(1)This section applies if—
(a)a lot included in a community titles scheme (scheme A) is subdivided by a plan of subdivision; and
(b)the lots created under the plan of subdivision become lots in scheme A.
(2)Land in the subdivided lot that does not become a lot in scheme A could become common property for scheme A.
(3)However, if the community management statement for a community titles scheme for which scheme A is a subsidiary scheme provides that the land is to become common property for a scheme (the higher scheme) for which scheme A is a subsidiary scheme, the land could become common property for the higher scheme.