Exclusive Use Area (EUA) Calculator
Calculate the value, rental income, levy cost, and total annual ownership cost of an EUA in a South African sectional title scheme
| Item | Detail |
|---|---|
| EUA Type | Covered Parking Bay |
| Size | 15 m² |
| Insurance Responsibility | Body corporate covers structure; owner covers vehicle. |
| Maintenance | Owner responsible for bay surfacing, line marking. |
| Resale Impact | Covered parking adds R80,000–R200,000 to flat resale in urban areas. |
| Legal Basis | STSMA Section 27 (Sectional Titles Schemes Management Act) |
| PQ Levy Basis | Levy based on Participation Quota — EUA levied separately |
Understanding Exclusive Use Areas in South African Sectional Title STSMA • Section 27 • PQ Levy
What is an Exclusive Use Area (EUA)?
An Exclusive Use Area (EUA) is a portion of common property in a sectional title scheme that is set aside for the exclusive use of a specific owner. Common EUAs include covered parking bays, private gardens, storerooms, and roof terraces. While physically part of the common property, the EUA owner has exclusive rights to use it.
Under the Sectional Titles Schemes Management Act (STSMA) Section 27, EUAs can be registered at the Deeds Office, giving the owner a registered right that passes with the property on resale. Alternatively, EUAs can be created by body corporate rule — but these offer weaker protection and can be revoked.
PQ-Based Levy Allocation
Body corporate levies are allocated based on Participation Quota (PQ) — each unit's share of the total scheme floor area. EUA owners pay an additional levy for their exclusive use area, calculated separately based on the EUA size and type. This levy covers insurance of the structure and the body corporate's administration costs.
The EUA owner is responsible for maintenance of their exclusive area — for example, a garden EUA owner must maintain the garden at their own cost, while the body corporate insures the structural elements.
Worked Example: Parking Bay EUA
Zanele buys a flat for R1,500,000 that includes a registered covered parking bay EUA of 15m². The EUA is registered on the title deed under STSMA Section 27.
Her monthly levy for the unit is R2,800. The EUA contributes an additional R225/month (R15/m² × 15m²) to her total levy of R3,025/month.
She could rent the parking bay to a non-resident for approximately R1,275/month (R85/m² × 15m²) with body corporate permission, generating R15,300/year — enough to cover the annual EUA levy of R2,700 and generate R12,600 net income.
Frequently Asked Questions
What is the difference between a registered and unregistered EUA?
A registered EUA (under STSMA Section 27) is recorded at the Deeds Office and appears on the sectional title deed. It transfers automatically with the unit on sale and cannot be revoked without the owner's consent. An unregistered EUA (body corporate rule only) is revocable by special resolution and provides much weaker protection. Registration costs R5,000–R15,000 but is strongly recommended.
Can I sell my EUA separately from my sectional title unit?
Generally no. A registered EUA is attached to a specific sectional unit and cannot be sold separately unless the scheme rules specifically permit it. However, you can lease your EUA (e.g., rent out your parking bay) to another owner or external party, subject to body corporate approval.
Who is responsible for maintaining an EUA in South Africa?
The EUA owner is responsible for maintaining the exclusive use area at their own cost. For a garden, this means all landscaping and irrigation. For a parking bay, the surface and markings. For a roof terrace, waterproofing maintenance (though this can be disputed — check your scheme rules). The body corporate insures the structural elements but not the owner's improvements or contents.
How does an EUA affect my property's resale value?
EUAs generally add resale value, particularly in areas where they are scarce. A covered parking bay in a Cape Town CBD building can add R80,000–R200,000 to resale value. A private garden in a complex without gardens adds R50,000–R150,000. Storerooms add R30,000–R80,000. However, the EUA must be registered to reliably transfer this value to buyers.
What body corporate approval is needed to create a new EUA?
Under STSMA, creating a new EUA over common property requires a special resolution — approval by at least 75% of members by value at a general meeting. The body corporate then instructs a conveyancer to prepare the EUA rule or notarial deed, which is registered at the Deeds Office. The process typically takes 4–8 weeks and costs R5,000–R15,000 in legal and Deeds fees.