"The agent promised 2 car parks. Will both of them actually belong to me?"

A purchaser views a condominium unit advertised with two car parks.

The sales brochure shows two numbered bays. The booking form also states “2 car parks”.

When the draft Sale and Purchase Agreement is received, only one car park number appears in the schedule. The agent explains that the second car park will be “allocated by management later”.

The purchaser is told not to worry.

“Every three-bedroom unit gets two car parks.”

But what exactly is the purchaser acquiring?

A car park can be connected to a strata unit in several legally different ways. The right to use a bay does not always amount to ownership of it.

1. A car park may be an accessory parcel

A car park designated as an accessory parcel is used together with the main strata parcel.

It may be identified on the strata plan and connected to a particular unit. It is not ordinarily dealt with independently from that unit.

JKPTG explains that an accessory parcel is used together with a parcel or land parcel and cannot be transacted separately from the related parcel. A car park is one common example.

If a car park is an accessory parcel to a condominium unit, it should generally follow the unit when the unit is transferred.

The owner cannot simply retain the car park after selling the condominium or transfer it permanently to an unrelated owner as if it had its own independent strata title.

2. A right to use common property is different

Another car park may remain part of the common property.

The management body or developer may allocate its use to a particular unit under a licence, house rule, agreement or administrative arrangement.

This can provide practical use of the bay, but its legal character may be different from an accessory parcel.

Questions may arise such as:-

• Is the allocation permanent or temporary?

• Can the management body change the bay?

• Does the right pass automatically to a future purchaser?

• Must a separate fee be paid?

• Can the allocation be revoked for breach of conditions?

• Was the person making the allocation authorised to do so?

A purchaser should not treat the words “exclusive use” as automatically meaning registered ownership.

The document creating the right must be examined.

3. The SPA should identify what is being sold

The purchaser should check whether the SPA states:-

• the number of car parks included;

• the designated bay numbers;

• whether each bay is an accessory parcel;

• whether the location may be changed;

• whether the car parks are shown on an attached plan;

• whether any additional price is attributed to them; and

• whether the purchaser receives ownership or merely a right of use.

Brochures, advertisements and messages from agents may be relevant evidence, but they should not replace clear contractual wording.

If the SPA contradicts the marketing material, the inconsistency should be resolved before signing.

A verbal assurance that the developer will “update the number later” exposes the purchaser to avoidable uncertainty.

4. What if the strata title has not yet been issued?

For a new development, the individual strata title may not be available when the SPA is signed.

The purchaser may need to rely initially on the SPA, approved building or strata plans and the developer’s contractual obligations.

The purchaser should confirm:-

• whether the proposed car parks are identified on the relevant plans;

• whether they are intended to become accessory parcels;

• whether the developer may relocate or substitute them;

• whether both are included in the purchase price; and

• what remedy applies if the final strata documents do not reflect the SPA.

When the strata title and certified strata plan are eventually issued, the purchaser should ensure that the accessory parcels correspond with what was purchased.

Do not assume that the main parcel number automatically reveals the location of every accessory parcel.

5. For a subsale, inspect both the title documents and the actual bays

Where the strata title has already been issued, the buyer’s solicitors should review the title and relevant strata documents.

The buyer should also physically inspect the car parks.

This can reveal practical matters that legal documents may not show clearly, including:-

• whether another resident occupies the bay;

• whether the numbering on the ground matches the plan;

• whether the bay is obstructed by columns or walls;

• whether it is a tandem car park;

• whether the ramp or turning radius is suitable;

• whether the height clearance is adequate; and

• whether the bay is accessible only through another controlled area.

A seller may have used a particular bay for many years without owning it as an accessory parcel.

Long usage alone does not establish its legal status.

6. Tandem car parks require closer attention

Two bays arranged one behind the other may technically accommodate two vehicles, but their practical value differs from two independent bays.

The purchaser should check:-

• whether both bays are within the designated boundary;

• whether both are linked to the same unit;

• whether one vehicle must be moved to release the other;

• whether any neighbouring owner shares the arrangement; and

• whether management rules affect their use.

If rental income or future resale value depends on having two independently accessible car parks, the distinction should be identified before the price is agreed.

7. Can the car park be sold or rented separately?

An accessory parcel generally cannot be transferred independently from its main parcel.

Short-term use arrangements may raise different issues, depending on the strata by-laws, security policies and management rules.

Before renting a bay to another resident, the owner should check whether:-

• the by-laws permit the arrangement;

• vehicle registration with management is required;

• the user must reside in the development;

• access cards may be transferred;

• additional fees apply; and

• the arrangement affects security or insurance.

If the car park is merely allocated common property, the owner may not have the legal ability to transfer or rent the right at all.

8. Do not assume a car park can be converted for another use

A designated car park should not be enclosed, used for storage or converted into a room merely because it is linked to the owner’s unit.

Such action may contravene:-

• the strata by-laws;

• fire-safety requirements;

• approved building plans;

• local-authority requirements; or

• restrictions affecting common property.

Installation of an electric-vehicle charger may also require approval, technical assessment and arrangements concerning electricity consumption and common infrastructure.

Ownership or exclusive use does not remove the need to comply with applicable approvals.

9. What should a purchaser request before signing?

The purchaser should ask for:-

• the complete draft SPA;

• the schedule identifying accessory parcels;

• the relevant floor or car-park plan;

• written confirmation of the number and legal status of the bays;

• the strata title and certified strata plan, if issued;

• applicable deeds, by-laws or house rules;

• management confirmation for any allocated common-property bay;

• information on separate charges or rental fees; and

• confirmation of any right to relocate or withdraw the allocation.

All bay numbers should be compared across the documents.

A mismatch should be explained and corrected rather than left to an informal promise after completion.

10. The number of car parks can affect the transaction materially

Car parking may influence:-

• the purchase price;

• the bank’s valuation;

• rental demand;

• daily use of the property;

• future resale value; and

• the purchaser’s willingness to proceed.

It should therefore be treated as a substantive part of the purchase - not a small operational detail to be settled after the keys are handed over.

If two car parks influenced the decision to buy, the SPA should state clearly what those two car parks are and what rights the purchaser will receive.