Company Title: A Unique Way to Own Property
Most people buying real estate in Australia have never heard of Company Title and that’s not because it’s outdated. It’s simply less common and often overshadowed by the Torrens Title system we all know so well. Under Torrens Title, once a property transfer is registered, the ownership is guaranteed by the state. It’s clear, modern, and reliable.
But Company Title offers something a little different and in some situations, something surprisingly useful.
A lot of our subscribers have been asking us about Company Title and how it works? So we put this together especially for them.
What Is Company Title (In Plain English)?
Instead of receiving a title deed to a unit or piece of land, you buy shares in a company that owns the whole property. Those shares give you the right to live in (or use) a specific part of the property.
Think of it as co-owning something with others, but with clear rules about who gets what space. The company’s constitution sets out the rights, responsibilities and how the property is managed.
How Company Title Differs From Strata Title
With its inception in 1961 Strata Title eventually replaced Company Title as the go-to model for shared buildings. With strata, you own your unit as freehold and share ownership of common property.
Company Title came earlier and instead of splitting the building into lots, it split it into shareholdings.
You’ll still find many Company Title buildings today, especially in older, character-filled areas of Sydney like Potts Point, Elizabeth Bay and Woollahra. Some medical suites and professional buildings also use it because it gives tighter control over who can occupy the premises.
Yes It’s Also Been Used to Divide Acreages
Here’s something most people don’t know: Company Title hasn’t only been used for apartments. It has also been used as a simple, practical way to divide large acreages or rural properties.
Instead of going through a formal subdivision (which can be expensive or not permitted), landowners have sometimes created a company to own the entire acreage. They then allocated shares that give people the right to:
Use a particular area of the land
Enjoy shared access roads, dams or open space
Build or farm on specific parts (depending on the rules)
It’s a clever, community-style approach that allowed families, groups of friends or investors to own and use large rural properties together each with their own space, but as part of a shared parcel of land.
Some of these arrangements still exist today in lifestyle acreage communities and long-established rural holdings.
Buying & Valuing a Company Title Property
Because you’re buying shares, not a land title, the process feels a little different.
Amongst other things a buyer or valuer will look at:
The company constitution
Any occupancy rules
The share structure
How the building (or land) is run
Banks will often require a higher deposit, but not all lenders say no.
The Upsides of Company Title
While Company Title isn’t right for everyone, it does offer some real positives:
More control over who lives in the building great for community-minded blocks
Often lower purchase prices compared with equivalent strata units
A strong sense of shared ownership
Flexibility for unique properties like rural acreages or older boutique buildings
Many people love Company Title buildings for their charm, their community culture and the stability that comes with carefully managed occupancy rules.
Things to Be Aware Of
It does come with some considerations:
You’re buying shares, not a freehold title
Some constitutions restrict renting or renovations
Lending can be trickier
Resale markets can be smaller
But for the right buyer especially those who value community, character, or unique land arrangements Company Title can be a genuinely rewarding option.
Final Thoughts
Company Title might not be the headline act in Australia’s property world, but it’s certainly one of the most interesting. From art-deco apartment blocks to shared rural acreages, it’s a creative and community-focused form of ownership that still plays an important role today.
Here are some terms to help with this article:
Company Title
A form of property ownership where you buy shares in a company that owns a building or land. Your shares give you the right to occupy a specific area.
Purple Title
Western Australia’s version of Company Title. Works the same way: you own shares, not land, and your shares give you the right to occupy a unit or home.
Torrens Title
Australia’s standard land ownership system, where the government guarantees your title to the property. Most houses and units use this system today.
Freehold / Estate in Fee Simple
The strongest form of property ownership, giving the owner full and permanent rights over the land.
Strata Title
A modern property system where you own your unit or lot outright (freehold) and share ownership of common areas like gardens, hallways, or driveways.
Constitution (of a company)
The set of rules that governs a Company Title property, including who can live there, how shares are sold, and what is allowed in the property.
Share Certificate
A document proving the number of shares you hold in a Company Title building or landholding.
LVR (Loan-to-Value Ratio)
The ratio of a loan to the property’s value. Company Title often has lower maximum LVRs, meaning you may need a bigger deposit.
Board Approval
In a Company Title property, selling or transferring shares usually requires approval from the company’s board of directors.
Common Property
Areas shared by all owners or shareholders, such as stairwells, gardens, or driveways.
Rural / Acreage Company Title
A less common use of Company Title, where shares correspond to portions of large rural land, allowing shared ownership and use of land without formal subdivision.
Disclaimer:
This article is intended for general educational purposes only and does not constitute legal or financial advice. Readers should seek independent legal and professional guidance relevant to their specific circumstances and jurisdiction.