MONTAGUE HEIGHTS PROPERTIES LIMITED
Frequently asked questions

What is it? How does it work?

Montague Heights Properties Limited is a corporation with 16 shares. The corporation owns the property on Galiano Island. The 16 shares of the corporation are being sold. Each share is associated with a specific surveyed area of the property. When you buy a share, you have complete control over the use and enjoyment of the specific area associated with that share. The structure is similar to a condominium in that each share holder is responsible for maintaining their specific area while the common areas are maintained by the corporation. The common areas on this property are primarily the roads. The corporation is made up of all the shareholders.

Why a share structure and not "fee simple"?

To create fee simple lots, each fee simple lot, by law, must have access by a highway standards road. This would have required each lot to be serviced by a 66 foot wide right of way asphalt topped road. Construction of this type of road would have quadrupled the cost of each lot. Simple driveway access to the building sites has considerably less negative impact on the environment. This is more in keeping with the rural character of Galiano and supports important environmental issues on the Island.

Is the corporate structure unusual?

These corporate structures are not unusual but most people are not aware of them. On Galiano there are 7 other similar ownership structures dating back to 1980 with over 90 shares in total and these shares have been bought and sold just like any other piece of real estate.

What size home can I build on my site?

There are 2 classes of shares. Class A shares allow you to build any size single family home along with a 55 square meter out building such as a garage, studio, storage shed or whatever (but not to be lived in). Class B shares allow you to build a 60 square meter cottage (as defined by the Galiano Land Use bylaw) along with a 25 square meter out building. You look after building the structures yourself. You can hire a builder or be your own general contractor. Montague Heights Properties is not building houses for share buyers. The original owners own shares themselves and are building their own houses.

Is financing available from Montague Heights Properties?

Yes and your real estate agent can obtain the details from the listing agents.

How do I sell my house?

When you decide that you want to sell, you can list your share with a real estate agent or sell the share yourself, just like any piece of real estate. What you sell is your share in the corporation. Along with this share comes the right to the specific area associated with that share. This includes any buildings or improvements that have been constructed on the site.

What control do I have over the property?

You have complete control over your specific area. Of course, as in all construction, all local building codes and bylaws have to be adhered to. The common areas of the property are controlled by the corporation. The common areas are primarily the roadways. There are only 16 shares so everyone has a large say in what the corporation decides. Each shareholder has a vote in electing the Directors, (from the pool of shareholders), of the corporation who look after the interests of the shareholders.

What about water supply and sewer systems?

Each building site will have a private well or a private water catchment system so each shareholder does not have an expensive joint water system to contribute to. Each building site will also be required to have a septic system.

What are my monthly costs after I buy a share?

Cottage share:

1. 2009 property tax: $31.10
2. 2009 corporate expense: $2.46

House share:

1. 2009 property tax: $79.98
2. 2009 corporate expense: $6.32

After you improve your specific area (build a house), you will get a separate property tax bill on your improvement that you will be responsible for. Unlike a condominium complex, we do not have major common property expenses which spiral out of control.