We understand that the Insurance Council of New Zealand is seeking judicial review of the decision by the Christchurch City Council to adopt its Earthquake Prone Dangerous and Insanitary Buildings Policy 2010.
In early December we will run our first webinar of the Property Developer Webinar Series. It is free and will take place on Wednesday 5 December at 12:30pm. It will be of interest to those involved with management rights – primarily developers, current managers or possible purchasers of management rights.
The Department of Building and Housing has published a Unit Titles Amendment Bill consultation document dated 20 November 2012. They are seeking views on some proposed amendments to the Act and Regulations. Written submissions are due by 1 February 2013.
Buller District Council and Swordfish Co Limited, a property developer, have been before the High Court a couple of times debating whether or not the council owes a duty to take reasonable care in issuing its s224 certificates and registering consent notices.
The Auckland High Court recently considered an application from Lihua Limited, against Body Corporate 366611, Theta Management Limited and BCS Limited.
On 11 October 2012 the Supreme Court held that council owe a new duty of care. It has come about from the litigation about the Spencer on Byron development, which is leaky. The court by a 4-1 majority has held that the Court of Appeal was wrong to allow the strike out of the claim against council.
A recent proliferation of webinars on the new agreement for sale and purchase and GST has raised some interesting points. Zero rating will still apply to the sale of a taxable supply but the sale and purchase of land now requires the parties to examine their GST positions and determine whether the transaction is compulsorily zero rated.
The government’s measures to increase their tax take through the targeting of the property industry looks set to continue. First we had the erosion of depreciation, followed by the changes to loss attributing qualifying companies. Now the government is proposing to change the way it taxes lease inducement payments.
Fee simple ownership is true exclusive ownership and possession of the land and buildings on it. It’s ownership of what is below and above the ground (as is reasonable). Yes, others do get a say – for example the neighbours might have a say over fences; Council in terms of compliance with the District Plan or the Building Code and there are all sorts of other legal rules that impact your ownership – trespass, nuisance etc. But it’s as good as it gets.
We have set out below a short summary of the changes in the new 9th edition. There are some changes specific to unit titles and commercial transactions, which we cover separately. The first section is potentially relevant to all agreements. There is a lot to take in. Some of the changes assist vendors, and some purchasers, so the agreement remains appropriately balanced between the interests of the parties.
By 1 October 2012 new body corporate operational rules are required under the Unit Titles Act 2010. Most bodies corporate have started to prepare replacement rules.
For the first time in a very long while pre-sale contracts for residential properties are hitting the market. Residential developers and their banks have been keeping a low profile these last few years but things are beginning to change.