Lease of land for common property or association property

Strata Schemes

Section 25 (1) of the Strata Schemes Development Act 2015 authorises an owners corporation, by special resolution, to accept a lease or sublease, or a transfer of a lease or sublease, of land for the purposes of creating additional common property.

For more information, see Lease of additional common property (strata schemes).

NOTE: For leasehold strata schemes, in addition to the above requirements, the term of the lease or sublease must not expire after the term of the lease for the common property.

Community Schemes

A community, precinct or neighbourhood association may add land to its association property by transfer if:

  • the land is not part of the scheme parcel

  • and the land is contiguous to the scheme parcel and

  • the transfer is registered under the Real Property Act 1900

Section 26 of the Community Land Development Act 2021 authorises an association, to lease land which is not part of the scheme, and is contiguous to the community parcel or precinct parcel for the purpose of adding to the association property.

NOTE: Under section 26 of the Community Land Development Act 2021, a lease also includes a sublease and a leasehold estate or interest acquired by transfer.

For more information, refer to the Registrar General’s Guidelines regarding leases generally, and Lease of additional common property or associated land.

All NSW legislation can be accessed at www.legislation.nsw.gov.au/  

Publication Date: February 2025