Strata Tip of the Week - Understanding Parking and Storage Designations
This week, we’re revisiting the different ways that parking and storage can be designated within a strata corporation.
1. So, why are Parking and Storage designations important?
It’s important to understand and be able to describe these concepts to consumers, as the rights they have to parking and storage can often impact their purchase decisions.
While buildings that were built in the 90s or earlier often came with more parking stalls and storage lockers than units, today we’re seeing many new strata developments that have less parking stalls and storage lockers than units, making these components that much more important and valuable.
2. Where can I find information about the Parking and Storage?
You can find information about a strata lot’s parking and storage on the Form B. It’s important to also verify this information on the Strata Plan or Parking Plan filed with the Land Title Office, as we’ve come across many Form Bs that provided incorrect information.
3. What are the different ways Parking and Storage can be designated?
When it comes to parking stalls and storage lockers, there are 5 ways you’ll typically see them designated:
It forms part of the Strata Lot
Common Property (the strata council grants permission to an owner to use a spot on a yearly basis, and although unlikely, can change or take the spot away)
Limited Common Property (the owner has exclusive use of a specific spot, and the designation can only be changed if the owners pass a unanimous resolution)
Limited Common Property for a Specific Section (found in sectioned stratas; the residential executive grants permission to use a spot on a yearly basis and (like with a common property spot) can change or take the spot away)
Long Term Lease (the spot is subject to a long term lease associated with the strata lot; a copy of the lease should be obtained from the sellers, as the strata corporation does not usually retain copies)
Long term parking and/or storage leases can have significant implications for both buyers and sellers. Here’s an article from the BCFSA which provides a good example and cautionary note.
That’s it for this week. If you have any suggestions for other topics you’d like us to cover, please let us know