22/12/2017 – Jurisdiction Ontario
Part 61 published on 01/03/2017
Court orders winding up and sale of strata corporation
The strata corporation, and several owners, petitioned for confirmation of a resolution to wind up the corporation and for approval of a sale of the property. The petition was opposed by four of the strata lot owners.
The Court undertook a careful review of the background circumstances and the applicable provisions of the Strata Property Act and ordered that the strata corporation be wound up. The Court said:
In applying those factors, I do not agree that property rights as a home should be given greater emphasis in the face of 80% or more of the owners who want to take advantage of the increased profit to be made as a result of rezoning and redevelopment, particularly when the preponderance of the evidence is that the owners who want to remain living in the community can do so.
…
While I understand the reasons why each of the opposing respondents do not want to move, I conclude that it would be significantly unfair to the majority of the owners if the orders sought by the petition were not granted; more than 80% of the owners would have their wishes thwarted by a small minority. Each owner of the supermajority would suffer a significant financial loss: the opportunity to receive roughly two and a half times what they would receive if they were to sell their unit individually, and the opportunity to remain in the community.