Report on Multi-Unit Developments - Law Reform Commission

appropriate responsibilities and entitlements of the developer and the unit
purchasers, especially during the development and completion stages of a
multi-unit development. The purpose is to avoid in the future many of the
problems currently linked to the development and completion stages of a multiunit
development. Before turning to the development and completion stages,
the Commission addresses the planning stage from the developer‘s
perspective.
C
Planning Stage
2.06 In this Part, the Commission addresses some key issues which arise
for developers at the planning stage: taking in charge, off-plan sales and the
phasing of developments.
2.07 With regard to taking in charge of multi-unit developments, the
Commission considers that it is vital for developers to make clear to the
planning authority at the planning stage whether it is intended that the estate
remains privately managed or whether it should be taken in charge by the local
authority. Ensuring clarity on this matter at planning stage is beneficial to all
parties. It allows local authorities to resource themselves adequately according
to whether developments will need to be taken in charge. It allows developers to
plan whether to market a development as one where the exterior areas will be
publicly accessible or not which, in turn, will be important information for
potential unit purchasers when the units are put up for sale. This also has
implications for the level of service charges which will be charged.
2.08 This issue is, admittedly, more relevant to gated housing estates than
apartment developments. This is because, as a general rule, the extent to which
it is possible for apartment developments to be taken in charge is relatively
limited. With regard to gated developments, however, where the majority of unit
owners for whatever reason express a preference for the unit not to be taken in
charge it seems reasonable that these wishes are respected. 3 The question
then arises as to the appropriate juncture the decision is made to remain a
private development. 4 If the developer believes that the development should
remain private and markets it as such, the situation should be relatively
straightforward. The option still remains under s.180 of the Planning and
Development Act 2000, discussed in Chapter 1, to have the estate taken in
charge at a later date. However, where no express declaration has been made
3
Such developments are rare but a few exist in each local authority area the
Commission researched.
4
That is, a development whose exterior common areas are not taken in charge by
the local authority under the Roads Acts.
43