It is easy to get confused with all the jargon flying around! Let us try and explain the difference between a Strata Manager, a Building Manager/Caretaker and a Property Manager.
Please note: this article does not reflect the NSW Strata Schemes Management Act 2015 which came into effect on 30 November 2016. It is based on the NSW Strata Schemes Management Act 1996. Please use this article for information only, and check with your strata manager to ensure you comply with the most up-to-date legislation and requirements.
A licensed Strata Manager is a licensed professional who manages the day-to-day affairs for a strata titled or community titled scheme or building. They ensure the scheme is properly managed for the enjoyment of all lot owners and tenants. This includes the conducting of meetings, collecting strata levies, arranging repairs and maintenance, managing a scheme’s financial affairs and strata insurance. Your strata manager also handles issues and complaints between residents and raises these with the Executive Committee for resolution. A Strata Manager may also be know as owners corporation managers, strata managing agent, or body corporate manager. Different titles tend to be used in different states and are often based on state legislation or terminology used in the past.
In future posts we will cover the various aspects of Strata Management in greater detail. Watch this space!
A Building Manager, or Caretaker, within the context of strata management is somebody who is usually stationed onsite at a building and performs daily cleaning and maintenance services. The onsite building manager reports any need for repairs to the Strata Manager and is the contact for any contractors performing work on common property. He or she typically works during normal business hours and reduced hours over the weekend.
A Caretaker is either appointed by the original owner or developer or by the owners corporation. Any caretaker, or building management agreement between the original owner and the caretaker must end at the conclusion of the first Annual General Meeting (AGM). The agenda of the first AGM must have a motion on whether to appoint a caretaker and if so which duties this person should perform. From 10 February 2013 the Act limits the duration of any building management agreement to 10 years, however both parties may agree to renew the agreement. Any agreement signed prior to this date and that is for a period longer than ten years is valid for the full term.
It is important to note that under the Act certain strata responsibilities can only be delegated to strata managing agents, who hold the appropriate license. It is important to seek appropriate advice before you appoint a building manager. Ideally you appoint a Caretaker through your Strata Manager as this will ensure you are covered and can rest assured. It also guarantees close cooperation between the Caretaker, Strata Manager and the Owners’ Corporation which will deliver the optimum outcome for your property.
Finally, a Property Manager typically works for a real estate agency and primarily represents the owner, or landlord, of a property and its tenants. This property could be a house or a strata titled lot, or unit. They manage tenants of the property, collect their rent, payment of certain bills and organise repair and maintenance. If the property is a unit, any repairs and maintenance relating to the airspace within the apartment is managed by the Property Manager, any issues relating to common property are handled by the Strata Manager. If the tenant raises any strata related issues, the Property Manager will take these up with the Strata Manager. A tenant typically has no direct dealings with the Strata Manager, who only represents owners of a lot.
Premium Strata offers both excellent Strata Management and Building Management services. Call us today for an obligation free chat! We are happy to answer any questions you may have.
We hope you found this little guide useful. Please keep your eyes open for future posts, as we will continue to work towards making the somewhat complex world of strata management just that little bit easier to understand.