The management of your strata property is just as crucial as the initial purchase of the property. Strata plans with a history of great success typically have skilled management. However, a lot of lot owners are unaware of their strata scheme’s management responsibilities.
Although strata management, property management, and building management professions have roles that are similar, it is important to comprehend how a strata manager maintains your unit, handles crises, and what they are not legally allowed to do. Continue reading for a clear explanation of strata management.
Strata Management: What is it?
The term of strata management has been interpreted in a number of sources to reflect its actual role in the strata space. A strata manager is a person who carries out numerous duties for an owners corporation in accordance with the Strata Management Act 2015 in NSW.
A strata manager is in charge of a collection of apartments or building blocks that are shared by several owners of real estate. The manager makes sure the building complies with all state regulations, is insured, has modern administrative procedures, and is well maintained on the direction of the owners corporation.
What exactly does a strata manager do?
The person in charge of the daily operations of the strata scheme, comprising the building complex and the common areas, is known as the strata manager. The owners’ corporation must carefully develop a management unit for the strategy to succeed.
In a plan, the company and the executive committee will collaborate with the lot owners to equitably control, manage, maintain, and administer the estate in order to offer a comfortable living environment for strata residents.
What are the particular tasks and obligations of a strata manager?
The strata property ownership gives a strata manager the authority to oversee the scheme’s activities. In accordance with the size and complexity of the property, the owners may choose one or several managers.
Systems and structures are put in place by strata managers to support their industry expertise and ensure the seamless operation of strata. They have an edge over individual unit owners when it comes to running the scheme better as a result of all the policies and experiences.
A written agreement between the owners corporation and the strata manager is established, outlining the obligations of each side.
It would be quite impossible for each individual strata management to specifically state what they would like the manager to perform for them given that they are in charge of numerous homes owned by various individuals.
To prevent misunderstandings, shifting of blame, or disagreements, the owners must be made fully aware of the strata manager’s duties.
Depending on the terms of the contract, these managers may also be tasked with the following duties and obligations in addition to providing general advise on property management:
1. General property upkeep:
Strata management is a constantly changing position that entails striving to provide and uphold a comfortable stay for strata tenants. It is frequently difficult for owners to distinguish between common and private land, which makes dividing up maintenance duties tough. By using the strata plan for the building, the strata manager can clarify this situation.
2. Update and upkeep of scheme records:
Although the owners corporation should be in charge of keeping the scheme’s records, most corporations give strata managers this duty. The Strata Schemes Management Act 2015 (NSW), Section 180, mandates that strata projects in NSW keep the following records for at least seven years:
- all owner meetings’ notices
- All communications made or received by the plan.
- Records that the strata manager submitted to the company.
- Deliveries of proxies to the strata committee The seven-year period will begin when the proxy expires.
- motions, agendas, and minutes of the corporation’s meetings are debated and approved.
- a written contract between the organisation and the strata manager.
- papers for voting on motions and a strata committee election resolution.
3. Financial management:
Strata property owners keep financial records, including tax returns, utility payments, salaries and wages, and more, much like any other industry. These monetary commitments concern both individual units and communal property.
Such operations are funded by the owners corporation through the administration fund, capital works fund, and sinking fund. Future capital expenditures are funded by the capital works fund, and daily operations of the system are managed by the administrative fund.
4. Setting and managing meetings and correspondence for an owners corporation:
The manager of a scheme is in charge of interacting with the corporation on a number of issues, including levy collection, property insurance, upkeep of all shared facilities, and notices for members’ meetings.
5. Ensure safety compliance:
Regardless of their size, location, or usage, all strata complexes in Australia are subject to the same strata laws. Owners are required to abide by the established laws and regulations regarding elevators, fire safety, parking, and shared space rules. Strata managers make sure that all public spaces always abide by the relevant laws and rules.
Who doesn’t manage a strata?
Strata managers play a variety of important duties, but some of their responsibilities go outside the purview of their job description.
Most significantly, they are unable to provide legal advice and can only make recommendations based on prior encounters. A skilled manager will also know when to obtain legal counsel in cases where a legal opinion is necessary.