Real Estate Investor Magazine South Africa April 2015 | Page 36
LEGAL
Noisy
Generators
Generators in complexes generate heated debate
BY MARINA CONSTAS
S
trained power utility Eskom has been warning
South Africans to expect load shedding for at
least the next two years. Many homeowners and
businesses are now hurriedly purchasing generators.
‘Gennies’ are fast becoming a necessity in South
African homes. Their installation in sectional title
complexes, however, is the subject of heated debate.
“If trustees and homeowners arm themselves with
the facts, a generator can be an invaluable acquisition
for every sectional title development, aiming to adapt
to load shedding,” stresses Marina Constas, Director of
BBM Attorneys.
“Trustees must investigate all
options and attempt to purchase
the generator with the lowest
noise levels.”
Her first word of advice is that it is preferable to
have one generator for the complex as a whole, rather
than permitting individual owners to have their own
generators.
Once this has been agreed upon, question whether
the complex buying the generator is making a ‘necessary’
or a ‘luxurious’ improvement to the development.
Different resolutions are required for each type of
improvement, according to the Sectional Titles Act.
“If it is a luxurious improvement, then a unanimous
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April 2015 SA Real Estate Investor
resolution is required in terms of Management Rule
33 (1),” Constas explains. “If the generator is seen as
a necessary improvement, then a special resolution
is required, and the complex must comply with the
procedure set out in Management Rule 33 (2). Among
the stipulations is that owners must receive all the costs
at a special general meeting. They will need everything
in front of them before they are able to decide, and
take the special resolution,” she notes. “A special levy
may then be imposed for the generator’s service and
maintenance,” she adds.
Constas believes that in light of the security risks
posed by electricity outages and load shedding, an
immovable generator is a necessity. She elaborates: “A
complex’s security systems are generally dependent on
the electricity supply. Electric fencing, alarms, electric
gates and intercoms may be affected if there is a power
outage, and homeowners are put at risk. For this reason,
a generator must, in most instances, be viewed as a
necessary improvement to the sectional title scheme.”
When it comes to generators, however, not all units
are created equal, and in a complex in particular, the
noise emitted is a significant consideration. Constas
recommends that trustees must investigate all options
and attempt to purchase the generator with the lowest
noise levels. “The generator must be stored where it will
cause the least amount of nuisance to all homeowners
in the scheme, and where the fumes will not affect the
owners,” she concludes.
RESOURCES
BBM Attorneys
www.reimag.co.za