Section 100 Vote (Wind-Up)

A Section 100 Vote is a mechanism under Section 100 of the Strata Property Act (SBC 1998, c. 43) that allows a strata corporation to dissolve (wind up) and sell the entire strata property, typically for redevelopment purposes. The vote must be approved by at least 80% of the eligible voters at an annual or special general meeting. Once passed, the wind-up resolution triggers a court approval process before the strata corporation is formally dissolved.

Under Section 100 of the Strata Property Act (SBC 1998, c. 43), a wind-up resolution requires the approval of at least 80% of the strata corporation's eligible voters. This is a higher threshold than an ordinary resolution (majority) or a three-quarters vote, reflecting the significance of dissolving the strata corporation and conveying all lots to a purchaser. Eligible voters are determined in accordance with the Act and the strata corporation's bylaws.

No — unanimous agreement is not required under Section 100 of the Strata Property Act (SBC 1998, c. 43). An 80% approval of eligible voters is sufficient to pass the wind-up resolution, meaning dissenting minority owners can be bound by the outcome. However, the resolution must subsequently receive Supreme Court of British Columbia approval, which provides an opportunity for dissenting owners to raise objections before the wind-up proceeds.

After a wind-up resolution is passed under Section 100 of the Strata Property Act (SBC 1998, c. 43), the strata corporation must apply to the BC Supreme Court for an order confirming the wind-up. The court reviews whether the process was conducted properly and considers the interests of all owners, including any dissenting owners who wish to oppose the dissolution. The court may confirm, modify, or reject the wind-up, and its order is required before the strata corporation can be formally wound up and the property transferred.

Under the Strata Property Act (SBC 1998, c. 43), the proceeds from a wind-up sale are generally distributed among strata lot owners in proportion to their unit entitlement, unless the wind-up resolution or a court order provides otherwise. Unit entitlement is the figure shown in the strata plan that determines each owner's share of common expenses and, in this context, their share of sale proceeds. Owners should seek independent legal advice to understand how their specific unit entitlement affects their individual payout.

Yes — when a buyer purchases the entire strata property following a Section 100 wind-up under the Strata Property Act (SBC 1998, c. 43), Property Transfer Tax (PTT) is generally payable under the BC Property Transfer Tax Act on the fair market value of the property transferred. PTT is calculated at 1% on the first $200,000, 2% on the portion from $200,001 to $2,000,000, 3% on the portion from $2,000,001 to $3,000,000, and an additional 2% on the residential portion exceeding $3,000,000. Buyers should confirm whether any exemptions may apply to their specific transaction with the BC Ministry of Finance.

A real estate licensee in BC is governed by the Real Estate Services Act (RSBC 2004, c. 42) and the rules established by the British Columbia Financial Services Authority (BCFSA). When representing a strata lot owner in a wind-up context, the licensee must act in the client's best interests, provide full disclosure of all known material information, and avoid conflicts of interest. Because a Section 100 wind-up involves complex legal and financial considerations, licensees must be careful not to provide legal advice, which remains the domain of a qualified BC lawyer.

A Section 100 wind-up under the Strata Property Act (SBC 1998, c. 43) addresses the dissolution of the strata corporation itself, but if the strata property is located within BC's Agricultural Land Reserve, any proposed redevelopment use must also comply with the Agricultural Land Commission Act (SBC 2002, c. 36). The Agricultural Land Commission (ALC) regulates permitted uses within the ALR, and a non-farm use or subdivision may require ALC approval regardless of the wind-up vote. Parties should contact the ALC directly to determine what approvals are required for the intended redevelopment.

Upon a wind-up of a strata corporation under Section 100 of the Strata Property Act (SBC 1998, c. 43), the assets of the strata corporation — including any funds held in the contingency reserve fund — are dealt with as part of the winding-up process under the supervision of the BC Supreme Court. These funds are generally distributed to owners or applied to outstanding obligations of the strata corporation in accordance with the court's order. The precise treatment depends on the specific circumstances, any remaining liabilities, and the terms approved by the court.

When a strata lot subject to a registered mortgage is included in a Section 100 wind-up under the Strata Property Act (SBC 1998, c. 43), the mortgage holder (lender) has an interest in the proceeds attributable to that strata lot. The owner's share of the sale proceeds will typically be used first to discharge any outstanding mortgage and other registered charges before the remaining net amount is paid to the owner. Owners with mortgages should notify their lenders early in the wind-up process and seek independent legal advice to understand how their specific encumbrances will be handled.