Selling Unit Blocks in Broadbeach: Starting the 75% Rule Process
🟦🟧 Selling Unit Blocks in Broadbeach: Starting the 75% Rule Process
Why Engineer Reports Are the First and Most Critical Step
Prepared by Norton’s Real Estate — The Gold Coast’s Unit Block Selling Agency
🟦 What Is the 75% Rule?
As of 2023, Queensland’s updated body corporate legislation allows for the termination of a community titles scheme — even if not all owners agree — if 75% of owners vote in favour, and the building is no longer financially viable.
This change, aligned with national trends, was designed to make it possible for older unit blocks to:
Exit declining schemes
Avoid unaffordable special levies
Sell to developers as a collective
Unlock land value when repairs are no longer justified
🟧 But to trigger this process, it must start with independent, professional evidence — not just owner sentiment.
🟦 Stage One: Get Three Independent Engineer Reports
This is the critical first move.
To establish that a building is no longer financially sustainable, the body corporate (or representative owners) must commission three independent engineer reports.
Each report should address:
Structural integrity (roof, slab, foundations)
Fire safety compliance
Plumbing, electrical and waterproofing systems
Building envelope (façade, windows, doors)
Estimated lifespan of all core elements
Forecasted capital works required in the next 5–10 years
Cost estimates to maintain the building to safe, legal standard
These reports should come from reputable engineering or building consultancies, not general contractors.
Norton’s maintains a list of independent engineers who specialise in strata assessments for termination purposes.
🟧 Submitting the First Report to Owners – The 90-Day Rule
Once the first of the three reports is received, it must be:
Circulated to all owners in the body corporate
Kept on record for 90 days for owner review
Available via BC notices, owner logins, or physical distribution
Accompanied by a meeting notice, or future EGM agenda item
Not altered or summarised — the full report must be accessible
The 90-day period allows owners to:
Consider the seriousness of the building’s condition
Compare with their own financial position
Seek legal advice
Begin informal discussions around termination
🟦 During this window, no vote can be taken, but preparation for future steps — including Norton’s market evaluation — should begin.
🟧 Norton’s Role During the First 90 Days
While the report sits in circulation, Norton’s can:
Conduct a site valuation based on land value, not unit value
Engage early with qualified developers or syndicates
Map out a timeline of potential buyer due diligence
Brief owners on potential contract structures
Coordinate meetings with planning and legal professionals
Keep the owners updated on market movement, buyer interest, and scheme exit options
“We’re not just agents — we’re the ones who translate the engineering report into a path forward.”
🟦 What Happens After the 90 Days?
Once the 90-day viewing period ends:
Additional reports (2nd and 3rd) can be completed
A formal proposal to terminate the scheme can be tabled
A general meeting or EGM is called
The 75% vote is conducted (based on unit entitlements)
If passed, the scheme enters termination and sale preparation
🟧 This is where Norton’s steps in fully — as your exclusive sales agency — to negotiate the group sale, manage buyer risk, and protect seller value.
🟦 What Qualifies as “No Longer Financially Sustainable”?
A building may be deemed financially unsustainable when:
Capital works exceed insurance or strata reserves
Repeated water damage, concrete cancer or façade issues create OH&S liability
Building no longer meets BCA (Building Code of Australia) standards
Ongoing special levies are unpayable by a significant portion of owners
The building value is declining while land value is increasing
Insurance becomes unaffordable or withdrawn entirely
This must be supported by independent reporting and valuation — not anecdotal evidence.
🟧 Norton’s Is Uniquely Equipped to Sell Unit Blocks Under the 75% Rule
We work exclusively with:
Sellers and owners — not developers
Planning consultants, strata lawyers and valuation firms
Buyer networks prepared to pay for DA-ready land or prime coastal infill
Professional engineers who understand the strata termination process
Body corporates across the Gold Coast dealing with older buildings
We provide:
Pre-sale valuations based on development potential
Buyer previews before the EGM
Zero upfront marketing costs via RealtyAssist
Drone, site photography, and land overlay planning visuals
Contract structuring to accommodate multi-party schemes
📞 Own a Unit in an Ageing Broadbeach Block?
If your building is:
30+ years old
Facing unaffordable repair costs
Structurally at risk
Showing signs of insurance, levy, or livability pressure
…then now is the time to begin Stage 1 of the 75% rule.
Let Norton’s help you:
Organise independent engineer reports
Notify owners and manage the 90-day process
Prepare the land for a collective, group-led sale — with complete control
📍 Norton’s Real Estate – Broadbeach Unit Block Sales
⚠️ Legal Disclaimer
This article is general in nature and does not constitute legal or engineering advice. Norton’s Real Estate disclaims liability for decisions made based on this content. Always consult a qualified solicitor, strata consultant, and structural engineer before initiating a body corporate scheme termination under the 75% rule or the Planning Act.