An owners’ corporation manages the common property of a development, such as the gardens, passages, walls, stairwells and fences.
All flat, apartment or unit owners are part of an owners’ corporation.
The role of the manager
Owners’ corporation managers perform a range of tasks. According to Consumer Affairs Victoria, these may include:
Preparing and distributing notices, agendas and minutes
Attending to correspondence
Arranging quotations for repairs and maintenance
Taking out and maintaining required insurance
Preparing financial statements and budgets
Providing owners’ corporation certificates
Maintaining the owners’ corporation register and records
Arranging audits and reports required by law, and
Establishing a grievance procedure.
Matters that require a special or unanimous resolution or the decision of the owners cannot be delegated to the manager.
The owners’ corporation manager may be a volunteer or a paid professional; both have the same legal obligations. Before appointing a manager, you should:
1) Size them up
Ensure the owners’ corporation management is the right size for your property. A small townhouse complex with four properties will require different management from an apartment block with 100 dwellings.
2) Do your homework
Check the manager’s registration on the Business Licensing Authority’s public register of owners’ corporation managers and see whether any orders have been made against them. Are they using industry-endorsed documents, as most professional managers will be members of a professional body? Is their customer service up to scratch? Are they available outside of business hours and on-site? Do some online digging before you sign the dotted line.
3) Compare fees
If there is only a small amount of common property, such as a small garden to maintain, make sure you are not paying hiked up fees with all of the bells and whistles. Don’t overpay for things you don’t actually need.
4) Suss out who they use
Does your owners’ corporation management have a reputable and reliable list of suppliers and contractors? Who will actually be taking care of the common property?
Want to know more?
If you are still confused about which owners’ management corporation to choose, LDB can help. Call (03) 9875 2900 or leave a note via our contact form.