STRATA: "Grandfathering"

There is a common misunderstanding that grandfathering exempts an owner from the new bylaw for as long as they own their suite.

However, that is not the intent of the Act.

The exemptions granted by the Strata Property Act are conditional. They allow for a period or circumstance of exemption to accommodate persons who would be affected by a new bylaw. Pets, rentals and age are the exact bylaws the exemptions apply to.

Under the act, pets, tenants and owners not in compliance with the new bylaws who are residing in a strata lot at the time the bylaw is passed — not when it’s registered — are exempt from the bylaw until their residency/condition terminates.

For example, if your strata passes a new pet bylaw that limits owners to one cat or one dog, and you have two dogs, then on the moving or passing of one of your dogs, you would be limited to only one dog.

If a resident was 35 at the time, and the strata passed a 55-and-over occupancy bylaw, then the 35-year-old could remain as long as he or she wishes, but any new occupants o r t e n a n t s would have to be 55 and over.

In the case of a tenant, the current tenant at the time of the bylaw being passed would be permitted to remain for whatever period they and their landlord agreed to.

But if that tenant moves, the landlord would only be able to rent for one more yea; at that time the landlord would either have to occupy the unit, leave it vacant or sell it, but could not rent it out to a new tenant.

For an investor this is important to understand. As long as there are rental vacancies in the bylaw, you could rent again, but if the quota is filled you cannot rent once your exemption expires.

Don’t interpret the term “grandfathering” as perpetual with the exemptions granted by the Act, which are only conditional.

(prepared by Tony Gioventu/Vancouver Province)