Tower seeks to ban short-stay tenants
The exclusive St Kilda Road residential tower in which property developer Harry Stamoulis is selling his $15 million penthouse has moved to ban short-stay tenants.
Owners corporations in apartment buildings across Australia are grappling with the difficulty of banning short-stay tenants whom residents commonly blame for disruptive behaviour. Owners in the Royal Domain Tower, across the road from the Shrine of Remembrance, voted overwhelmingly for corporation rule changes that forbid them to "lease, sublease or license a lot on a commercial basis for short-term periods of less than 30 calendar days".
Earlier this year, short-stay business operator Paul Salter overturned a Melbourne City Council decision to forbid his Docklands Executive Apartments from leasing apartments in the Watergate building on a short-term basis. The council has lodged an appeal against the Supreme Court's decision.
Any ruling will have national significance as the building code used to ban short stays is an Australia-wide regulation.
Changing a building's owners corporation rules was unlikely to stop short-stay use, said property lawyer Michael Teys.
Mr Teys, who represented the owners corporation in the Watergate case, said similar changes to owners corporation rules were tried in Queensland and NSW without success. "We're now seeing it emerge in Victoria. It's a good attempt at a difficult problem but it's not going to get them there."
Mr Stamoulis has listed the 36th-floor penthouse in the building for sale as construction nears completion on his $54 million Toorak mansion.