Unit Titles

Most people have heard of freehold titles and crosslease titles. A less common form of land ownership is Unit titles. The provision for Unit titles is contained in the Unit Titles Act 2010 and the division of a property under this act creates a number of Principal Units and a number of Accessory Units and the Common land.

Unit titles are frequently created for commercial sites or a complex of small residential dwellings, where there is a significant amount of land or facilities that are jointly used by a number of owners, or in the situation of multistoried buildings with separate individual ownership at different stories. In these situations, the more common form of titles is not appropriate.

 A legal entity called a body corporate is created for the administration of common facilities and the overall management of the complex. A unit title creates individual ownership of a unit (being a dwelling or shop) and any associated area (such as a garage or parking space). The land or facilities used in conjunction with all the owners is held jointly by all the owners.

The Act specifically provides for a development to be undertaken in stages.

Because a division of land under the Unit Titles Act is a form of subdivision, the requirements of the Resource Management Act still apply, and the development will be assessed against the development codes and rules pertaining to subdivision. 

Frequently Asked Questions

What is a Body Corporate?

A Body Corporate is a legal entity created when a property is divided into unit titles. It manages the common areas, facilities, and overall administration of the property or complex.

How is common land handled in a unit title development?

Common land, such as gardens, driveways, or shared facilities, is jointly owned and maintained by all unit owners through the Body Corporate.

Do Unit Title developments need to comply with the Resource Management Act?

Yes. Dividing land under the Unit Titles Act is considered a form of subdivision. Therefore, the development must comply with local development codes, subdivision rules, and other relevant Resource Management Act requirements.

What is a Unit Title?

A Unit Title is a form of property ownership under the Unit Titles Act 2010. It allows individual ownership of a unit (like an apartment or shop) within a larger property while sharing common areas with other owners.