14th January, 2026
What Is Company Title?
Company title is an older form of property ownership in New South Wales (NSW) that existed before strata title was introduced. Because of this, many purchasers are unfamiliar with how it works.
In a company title building, a company owns the land and building. Purchasers buy shares in that company rather than real estate and those shares give the right to occupy a specific apartment. They may also allow use of shared spaces like gardens or car parks.
Legally, no Certificate of Title is issued, instead, the purchaser receives a share certificate after settlement. As a result, ownership feels different to strata property.
How Company Title Buildings Are Managed
Company title buildings are managed by a board of directors. These directors are elected from among the shareholders. They manage the building according to the company constitution (also known as the Articles of Association).
However, each company constitution is different. Because of this, rules vary significantly between buildings. For example, approval may be required to buy or sell. Similarly, some buildings can restrict leasing or occupants.
Therefore, legal advice should be obtained before committing. A review of the constitution is especially important.
Advantages of Company Title
There are several benefits to company title ownership. Firstly, apartments are often more affordable than strata equivalents. This can make entry into the market easier.
Secondly, company title buildings often have a higher proportion of owner-occupiers. Because boards can control occupancy, these buildings may offer a quieter and more stable living environment.
In many cases, management can be simpler than strata schemes. Issues may be resolved faster due to smaller decision-making groups.
Disadvantages of Company Title
However, company title properties also have notable drawbacks. Some lenders apply stricter lending criteria, which can limit finance options. As a result, resale demand may be reduced, and property values may grow more slowly over time.
In addition, approval requirements can restrict resale opportunities. Breaching the company constitution can also have serious consequences. Notably, cooling-off periods do not automatically apply, as purchasers are acquiring shares rather than real property.
Why Legal Advice Matters
For these reasons, company title transactions require careful handling. A detailed contract and constitution review is essential. Early advice can help purchasers understand risks and obligations.
Castrikum Adams Legal assists clients with all company title matters across the Gold Coast and Northern Rivers, including Byron Bay, Bangalow, Murwillumbah, Alstonville and Ballina. Contact our team today on 6687167 to ensure your investments are completely protected.
If you found this blog helpful, please check out our other blogs on Corporate Law.
The content of this Blog does not constitute legal advice, is not intended to be a substitute for legal advice and should not be relied upon as such. You should seek legal advice or other professional advice in relation to any specific matters you or your organisation may have.