Cross lease to fee simple with JOAL

[Shareguy]

We are currently working with a surveyor to convert two properties from cross lease to fee simple. The surveyor is suggesting that the common driveway be converted to a JOAL which is jointly owned access lot. This is instead of a right of way easement. This will give us three separate fee simple titles. Both owners will have a half share in the JOAL.

Anyone ever converted a cross lease and know anything about Joals? Advantages and disadvantages.

Any info would be much appreciated.

[BlackPeter]

We are currently working with a surveyor to convert two properties from cross lease to fee simple. The surveyor is suggesting that the common driveway be converted to a JOAL which is jointly owned access lot. This is instead of a right of way easement. This will give us three separate fee simple titles. Both owners will have a half share in the JOAL.

Anyone ever converted a cross lease and know anything about Joals? Advantages and disadvantages.

Any info would be much appreciated.

I understand JOAL's are the next big thing in Auckland ...

https://covekinloch.co.nz/2022/10/13/new-auckland-council-requirements-in-regard-to-jointly-owned-access-lots-joals/

and no, I have no experience in NZ with these thingies ... and would not desire to have, too.

What I know about jointly shared common property (like common areas in an apartment house) in other jurisdictions is that things always are more complicated and expensive than buyers assume - and the stink comes with age (and changing neighbours / joint owners).

Who is managing the joinedly owned property? Who is paying for repairs if for some reason the owners don't agree or some of them don't want to or aren't able to pay?

Nearly unlimited source of income for property lawyers, though. I am sure they love it.

[Shareguy]

Thanks BP for your info.

Yes shared driveways are not ideal. Our advice is that a JOAL gives you the same protections as a ROW with easements under the Property Law act. Cost estimate is about $35k

[Basil]

A big client of mine uses these guys.  I've met the head guys there and thought they were very professional.
https://civixcrosslease.co.nz/faqs

[Shareguy]

A big client of mine uses these guys.  I've met the head guys there and thought they were very professional.
https://civixcrosslease.co.nz/faqs

Thanks Basil. Have already got this underway. Will keep them in mind though for any future conversions.