The Beginner’s Guide to Owners Corporations

If you’ve ever looked at buying an apartment, unit, or townhouse, you’ve likely noticed an annual fee paid to an owners corporation (also known as “body corporate”). For many buyers, this is the first introduction to shared-property living—where common areas are managed collectively and ongoing fees support maintenance and compliance. This guide breaks down what an owners corporation is, who’s involved, and what fees you can expect.

What is an owners corporation?

An owners corporation (formerly called body corporate) is the body responsible for managing common property within an apartment complex or block of units. Common property is usually defined in the contract/plan for the development and typically includes shared areas such as foyers, stairwells, driveways, and facilities like gyms or other communal spaces. 

The owners corporation is responsible for keeping common property maintained to appropriate living standards and compliant with local regulatory requirements. It can also set rules for how shared areas are used—meaning it may affect what residents can and can’t do within the development. 

Who are the members of an owners corporation?

An owners corporation is essentially made up of the lot owners—people who hold a strata title within the development. When you buy into an owners corporation property, you own your lot and share ownership responsibilities for the common property with other lot owners.

How does the owners corporation committee work?

Lot owners can choose to become more involved through the owners corporation committee, which represents the property and helps manage day-to-day requirements. Committee members are elected by lot owners, typically at the annual general meeting.

If a development has 13 or more lots, a committee must be elected. If there are fewer than 13 lots, a committee is optional. Committees generally have 3 to 12 members, including roles such as chairperson and secretary. Committees can also vote to add members or remove members through the appropriate meeting processes. 

What is a strata title?

“Strata title” is often confused with an owners corporation, but they are not the same thing. A strata title is the legal title that confirms you own a portion of the overall property (your lot) and have shared ownership relating to the common property. The owners corporation, on the other hand, is the managing body responsible for administering that shared property and obligations.

What are owners corporation fees?

When you purchase a lot in an owners corporation property, you typically pay levies to cover shared costs. Common levy types include:

• Administration levy: Covers recurring operational costs such as insurance, utilities, and general upkeep.

• Sinking fund levy: A reserve fund built over time to cover larger or urgent works, such as structural repairs.

• Special purpose levy: Raised for unusual or major events—such as significant structural works or legal matters involving the owners corporation.

Need support before you build or renovate?

Buying into an owners corporation can feel complex because it introduces shared rules, shared costs, and shared decision-making that don’t exist with standalone properties. If you’re planning to renovate or build within an owners corporation environment, it’s important to understand the implications early and ensure your scope and costs are properly mapped before proceeding.