Understanding the role of your owners’ corporation manager

Owners’ corporation managers are appointed by an owners’ corporation to carry out its day-to-day functions of managing and administering common property, but that’s only part of their role.

While the duties of an owners’ corporation manager include maintenance and repairs of common property such as driveways or parking lots, they are also responsible for maintaining insurance, keeping financial records, and other important legal and financial requirements.

The role of an owners’ corporation manager is complex and involves compliance with legal requirements and property management skills, so choosing an owners’ corporation manager requires a detailed understanding of what the role entails.

What is the role of an owners’ corporation manager?

On an administrative level, the role of owners’ corporation managers includes preparing notices, agendas and minutes, and ensuring compliance with the Owners Corporations Act 2006, the Owners Corporations Regulations 2007 and other regulations.

On a practical level, owners’ corporation managers create and maintain service and maintenance agreements for things like the sprinkler service and alarm monitoring services, and arrange routine general repairs and maintenance of common property.

There’s a large accounting component to the role of owners’ corporation manager, and this includes collecting corporation fees, taking out and maintaining appropriate insurance, paying invoices, and preparing and distributing financial statements and budgets.

Dispute resolution often forms part of the role of owners’ corporation managers, and this starts with the establishment of a grievance procedure.

How is an owners’ corporation manager appointed?

An owners’ corporation manager can only be appointed by the owners’ corporation, through an ordinary resolution, which is voted upon by members of the corporation.

An owners’ corporation manager cannot be appointed for more than three years, or five years for a retirement village owners corporation.

What makes a good owners’ corporation manager?

Given that the work performed by the owners’ corporation manager is crucial to the running of the owners’ corporation and the property itself, it’s important that the right person is appointed to the role.

To begin with, be explicit about the expectations of the owners’ corporation manager. What does the owners’ corporation require and what are the services to be provided?

Be specific. What is the expected number of hours to be worked? How often will the owners’ corporation manager actually visit the property?

Then look at the skills and experience of the potential owners’ corporation manager, and check to see if the manager is a member of a professional organisation.

How to tell if an owners’ corporation manager is reputable

A good reputation is formed by a history of good work, so always look into the track record of the owners’ corporation manager to owners’ corporation manager.

Importantly, what are other clients saying about them?

Make sure you check the manager’s registration on the Business Licensing Authority’s public register of owners’ corporation managers to see if any orders have been made against them and what the outcomes were.

Every owners’ corporation manager works differently, and you want to make sure the one you appoint is a good fit. Is the owners’ corporation manager a solo operator or a team? How does this mesh with the expectations of the owners’ corporation?

Cast an eye over the service providers they use to make sure they are licensed, reputable, and responsive.

Have a look also at their record keeping, and only be satisfied with complete financial and legislative compliance reports.

Need help with your owners’ corporation?

At LDB Group, we offer specialist owners’ corporation management services. With our combination of property and financial expertise, we are ideally placed to provide management services to owners’ corporations.

To find out more, please get in touch by calling (03) 9875 2900 or completing the contact form below.