By Judith van der Walt

According to Section 24 of the Sectional Titles Act of 1986 owners who propose to extend the floor areas or boundaries of their sections must obtain special resolutions by the members of the body corporate, authorising them to extend their sections.

The owners do not have an automatic right to extend their sections, similar to the right of owners of freestanding properties to extend their houses subject to local authority consents.

You could argue that the act makes the lives of sectional title owners unduly complicated by imposing the obligation that all extensions must be authorised by special resolutions, but the stipulation has important implications.

As a result of the increase in the floor area or boundaries of a section, the participation quota (PQ) of a section will also increase. The PQ of a residential section is determined by dividing the floor area of the section by the total floor area of all the residential sections in the scheme. In the absence of a rule to the contrary, the PQ of a section determines the proportion in which an owner pays levies. Any increase in the PQ will therefore lead to an increase in the levy amount payable by an owner.

If the necessary special resolution to extend a section was not taken, a land surveyor would not be able to prepare amending sectional plans of extension and a conveyancer will not be in a position to register any amending plans in the relevant deeds registry. Amending sectional plans of extension will include a new PQ schedule, which will indicate the increase in the PQ of the section which has been extended. The increase in the proportion of the levy payable cannot be enforced in the absence of registered amending sectional plans of extension and an amended PQ schedule.

The replacement value of sections for insurance purposes is determined in accordance with the area of each section, which is indicated on the PQ schedule. If amending sectional plans of extension are not registered, the replacement value of a section is not accurately calculated as no amended PQ schedule has been registered in the deeds registry. This could lead to the owner being underinsured at the time of an insurance claim.

The trustees of the body corporate should also be involved in the process of extending a section, as the trustees should approve the building plans before the plans are submitted for approval to the local authority. It is important for the trustees to approve the draft building plans to ensure that the harmonious (or aesthetic) appearance of the buildings in the scheme is not compromised by the extension.

Judith van der Walt is an attorney, notary and conveyancer practising in Cape Town. Email judith@95of86.co.za.