PREMIUM COMMUNITY ASSOCIATION REPORT.
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1 . SYDNEY 587 Bunnerong Road Matraville NSW 2036 Phone: Fax: BRISBANE PO BOX 766 Coolum Beach Qld 4007 Phone: Fax: CLIENT NAME: REFERENCE: PLAN TYPE: DP NO: Sample Lawyers PO Box 2000 Sydney NSW 2000 Andrews from Borman Community Association DP270XXX BRANCHES NEWCASTLE WOLLONGONG CAIRNS TOWNSVILLE SUNSHINE COAST MACKAY GOLD COAST TWEED HEADS LOT NO(S): 17 ADDRESS: "Sample Lakes Resort" 455 Sample & Sample Road Pokolbin 2320 REPORT DATE: 2nd November INSPECTION DATE: 30th October INSTRUCTION NO: This report contains 9 pages. If you do not receive every page, please call us and we will provide you with any missing pages. For qualifications and exclusions, see the last page of this report. SMART BUYER INFORMATION What do you look for when you set out to buy an apartment? See what the experts say
2 PART A - ASSOCIATION 1 RELEVANT ASSOCIATIONS (With respect to the subject Lot) 1.1 Is there a relevant Community Association? 1.2 What is the D.P. number? 270XXX 1.3 What is the relevant lot in the D.P.? Is there a relevant Precinct Association? No 1.5 What is the D.P. number? N/A 1.6 What is the relevant lot in the D.P.? N/A 1.7 Is there a relevant Neighbourhood Association? No 1.8 What is the D.P. number? N/A 1.9 What is the relevant lot in the D.P.? N/A 1.10 Is there a relevant Strata Corporation? 1.11 If so, under what Strata Plan number? Relevant Association Report: A report will now follow in respect of each relevant Association. Where there is a relevant Strata Corporation a separate report will be given in respect of the strata lot being purchased or mortgaged, as though it is a strata lot in a standard strata plan. Definitions In this report, the Community Land Management Act 1989 is referred to as "the CLM Act". Page 2 of 9
3 PART B - COMMUNITY ASSOCIATION 2 INITIAL PERIOD 2.1 Does it appear from the Association Roll that the initial period in respect of the community scheme has expired? 2.2 If not, according to the Roll, what is the total of unit entitlements "credited" towards the expiration of the initial period?. N/A 3 FIRST ANNUAL GENERAL MEETING 3.1 Has the First Annual General Meeting of the Neighbourhood Association been held? 3.2 If not, does it appear to be overdue? N/A 4 ASSOCIATION ROLL 4.1 Does the Association have an Association Roll? 4.2 Particulars of the proprietor of the relevant community development lot are Name: Owners Strata Plan Address: c/- Strata Associates Pty Ltd 4.3 Is that proprietor "original" or "subsequent" Subsequent 4.4 Was the Roll in compliance with the following aspects of Schedule 3 of the CLM Act: Entries for community development lots? Entries for the community property and the community scheme? Required insurance particulars? No No No Page 3 of 9
4 5 INSURANCE 5.1 Details of Building Insurance: Sum Insured Company Policy Number Due Date Premium. See item 12 of this report 5.2 Details of Public Liability Insurance Limits of liability 5.3 Details of Workers Compensation Insurance Has insurance policy? 5.4 The above details were obtained from N/A 5.5 Details of the last valuation obtained A valuation was carried out by Muller Partnership on 19th July, Recommended cover was $6,645, Is this property under insured 6 RECORDS 6.1 Are minutes of meetings kept? 6.2 Does the Association record a summary and specified particulars of each notice or order served on it 6.3 Are copies kept by the Association of correspondence, notices of meetings and other notices given by it? No 6.4 Are records retained as required by the CLM Act 7 BOOKS OF ACCOUNT 7.1 Are substantially all of the prescribed accounting records kept by or on behalf of the Association. 7.2 What was the approximate balance of the Administrative Fund $167, credit, as at 30/10/ What was the approximate balance of the Sinking Fund $576, credit, as at 30/10/2015 Page 4 of 9
5 7.4 Information on fund balances obtained from A Balance Sheet 8 MAINTENANCE CONTRIBUTIONS 8.1 Contributions are payable in equal quarterly installments, commencing 1/4/2015, as follows: To the Administrative Fund $6, due 1/4/2015, 1/7/2015, 1/10/2015 and 1/1/2016 Water payments: $2, due 20/4/2015, $2, due 8/7/2015 and $1, due 22/10/2015 To the Sinking Fund $2, due 1/4/2015, 1/7/2015, 1/10/2015 and 1/1/ Are there any current special levies? No Total Amount Amount Payable by subject owner Due Date Purpose N/A N/A N/A N/A 9 MANAGING AGENT 9.1 Is there a Managing Agent? 9.2 Agents Name Linders Strata Management Agents Telephone Was a written Agency Agreement sighted? Was a License issued under the Property Stock and Business Agents Act 2002 in the name of the Agent sighted? Date of last appointment? 1st March, INCOME TAX 10.1 Does the Association appear to receive taxable income? What is the source of that income? Are Income Tax Returns lodged Interest on invested funds and fees under Section 26. Page 5 of 9
6 11 GENERAL INFORMATION 11.1 Number of Lots in the Association: Unit of Entitlement of the subject Lot(s): Aggregate Unit of Entitlement 10, When was the Association Registered? 1st August, Who is the Original Owner? Cypress Lakes Group Limited 11.6 When was the First Annual General Meeting held? 6th November, GENERAL REPORT 12.1 Details of any apparent serious repair and/or maintenance problems disclosed in books and records of the Association See attached extract from an WH&S report dated February 2013 prepared by Noel Arnold & Associates. See attached Notice of Extraordinary General Meeting scheduled to be held on 30th May, (No Minutes were sighted). Executive Committee Meeting 2/10/2014: See attached Minutes regarding legal opinion, balcony alteration and other matters. A.G.M. 18/12/2014: See attached Minutes regarding accepted budgets and other matters. Executive Committee Meeting 18/12/2014: See attached Minutes regarding SP Stage 7, balcony works and attachment of outstanding items. See attached Expense Allocations dated 30/4/2015. See attached Villa Maintenance Programs & Special Duties dated 6/6/2015. Executive Committee Meeting (Schedule 3, Clause 10) 12/6/2015: Resolved to accept energy contract from Origin Energy. Resolved that Oaks refund any amounts that may be been charged in excess of cost price provided in the Origin Contracts held in their name in respect to supplying electricity to DP for the period 1/1/2014 and 30/6/2015. (See attached Minutes). Meeting with Oaks Management 2/7/2015: See attached Minutes regarding relationship with Oaks, roads, David Wallace, storm damage and other matters. See attached Background to Resolutions dated 23/7/2015 in respect to David Wallace regarding roads project. It is note that the Community Association will have to pay $100, to $200, to repair and improve roads to a level which will provide at least a 10 year + life as originally specified and expected. See attached schedule of Consolidated Staged Balcony Invoices dated 13/8/2015 for Strata Plan and others. See attached Executive Strategic Issues Schedule dated 13/8/2015. A.G.M. 24/8/2015: See attached Minutes regarding accepted budgets commencing 1/4/2016. Resolved to pay an honorarium of $35, each to the Secretary and The Chairman. ASSOCIATION: ROLL: The Managing Agent maintains the Association Roll in a computerised format. Only the page relevant to Lot 17 was provided for inspection. INSURANCE: We note the policy sighted expired on 30/9/2015. We were advised the premium has been paid for renewal, however, a renewal certificate has not yet been received from the insurer. Page 6 of 9
7 12.2 Details of any apparent serious dispute problems within the scheme disclosed in books and records of the Association No evidence of any in recent years Details of any apparent other matters discovered during the inspection that may interest a purchaser or mortgagee which were disclosed in books and records of the Association Community Association DP 270XXX contains the following: Lot 3: Resort Centre Lot 5: Strata Plan No (Stage 1) Lot 8: Development Lot - Village site Lot 13: Strata Plan No (Stage 2) Lot 14: Strata Plan No (Stage 3) Lot 17: Strata Plan No (Stage 4) Lot 21: Development Lot - Hotel hill top Lot 22: Golf Course Lot 25: Strata Plan No (Stage 5) Lot 27: Strata Plan No (Stage 6) Lot 32: The Golden Door Spa - conference centre - top level building Lot 33: Convention Centre - bottom level building Lot 34: The Golden Door - Elysia Facilities Lot 35: Strata Plan No (Stage 7/Elysia Villas) E.G.M. 4/10/96: Resolved the Community Association enter into the Sample Lakes Resort Operator Agreement, a copy of which is tabled as exhibit A to the Minutes. Executive Committee Meeting 4/10/96: Resolved to execute the agreement with East Coast Television to enter into an exclusive agreement for the provision of a comprehensive television service to Cypress Lakes Resort for a period of seven years commencing 10th October, E.G.M. 15/10/96: Resolved that the Community Association enter into the Deed of Confirmation with the proprietors of Strata Plan and Sample Resort Management Pty Ltd. E.G.M. 3/4/98: Resolved to approve the subdivision of Lots 4, 7, 11, 12, 15 and 16 into new Community Lots 17 to 24 inclusive. Resolved to approve revised Unit Entitlement schedule. Year ended June 1998: Building management $293, Executive Committee Meeting 15/12/98: Resolved that the Community Association execute under seal a petition for constitution of the Lower Hunter Water Association Incorporated Private Irrigation District. Year ended June 1999: Building Management $62, Plumbing repairs $1, E.G.M. 28/3/2000: Resolved that the Owners Corporation consent to boundary adjustment and subdivision plan. (Appears to relate to subdivision of Lots 19, 20 and 26). Year ended June 2000: Plumbing repairs $1, Sewerage pump $5, Year ended June 2001: Building management $233, Repairs and replacements $25, Driveways, paths and fences $6, Year ended June 2002: Building management $72, Repairs and replacements $21, Landscaping $2, Consultant fees $1, Year ended June 2003: Building management $115, Plumbing repairs $2, Year ended June 2004: Building management $108, Plumbing repairs $4, Year ended June 2005: Driveway and paths $9, Plumbing repairs $16, Pumps and boilers $9, Repairs and replacements $40, TV services $1, Building management $106, Additional building manager fee $11, Year ended June 2006: TV services $6, Pumps and boilers $18, Building management $108, Year ended June 2007: Driveway and paths $1, General repairs and replacements $103, TV Page 7 of 9
8 services $25, Building management $112, Occupational Health & Safety $2, July 2007 to March 2008: General repairs/replacement $3, Sighted Order dated 4/2/2009 dismissing an application to stop the operation of a letting service. Year ended March 2009: Electrical replacement $7, Pumps and boilers $11, Legal fees $2, Occupational Health & Safety $4, Year ended March 2010: Consultant fees $10, Driveway and paths $19, Electrical $1, Fire protection replacement $10, Plumbing repairs $14, Pumps and boilers $18, Sighted Annual Fire Safety Statement dated 10/9/2010. Year ended March 2011: Consultant fees $15, Electrical repairs $11, Repairs and replacements $6, Television services $9, Sighted Annual Fire Safety Statement dated 18/5/2011 from the building manager. A.G.M. 1/3/2012: Resolved to terminate Strata Associates as the managing agent and to appoint Linders. Year ended March 2012: No evidence of any major or extraordinary expenditure from the records inspected. Sighted Annual Fire Safety Statement dated 18/5/2012. Year ended March 2013: Meeting and conference expenses $4, Consultant fees $3, Legal fees $4, Pressure clean $4, Plumbing and drainage repairs $35, Pumps and boilers $10, E.G.M. 20/9/2013: Resolved to enter into the Deed of Consent to assignment between Community Association DP 270XXX, Sample Resorts Management Pty Ltd (as assignor) and Hunter Valley (CL) Management Pty Ltd (as assignee) ("the Deed"). Resolved to impose a special levy of $460, for road rectification works, due 1/10/2013. Year ended March 2014: Roads $503, Consultant fees $24, Repairs and replacements $15, Tree lopping $6, Year ended March 2015: Sinking Fund expenses $40, Pumps and boilers $10, Consultant fees $6, April to October 2015: Trees $3, NOTE: Expenditure under $2, has not been covered in this report. The last Annual General Meeting was held on 24th August, SEPARATE REPORT PART C - PRECINCT ASSOCIATION Items 13 to 22.3 not applicable. Report not ordered. PART D - NEIGHBOURHOOD ASSOCIATION Items 23 to 32.3 not applicable. Report not ordered. PART E - STRATA CORPORATION The Strata Corporation is the subject of a separate Owners Corporation Report prepared as if it was a ordinary Owners Corporation under the Strata Scheme Management Act, PURCHASERS STRATA INSPECTIONS PTY. LTD. Page 8 of 9
9 QUALIFICATIONS AND EXCLUSIONS 1. During the course of the subject inspection no attempt was made to ascertain whether any Managing Agent has complied with the detailed accounting requirements of the Property, Stock and Business Agents Act 2002 or whether the prescribed accounting and prescribed financial statement requirements are being complied with by the Association. As these requirements are particularly complex, an additional inspection by a specially trained Inspector would be necessary before we could report on these matters. 2. The information contained in this Report was extracted from the books and records of the Association and, so far as was possible, from conversations with officers of the Association. Special procedures were followed to minimise the possibility of records not being made available for inspection and this information has, where possible, also been checked with information obtained from previous inspections. However, your attention is directed to the possibility that all of the records of the Association may not have been made available for inspection, or alternatively, that the records may not have contained all of the information of interest to a Purchaser or Mortgagee. 3. This report format was designed by Purchasers Strata Inspections Pty. Ltd. for use by it exclusively and it owns the copyright. No other person has authority to use this report format in whole or in part for any purpose. 4. This report is issued to the named client and if that person is a solicitor or conveyancer, the client of that solicitor or conveyancer. Purchasers Strata Inspections Pty. Ltd. will not accept any responsibility to any other person who relies upon this report to their detriment, unless it has agreed in writing to accept such responsibility. COPYRIGHT RESERVED: Purchasers Strata Inspections Pty. Ltd Page 9 of 9
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