On May 6, 2014 amendments to Alberta’s Condominium Property Act were introduced into the Alberta Legislature. The Act establishes the framework for the development, sale, and governance of both residential and commercial condominiums located in Alberta and outlines the duties and responsibilities of developers, owners, buyers and boards. The proposed amendments are designed to bring the Act, originally introduced in the 1960s, more in-line with the modern realities of Alberta’s growing condominium industry – currently, there are more than 8,000 condominium corporations registered in Alberta and condominiums account for over 20% of homes sold annually in Alberta.
More than 50 … Continue Reading
For at least 10 years prior to the market correction in 2008, strata lot prices in British Columbia were on a decidedly upward trend and, not surprisingly, the market attracted not just homebuyers, but also speculators who signed purchase agreements with a view to making a profit by either assigning their contracts or selling their strata lots. In the wake of the correction, litigation under the Real Estate Development Marketing Act (British Columbia) (REDMA) proliferated as homebuyers and speculators alike, faced with the realization that they had agreed to pay more than current market value, sought to avoid … Continue Reading
Lenders should be more aware of the sweeping effects of the British Columbia Real Estate Development Marketing Act (REDMA). Compliance by developers with the REDMA is crucial for lenders because failure to comply can lead to unenforceable purchase contracts.
The REDMA requires a developer to file a disclosure statement before marketing commences. The disclosure statement must, without misrepresentation, plainly disclose all material facts. Before a purchaser enters into a purchase contract with a developer, the developer must provide the purchaser with a copy of the disclosure statement and a reasonable opportunity to review it. Purchasers have a right of … Continue Reading