Vancouver Real Estate Blog

Proposed Changes to Strata Property Act May Improve Owners' Disputes

On March 23, 2009, the provincial government introduced Bill 12 - the Strata Property Amendment Act, 2009, which if brought into force may significantly change the way arbitrations and other strata-related disputes are resolved. 

The amendments require that strata corporations establish a process for the voluntary resolution of disputes among owners, tenants and the strata corporation (or any combination of them). The voluntary dispute resolution process must include detailed dispute resolution procedures.

The amendments also allow the government to establish regulations governing what are called Section 177 disputes. Those are disputes that involve:

• the interpretation of the Act, the regulations, the bylaws or rules;
• the common property or common assets; 
• the use or enjoyment of a strata lot; 
• money owing under the Act, the bylaws or the rules; 
• an action or threatened action by, or decision of, the strata corporation; or 
• the exercise of voting rights by a person who holds 50% or more of the votes at an annual or special general meeting.  

The regulations that may be established by the government will likely involve setting out when a mediation or arbitration must occur; who must participate in a mediation or arbitration; the qualifications of a mediator and arbitrator; and the selection of mediators and arbitrators and their rights and powers. There are also likely to be caps on the fees charged by mediators and arbitrators for strata disputes and requirements for confidentiality of strata arbitrations. 

These are welcome changes to the Strata Property Act and if brought in force, will do much to improve the resolution of disputes among strata owners by making them more efficiently and less expensively resolved.

British Columbia Home Sales Increase in February

Residential home sales in British Columbia increased 17% in February 2009, over January 2009, according to the British Columbia Real Estate Association. 47,000 homes were sold in February compared with 40,200 in January. 

BCREA chief economist Cameron Muir said: "it's not surprising that home sales rebounded from January's low level. Reduced home prices and mortgage interest rates have markedly increased affordability with the carrying cost of an average home in the province approaching a three-year low."

Not all the news was positive, however. Year-to-date residential sales on the MLS declined 51% to 5,768 homes compared to the first two months of 2008. Home prices fell on average 11% and sales volume for homes was $2.4 billion, a 56% decrease over 2008.