Managing your strata manager

Strata managers are employed by apartment owners to help manage apartment buildings, in particular to provide administration services for the owners corporation, and to maintain common property.

It’s not uncommon for the relationship between the owners and the strata manager to become strained if the owners feel they are not receiving an adequate level of service. Strata managers can be expected to manage as many as 90 properties at once, making personalized service almost impossible.

Common problems include:

  • high turnover of personnel,
  • poor communication,
  • failure to take a proactive approach to maintenance, and
  • poor knowledge of the property.

Chloe Jones owns an apartment in Coogee, and had become frustrated with the lack of care shown by their strata manager. The other owners shared her concerns, so they set out to find a replacement that could more adequately meet the owners’ needs.

Jones’ apartment is in one of two blocks on the property. Both blocks are old, and surrounded by large gardens. The owners corporation came to the view that the age of the buildings and the size of the gardens meant regular maintenance was essential, and the existing manager was not providing an adequate service for the property’s needs.

Jones also described a ‘revolving door’ of new managers, which meant there was no continuity of service, and only a superficial understanding of the property, which was beginning to fall into disrepair.

Jones saw that the owners corporation needed to take action. “We had a moment of strong leadership of owners, and we had to drop the apathy. We all knew we needed a change, but it all seemed too hard. You do need a little bit of energy to get that change happening.”

Jones took charge. She wrote a tender letter to a selection of strata managers describing what they were looking for. “Because our property is complicated, I created a tender letter and stated exactly what we were looking for. The major-works concerns we have, any litigation, and the maintenance issues we’ve had in the past. I was very clear that we would be wanting someone who would be very proactive in offering advice, who could help facilitate communication, and who would be able to set up regular maintenance. I mean, things that would be no-brainers, that weren’t happening for us.”

Jones felt that the initial response to the tender letter was key. “I thought their response to the letter was a good litmus test of how much time the person had to think about the problems, and what their information was. If we’re high maintenance, I might as well put it out there,” she said.

Jones met with some of the respondents, and made sure the person she met was the person who would be managing their property. She collated her findings into a table that she distributed to the owners. She included fees, gut feel, how they responded to the letter, and what more they needed to know. She also made a point of finding out how many properties each manager was expected to look after.

“That gives you a good sense of what you can realistically expect,” said Jones.

Jones asked each of the prospective managers how they would help with a common problem. She explained that the property has great group of owners, but they get apathetic. “We decide to do something,” she said, “But then it stalls because we’re all really busy. It’s important to be honest,” she said.

Jones also set up a Facebook page for the owners, so they could share their thoughts and findings about the various managers. Jones said it was a good way for the owners to connect.

In the end, the owners elected to change strata managers. The company that best met their requirements was Dalton Strata Services, a smaller company that caps the number of properties managed at around 20. Stacey Dalton, the owner of Dalton Strata Services, explained what sets her company apart.

“I provide a personalised, tailored service.  Each building comes with its own unique set of issues, personalities and problems. I believe a cookie-cutter approach to management has no place in strata.”

Dalton’s visit to the site also established a foundation for future communication. “There are three things that are of the utmost importance to being a successful strata manager,” she said, “Being able to work as part of a team, being able to build and maintain relationships, and being a good communicator. Without these three skills you can not effectively manage a strata scheme.”

Jones was impressed that Dalton said she would conduct regular site visits. That was something that no other manager was offering. “We’re looking for someone to really help us be on top of it. We knew this was someone who would know that if we said something was in the north-west corner, she would know what we mean.”

Dalton explained what to look for if you are considering changing strata managers. “Look for someone with experience and who is licensed and professional. Look for someone who suits your style of building. I am a small boutique company specialising in buildings from 4 to 60 lots, whereas some corporate strata management companies specialise is buildings of more than 100 lots. Look for someone with a can-do attitude. Strata management requires a motivated and driven personality. It’s not an industry for slackers.”

Griffith Real Estate
Related Posts
Managing your strata manager