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Deal with a company title property

We advise on company title property, including share transfers, board approval, financing and shareholder rights.

In a company title building you do not own your apartment. You own shares in the company that owns the building, and those shares entitle you to occupy a particular unit. That distinction changes how you buy, how you sell, whether a bank will lend, and what rights you actually have. We advise on all four.

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The constitution read before you commit

You learn what the board can refuse and what the unit's occupation rights actually cover while you can still walk away.

Finance confirmed before contract

Whether a lender will accept the shares as security is settled early, rather than after your deposit is at risk.

A transfer that is properly recorded

Board approval is obtained and the share register updated, so the occupation rights clearly sit with the new owner.

Why company title is not ordinary property ownership

In a company title building, a company is the registered owner of the whole property. Occupants hold shares in that company, and those shares carry the right to occupy a particular unit under a proprietary lease or occupation agreement.

There is no dedicated statutory scheme for this. Strata and community title each have their own legislation. Company title does not. Your rights come from the company’s constitution, the terms of your occupation agreement, and general company law. We act for clients in South Australia and New South Wales.

That has three practical consequences. Selling means transferring shares, which the board usually has to approve. Borrowing is harder, because you cannot mortgage land you do not own, and some lenders will not accept shares as security at all. And your rights vary from building to building, because they depend on documents drafted for that company rather than on legislation.

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How is company title property bought and sold?

By transferring shares in the company, not by transferring land. The transaction is governed by the company’s constitution and general company law rather than by the standard conveyancing process. The board usually has to approve the transfer, and the grounds for refusing depend on the constitution. We manage the process and the approval.

Can I get a mortgage on a company title unit?

Not in the ordinary way, because you do not own land to mortgage. Financing is usually secured over the shares and the occupation agreement, and some lenders will not accept that at all. Others will lend at a lower ratio. We recommend settling the finance question before you sign anything.

What rights do I actually have in the building?

Your right to occupy comes from the shares you hold and the proprietary lease or occupation agreement attached to them. Because there is no statutory scheme, the scope of those rights depends entirely on the documents that set the company up. Renovations, subletting and pets are all governed by those documents rather than by general strata rules.

What happens if the company is wound up or the building is sold?

The shareholders’ occupation rights may be affected, and the outcome depends on the constitution and any agreements between the shareholders. A sale of the whole building requires a resolution of the shareholders in accordance with the constitution. We advise on the implications and what options shareholders have.

Company title rights come from documents most owners have never read

Buying, selling, financing or resolving a governance issue in a company title building all turn on the constitution and your occupation agreement. Reading them before you commit avoids the problems the structure otherwise produces.

You do not own the apartment. You own shares that let you live in it

You are buying, selling, or dealing with a company title unit, and the usual conveyancing answers do not apply. There is no title to transfer and no standard process to follow.

What governs your position is a constitution and an occupation agreement that most owners have never read. Until someone does, you do not know whether the board can block your sale. Or whether a lender will fund the purchase, or what you may actually do with the unit.

We will review the constitution and occupation agreement and advise on the rights your shares carry.
We will advise on the process for buying or selling shares, including the board approval required.
We will advise on the financing implications and the security a lender can take.
We will advise on shareholder disputes and governance issues within the company.

You want to buy, sell or finance the unit, and the structure keeps getting in the way

You have found a company title apartment, or you are trying to sell one. The price is agreed and then the structure starts producing questions nobody expected.

The board has to approve the transfer, and you do not know on what grounds it can refuse. The bank is hesitating because there is no land to secure. The agent is treating it as an ordinary sale and it is not one. You want advice that deals with the actual structure, rather than an answer that assumes you own the land.

What's included in your company title advice service

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Company constitution and occupation agreement review.
Advice on buying or selling shares and managing the transfer.
Board approval process advice and assistance.
Advice on financing and what security a lender can take.
Shareholder rights and company governance advice.

What goes wrong when company title is treated as ordinary property

Finance is the most common failure. A buyer signs, then finds their lender will not lend against shares, or will lend only on terms that make the purchase unaffordable. The deposit is at risk and the structure was the reason.

Board approval is the second. A seller accepts an offer, then the board refuses to approve the transfer to that buyer. If the constitution gives the board a wide discretion, there may be nothing to be done. The sale falls over after costs have been incurred.

Occupation rights are the quiet one. Owners assume they can renovate, sublet, or keep a pet because they would be able to in a strata building. The occupation agreement may say otherwise, and the company can enforce it.

How we make a company title transaction work

We read the constitution and the occupation agreement before you commit. That tells us what the board can refuse, what the shares carry, and what restrictions apply to the unit.

On finance, we identify early whether the structure will support the lending you need, and what security the lender will require. That conversation belongs before the contract, not after.

Then we manage the transfer itself. Obtaining board approval, ensuring the share transfer is properly executed and recorded in the register, and confirming the occupation rights have moved with the shares. A transfer that is not recorded correctly leaves the occupation rights in doubt.

Three steps to a company title transaction that completes

Constitution read, finance confirmed, shares transferred and recorded.

Read the constitution

We review the company's constitution and occupation agreement and tell you what the structure permits and restricts.

Confirm the finance

We identify whether the shares will support the lending you need and what security your lender will require.

Transfer and record

We obtain board approval, complete the share transfer, and confirm the register and the occupation rights are correct.

Company title advice for clients in South Australia and New South Wales

Company title is uncommon enough that a lot of the advice around it is guesswork. Buyers often only discover the constraints after the price has been agreed. The problems are all knowable in advance, which is the frustrating part.

We act on company title matters for clients in South Australia and New South Wales. We read the company’s constitution and the occupation agreement for the specific building. What the board can and cannot refuse. Whether the shares can be used as security, and on what terms. What your occupation rights actually cover, and what happens if the company is wound up or the building is sold. We are an ISO 9001 accredited practice. How your matter is run, who does the work and what you get told are all defined and externally audited.

Our great lawyer guarantee

Six principles we hold to, whatever you bring us and however long it takes.

Take the time

We listen carefully to understand what you want to achieve, then step you through the advice and the documents.

Share our knowledge

We pass on as much as we can, so you can make your own informed decisions.

Stick to our knitting

We only do what we are good at, so you never pay for our learning.

Work as one team

Someone is always available to answer your question or point you the right way.

Fair pricing

A fixed or capped quote for advice and documents, so you do not carry the price risk.

It is your show

We are in it for a front row seat to witness your success, not for our egos.

Ready to get advice on your company title property

Almost every problem with company title is knowable from the constitution and the occupation agreement, and almost nobody reads them before the price is agreed. Send us the documents for the building and we will tell you what the structure allows before you commit.

Speak to a lawyer 1300 654 590