But this is standard fare – you need approval and a good plan whether you’re building a vacation home, or simply erecting a small bench in your shared yard.

Furthermore, physical alterations to common property, details on which can be found within section 65A of the Strata Schemes Management Act, require a general meeting of the owner’s corporation to pass a special resolution. This most often includes actually erecting new structures and buildings on the lot.

A quick action plan

First, you need to figure out what the rules are. Then, when you make a proposal for the change, see if there are any laws or bylaws prohibiting changes and modifications. Any alterations that might be proposed need to receive consent from the owner’s corporation. Once you get approval, you will then have to arrange for a special resolution at a general meeting to actually have legal authorization. You will, of course, need to bear the brunt of any of the changes and legal arrangements, but the paperwork will most likely need to be handled by the landlord.


This should cover the basics of how to find a good relationship and tie between your business and your strata schemes. Above all, you need to be well educated on all the laws and bylaws that exist. Once you get that out of the way, you can take proper action and make changes and modifications that suit your needs. Remember to receive consent regularly form the owner's corporation, and you should be fine.

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