MyPE

Community Business Directory, Event Listings, News and Views from Gqeberha, Nelson Mandela Bay

Two Levies, Too Late

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In a reversal of stereotypical roles, a reader “interferes” on behalf of his mother-in-law and interrogates our panel about a belated levy payment.

The lady in question lives in a sectional title complex and some time ago had the balcony of her unit enclosed. Now – a full 15 years later – the management company has ruled that an additional levy is payable on this alteration.

Understandably, the reader is upset over this decision as no mention of an extra levy had been made prior to this.

According to Charlotte Vermaak from Chas Everitt in Port Elizabeth, the levy paid by the members of a sectional title scheme provides for the complex’s maintenance and administration costs.

“These expenses relate to the repair, maintenance and replacement of common property. Some examples include painting the exterior walls, taking care of the pool and paying salaries to maintenance staff.”

Vermaak says the participation quota of each unit is used to quantify the sectional owner’s share in the common property and corresponding say in the management of the scheme. “The formula that is used in the Sectional Titles Act is based on the size of a section in relation to the aggregate floor area of all the sections in the scheme.”

A balcony is one of the grey areas that could be considered either part of an owner’s section or part of the common property, whether exclusive or non-exclusive use, says Vermaak. “It is advisable for the reader to go back and examine his in-law’s documentation regarding the ownership of her unit and find out exactly what is included.”

There is little doubt that, if the balcony has always formed part of his mother-in-law’s unit, she should have been paying her levy based on the total area all along, says Rian du Toit from DTS Attorneys in PE.

“In the case of an exclusive-use area, the owner is equally obliged to keep it in good order and maintain it as if it were her own property, either personally or by way of an extra levy for the area.”

Du Toit says it could be the case that the body corporate set the levy in order to make it easier for residents – so that they are no longer directly responsible­ for the maintenance of such an area.

“It may be a good idea to discuss the imposition of this ‘new’ cost with the management company in order to determine the exact reasoning behind it.”

Any decision regarding the calculation and imposition of the levy would have been discussed at the annual general meeting, says Du Toit. “It would be wise to make some enquiries and gain more insight into the decision that was taken before contesting it further.”

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Fullstop

Full Stop Communications is a public relations consultancy in Port Elizabeth in the Eastern Cape of South Africa focusing on media relations and copywriting. We drive regional and national media campaigns in a number of fields, most notably in the property, legal and sports arenas. We also specialise in media monitoring, ghostwriting, editing, translation and advertising. See more articles by Full Stop.