Are there any special status certificate issues for phased condominium developments in Ontario?
Phased condominiums are developments built in stages, with new units or phases added over time under the Condominium Act, 1998's phased development framework. Buying in a phased development involves additional complexity that is reflected in and beyond the status certificate.
The status certificate for a unit in a phased development should disclose the terms of the phasing plan, including how future phases may affect the common elements, common expense contributions, and the reserve fund. As new phases are added, existing owners' contributions and their proportionate ownership of common elements may change. A phase that adds a new amenity building, for example, may increase all owners' common expenses.
The phasing plan — which is part of the registered declaration — defines the developer's rights to add phases, what common elements they must provide, and what protections existing owners have. Reviewing the phasing disclosure carefully in the status certificate and declaration is important before buying into an early phase where future phases are planned but not yet registered.
Key takeaways
- Phased developments involve additional disclosure requirements in the status certificate.
- Future phases can affect common expenses and ownership percentages for existing owners.
- The phasing plan in the declaration sets out developer rights and owner protections.
- Early-phase purchases carry more uncertainty about the final shape of common elements and costs.