Body Corporate of Savannah Park v Brainwave Projects 1147 CC and Others (12257/2009) [2011] ZAKZDHC 86 (1 January 2011)

Body Corporate of Savannah Park v Brainwave Projects 1147 CC and Others (12257/2009) [2011] ZAKZDHC 86 (1 January 2011)

The court held that the developer's right to lease the relevant section is exercised upon commencement of development, not only upon registration of the plan of extension or inclusion of the unit in the sectional title register. The developer, having reserved and exercised its right under section 25, is entitled to...

Source-derived case information.

Citation
[2011] ZAKZDHC 86
Parties
Applicant: Body Corporate of Savannah Park; Respondent: Brainwave Projects 1147 CC; Respondent: Vodacom (Pty) Ltd; Respondent: Registrar of Deeds, Pietermaritzburg; Respondent: Surveyor General, Pietermaritzburg
Court
Kwazulu-Natal High Court, Durban
Jurisdiction
South Africa
Case Number
12257/2009
Procedural Posture
Civil Application / First Instance Judgment
Outcome
Application dismissed with costs.
Judges
Griffiths AJ
Legal Topics
Sectional Titles Act, Developer Real Rights, Lease of Common Property, Registration of Extension, Body Corporate Powers
Land and Property Civil Procedure Sectional Titles Act Developer Real Rights Lease of Common Property Registration of Extension Body Corporate Powers

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Parties

Body Corporate of Savannah Park

Applicant

Brainwave Projects 1147 CC

Respondent

Vodacom (Pty) Ltd

Respondent

Registrar of Deeds, Pietermaritzburg

Respondent

Surveyor General, Pietermaritzburg

Respondent

Procedural Posture

Civil Application / First Instance Judgment

  1. 1 Whether the developer or the body corporate is entitled to the income from the lease of a cell phone mast erected on property subject to a reserved right under section 25 of the Sectional Titles Act.
  2. 2 At what point does the developer exercise its reserved right under section 25, thereby acquiring the right to lease the property and receive the fruits thereof.
  3. 3 Whether the absence of registration of the plan of extension or inclusion of the unit in the sectional title register affects the developer's entitlement to lease income.

Ratio Decidendi

The court held that the developer's right to lease the relevant section is exercised upon commencement of development, not only upon registration of the plan of extension or inclusion of the unit in the sectional title register. The developer, having reserved and exercised its right under section 25, is entitled to lease the property and receive the income from the lease agreement with Vodacom. The absence of registration of the extension does not deprive the developer of this entitlement. The applicant, as body corporate, is not entitled to the fruits of the lease, and the application must be dismissed.

Court Disposition

Application dismissed with costs.

Orders

  • The application is dismissed with costs.