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Not All Schemes Are Equal: Why Your Plan Type Matters More Than You Think

Cameron Chisholm, Body Corporate lawyer

In Queensland Community Titles Schemes, one of the most important things for owners to understand is how their scheme is set up, as the type of plan the scheme is developed under can affect where lot boundaries sit, what forms part of the scheme’s common property and who is responsible for maintenance and repairs.

That may sound technical, but it has very real consequences. What type of plan a scheme is registered under can influence everything from what is on the title of an owner’s lot, who pays for repairs or how disputes are resolved. For owners, understanding this early can prevent confusion, unexpected costs and unnecessary conflict.

Why the Plan Type Matters

The plan for a scheme is not just a registration document. It helps define the legal boundaries of each lot and common property and determines how responsibility is divided between owners and the body corporate.

In simple terms, the plan type matters because it can affect:

• what belongs to the lot/owner;
• what is common property;
• who is responsible for maintenance;
• who pays for repairs; and
• how the body corporate and owners deal with damage or defects.

Many disputes in bodies corporate arise because bodies corporate and owners alike make assumptions about ownership and responsibility without first checking how their scheme is structured.

Standard Format Plan vs Building Format Plan

The two most common plan types used in Queensland Community Titles Schemes are Standard Format Plans (SFPs) and Building Format Plans (BFPs). The distinction is important because the plan determines how lots are created and where their legal boundaries are located.

SFP

Defines lots by surveyed land boundaries shown on the registered plan. It is commonly used in townhouse developments, duplexes, gated communities and residential estates where each lot is intended to operate as a separate parcel of land. 

Unlike plans that define ownership by reference to buildings, an SFP focuses on ownership of the land itself. As a result, a lot will generally include the dwelling together with any surrounding land within its boundaries, such as a yard, garden, balcony, or courtyard, as well as any other improvements located on the lot. I.e., anything outside the surveyed land boundaries will likely be common property of the body corporate – for instance, shared roadways, paths, garden areas, facilities etc. 

BFP

Lots are determined by reference to the building rather than surveyed land boundaries. Lot boundaries are typically determined by structural features such as walls, floors and ceilings. When looking at your plan you will also not have survey peg boundaries like a standard format plan. Instead, your lot will be marked by hard black lines. This may be over multiple stories in a building or separate buildings.

This type of plan is commonly used where multiple lots are contained within a single building or where lots are stacked vertically. As a result, BFPs are frequently used for apartment buildings and high-rise developments (although, this is not always the case). 

In a BFP, the focus is on defining ownership of a space within a building, rather than ownership of a separate parcel of land. This may also mean there are items that are a body corporate responsibility rather than owner responsibility, such as roofing membranes, structural elements or the outside surface of the building.

Distinction

Developers choose different plan types because different developments require different ways of defining ownership. An estate with separate dwellings (not in the same building) and/or individual yards is generally best suited to an SFP, whereas an apartment building with multiple levels and shared structures is generally better suited to a BFP. 

Why Owners Should Pay Attention

Because each plan type creates lot boundaries in a different way, the legal extent of a lot can vary significantly from one scheme to another. Understanding whether a scheme is registered under an SFP or BFP is therefore the starting point for determining what forms part of a lot, what forms part of the common property and how rights and responsibilities are allocated within the scheme. 

How We Can Help

If you need assistance understanding what plan applies, or what that means for maintenance and repair responsibilities for you or your complex, our team at MBA Lawyers can provide clear and practical advice tailored to your circumstances.

Website: https://mba-lawyers.com.au

Disclaimer: this article is provided for information purposes only and should not be regarded as legal advice.