RSS Feed

Body corporate repairs - what do I have to pay for?

Tuesday, April 26, 2016


APIA Ask An ExpertWe own a unit on a fee simple cross lease title.  There are over 20 units in two blocks with an operating body corporate (covering common area, insurance and water bill).  Back in March another unit suffered damage to its roof as well as sustained consequential damages to the ceiling and internal walls.  The  insurance claim lodged by the body corporate had been unsuccessful so the manager is now seeking approval from all owners to proceed with the repairs.  I am aware that I will have to pay my fair share of the roof repair but would I be liable for internal repairs in another unit? 

APIA Ask An Expert


The Memorandum of Lease registered on the cross lease title will record the obligations and requirements of all cross-lease members and sets out how decisions are made. The lease may include restrictions on members, such as:
  • Restrictions on alterations / erection of other buildings
  • Restrictions on leasing the flat
  • Restrictions as to the colours which may be used in repainting the flat
  • Restrictions on keeping pets.
In addition the lease may contain provisions that create obligations of the owners such as:
  • Maintaining the common areas
  • Maintenance obligations on their flat.
  • Property insurance - In some cases individual units and in others, all owners are required to insure under a single policy with each person meeting a proportionate share of the premium.
  • How costs and expenses are allocated which are not the responsibility of any particular owner (common drive way maintenance etc), are usually shared on a "land share" basis irrespective of the comparative value of the flats (ie 1/3 share in the land, you will pay 1/3 of those expenses).
You will need to carefully read the Memorandum of Lease to determine the extent of your liability in the situation described.  I recommend that you review the Lease with the assistance of your lawyer.


Disclaimer - The answer provided above is informational and should not be relied upon as legal advice.  For personalised legal advice, please feel free to contact Duncan King Law or your professional legal advisor directly.                

Kristine King 

Kristine is the director of Duncan King Law.   Born and bread in Auckland, Kristine's 'global education' began at high school when she received an International Scholarship to a prestigious boarding school in Japan.  A year spent in San Francisco working for a Title and Escrow company gave her a grounding in conveyancing practices, before she returned to New Zealand and joined the Wadsworth Ray team in 2004.  Since then she has practiced in a wide range of areas including General Commercial Law, Business Acquisitions and Divestments, Joint Ventures, Commercial Property, Projects and Developments, General Trust Law, Asset Management, and Residential Conveyancing.  

Click here to email Kristine.

Recent Posts


personal growth mortgage worksafe Tribunal case study DTI building cat warren buffett market rent trespass Guest blog subdivision debt enforcement development capital gain partners ring-fencing equity advice house prices insurance Q&A damage wealth creation rta television tenancy tribunal TCIT business skill shortage sale and purchas sale and purchase housing bubble interest only meth contamination robert kiyosaki principal and interest LIM management relationship sublease HHGA Question and answer bond form smoke alarm data security first home buying property value ventilation tenancy issues rental market parry v inglis short-term rental renovation negotiation Investor story investor buying rules cgt insulation rental wof ird positive cash flow airbnb interest rates How to nzpif p lab buyer's agent letting investment strategy property management housing affordability beginner investor boarding house property maintenance Standards New Zealand wins HSWA shower dome Market report financial advisers act off the plan bond heating government tenancy services income property cycle property rent bad tenant rta reform Editor's Choice minor dwelling trust Landlording letting fee market holiday house winz speculator trademe legal election 2017 landlord cash-flow lvr CoreLogic privacy watercare twg report heater reserve bank education rent increase structure Holler Must knows fixed-term tenancy return Jeff Bezos banking rent arrears unitary plan Must know auckland council tenant maintenance HHS warm up new zealand tax water bill ocr CCC extractor fan auckland Property (Relationships) Act Investment tip inspection buying productivity anz gluckman report finance scotney williams initio asbestos Sponsored post ask an expert Kris Pedersen Mortgages and Insurance clnz


Introducing Our Partners
Principal Sponsor - Kris Pedersen Mortgages & Insurance logo Gold Sponsor - Barfoot & Thompson logo Gold Sponsor - CoreLogic logo Property Apprentice logo Keith Hay Homes logo The Insulation Warehouse logo The Renovation Team logo The New Zealand Property Investors' Federation logo
09 360 2376

The Tenancy Practice Service and TPS Credit Control work closely with the Auckland Property Investors' Association. Our vision of bringing helpful resources, documents and high quality services to Auckland Property Investors and Property Managers is shared by APIA, so its a partnership that works well. 

The Auckland Property Investors' Association is a great organisation for those who want access to advice and information from a range of industry experts and partners. 

Mathieu Holt- Managing Director, The Tenancy Practice Service & TPS Credit Control
Through the Association I found the channels and methods to fund the purchase of property I never dreamed about. Grant Brown

All round it has been one of those things Neil and I felt was really worthwhile belonging to. We have learned so much it has just built our confidence in what we are doing.

Janice Bieleski
I read two articles in the monthly magazine that saved me over $5,000. That is my membership fee for the next 26 years and I am sure I will learn a whole lot more! John Duncan
Fantastic organisation. The networking opportunities are brilliant and provide us with information and opportunities that cannot be obtained anywhere else. We learn something new at every meeting and we've been in this game for nearly 20 years. Pauline and Gyanen Kumar

I find the information obtained from various APIA meetings very useful in guiding my own property investment and rental management.  I also enjoy the networking opportunities with like-minded investors.  I am inspired by other investors’ success and find the more experiences and knowledge that I share with others, the more confident I become.  

Thanks to all APIA event organizers and administrators for your brilliant work. 

Stella Shao

I like talking to people and learning from their experience because it gives me the confidence to invest well. I think it is a knowledge thing. I now know I am doing things the right way.

Stephen Weatherall

My APIA membership has become a total success.

Every time I attend a monthly or regional meeting I come away with so many useful and positive tips that have added value to my property investments and management.

Not only that, the website is a great place for practical advice and useful information. It has now evolved into an important resource for my business.

Talk about value for money! The discounts I have been getting at Bunnings when I present my APIA membership card have more than paid for my annual subscription!

Tim Duffett, Plan A Investments Limited