What are lot entitlements and why do they matter?

Lot entitlements are numbers assigned to each lot in a scheme that determine two critical things: **Contribution entitlements** — determine how much of the levies you pay. A lot with a higher contribution entitlement pays a larger share. **Interest entitlements** — determine your voting weight at general meetings. A lot with higher interest entitlement has more votes. In many schemes both types of entitlement are the same number, but they can differ. Entitlements are set when the scheme is registered and recorded in the community management statement. They can only be changed by a resolution without dissent of all lot owners — making them very difficult to alter in practice. Before buying, check the entitlements of the lot you are purchasing relative to other lots in the scheme. A lot with high entitlements pays more in levies but also has more voting power. This article is general information only and not legal advice.