The body corporate committee proposed using body corporate funds to provide a shower facility…… In my opinion this is not an appropriate use of body corporate funds and I would welcome your thoughts. -Tim, NSW
Our complex is comprised of 15 units, 12 of which are currently being holiday let.
Recently, the body corporate committee proposed using body corporate funds to provide a shower facility. This is for the convenience of interstate guests who have checked out of their accommodation but who wish to shower and change before catching late flights home.
In my opinion this is not an appropriate use of body corporate funds and I would welcome your thoughts.
– Tim, NSW
Answer: Hi Tim,
If the shower was budgeted for in the last AGM and the cost is within the budget, it’s okay for them to go ahead with the shower facility.
On the basis that the property is in NSW, there will be additional processes to go through to add to common property. This means you will have to enact a special resolution at the next annual general meeting (AGM).
It will need to be clear about what’s being added, and cover details of the payments for water usage, as well as repairs and maintenance. It could be inexpensive and a reasonable use of funds. What’s most important is that is has gone through the budget approval section as well as the addition to common property section.
As with all things strata, there’s a bit of bureaucracy to go through. Whether you’re personally in favour of it or not, you must ensure the proper process is followed so it doesn’t get questioned down the track.