Community – Stratalife

Strata Manager VS Building Manager

In the Lake Macquarie, Newcastle and Hunter area, I constantly hear differences of opinion between owners, committee members, service providers, strata managers and building managers as to what a strata managers role is when there is also a building manager contracted by the owners corporation.

Owners need to be better aware of what they are paying for and whether they are potentially paying for it twice (e.g. building manager should be issuing work orders as part of their fee, however, they ask the strata manager to issue work orders and they charge a fee to do so).

Furthermore, the understanding of what a building manager can and should be doing has changed greatly over the past decade – whereas once they were a cleaner with a tool belt (e.g. caretaker), they are very much now the professional onsite interface between residents, contractors and the strata manager.

We often educate potential and new clients as to who should be doing what. The Strata Schemes Management Act is somewhat vague on the role of a Building Manager and it’s defined as below:

STRATA SCHEMES MANAGEMENT ACT 2015 – SECT 70

Functions of building manager

70 FUNCTIONS OF BUILDING MANAGER

(1) A building manager may, in accordance with the building manager agreement appointing the building manager, assist in exercising one or more of the functions of the owners corporation of managing and controlling the use of common property (otherwise than by the owners or occupiers of lots) and of maintaining and repairing common property.

Noting the above, the scope of what is in the agreement between the owners corporation and building manager is what is important here, however, it’s now better understood what the role of a professional building manager entails:

Item	Strata Manager	Building Manager
Repairs / Maintenance	Administration with strata committee – e.g. approvals	– Issuing work orders – Contractor management (sourcing, insurance, SWMS, Site induction) – Monthly/routine reporting – Arrange quotes for committee review for routine and ad-hoc maintenance
Defects	Advisory/escalationManagement via committee/OC	-Processing / administration of in-unit and common property defects with builder – Escalation of common property defects to strata manager/strata committee where not addressed by builder
Moving	Collect bond if applicable	– Establish process for moving of goods over common property – Manage bookings/lift covers – Inspect common property for any damage
Software / Communications	Use of software for announcements if requiredInvolvement in Whatsapp committee groupIssue communications from owners corporation/strata committeeDeal with owner/committee queries in relation to owners corporation	– Management of Buildinglink or other system – resident database, announcements, – Management internal communications – e.g. Whatsapp cleaning group, committee group – Place signage on site as required – Dealing with all resident queries – e.g. metering, by-laws, approvals
AFSS	Approvals via committeeSubmission to council	– Source relevant contractors – Arrange inspections – Coordinate statement requirements
Site Inspections	n/a	Weekly inspection all common property areas – ensure proper functioning equipment, by-law breaches
Waste	n/a	Ensure functioning of chute/waste room and collection of rubbish with cleaner
Meetings	Manage all OC/SC meetings	– Prepare quotes/reports as required – Attend committee meetings – Potential involvement in sub-committees
Emergencies/out of hours	Provide out of hours contact service	– Provide 24/7 contact service for onsite issues – Attend site if required
By-laws	By-law escalation – e.g. final notice/notice to comply and any formal proceedings – committee action/approval	Manage first action – e.g. direct communication with resident via call/sms/email/in person
Bookings – common facilities	Assist in establishing rules/procedure for booking common facilities, including SC approval	Establish and manage the booking of any common facilities – e.g. BBQ area
Contracts	Execute and negotiate contracts as instructed	Obtain pricing for R/M OC contracts as required – Fire, lifts, pumps, cleaning, gardening, etc)
Budgeting / Finances	Prepare annual budgetsPay all invoicesReport to strata committee	– Assist strata manager with budgeting. – Invoice approval as required
Keys	Take deposits as required	– Issue keys – Authorise keys – Maintain key register
Community / Place making	Advice (insurance, etc)	Facilitate community events and other placemaking exercises
SSMA and other legal requirements	Manage OC compliance with the SSMA and other OC legislation	Be aware of the requirements of the building manager under SSMA and other relevant legislation – e.g. authorisations, timelines, approvals

NB – if BM fails to perform duties, SM steps in and manages at hourly rate if requested.

SC – Strata Committee

OC – owners corporation

Covid 19 – Strata and Building Management Perspective

We have now entered an unprecedented period for the 21st century with the onset of Covid 19 virus and the measures which need to be taken to control the spread of it.

Businesses across Australia and the world are all affected in one way or another – there’s very few that will be able to thrive in the circumstances due to the effect on our workplaces, clients, and staff.

The response in Australia is increasingly drastic and we need to adequately prepare for a difficult period over the next few months as services and facilities are shutdown or become increasingly stressed. We are blessed with one of the worlds leading health systems, however, we need to act with caution and be ready to give our support to the most vulnerable within our society.

Bright & Duggan and Cambridge Management Services have introduced a policy of having all frontline strata management staff work from home and ceasing face to face meetings – I applaud our Executive Management Team in reaching this decision as quickly as it did. The update is available on the front page of our website – https://www.bright-duggan.com.au/ . We have different policies for Building managers and other staff within the business – these are being continually updated.

Strata and building management business are very much affected by the fact that we have workforces that have a lot of external meetings, have a number of visitors to our offices, that we provide a variety of onsite services at buildings and have large numbers of office-bound administration staff. That said, we are able to offer a great number of our services remotely.

Some strata and facility businesses have the ability to enable their workforces to work from home (which wholly depends on the staff member having the technology to do so); it’s very difficult to offer building management services offsite when the contract requires onsite services.

We manage people’s homes (and in some cases workplaces, where we manage commercial schemes) and thus have very serious obligations to the occupants to show leadership during this time and do whatever we can to assist authorities in mitigating risks.

What should we all do as soon as possible:

Give staff the ability to work from home where possible and ensure that we are aware of the workplace that staff are working from – employers still have work health safety obligations where their staff work from home;
Support your staff with whatever circumstances are put on them (sickness, schools/childcare services ceasing for a period);
Cease face to face meetings and adopt alternate means of meetings provided for under legislation – this may include meeting via proxies, phone/video conferencing, online or paper voting papers, etc;
Take practical steps at your buildings to reduce the risk of infection – additional cleaning, signage, etc.

Some of the potential issues we need to overcome

Continuing compliance with strata legislation which can become difficult without being able to conduct certain meetings, arrange onsite inspections, etc;
Annual inspections – particularly annual fire safety statements;
Defect timelines and the potential inability to do defect inspections/commence proceedings;
Contractor attendance – what happens if electricians, plumbers, etc won’t attend site?;
Waste management (we presume that council and private collections will continue as normal – if they didn’t it would be bedlam) – we may have to deal with much-increased levels of waste in the event that buildings have all occupants at home for long periods;
Residents needing help and assistance throughout any period of enforced isolation;
Conflicting and complex legal obligations;
Owners/occupants coming under financial stress – non-payment of levies; and
Continuing to facilitate strata searches, collection of keys, etc.

One of the great opportunities we have here is to change the way we operate our businesses (with a move to electronic meetings) and provide help and support to people that need it most.

It’s not business as usual but we need to make sure this is the best business we can do.

Activated communities and placemaking

The rooftop at GWH Aero Apartments all decked out for a birthday party.

When we are involved from the early stages of a development (planning phases into registration/settlement and occupation), we have a role and responsibility in helping that community find its feet and activating the space that we manage. This is somewhat the case when we have the strata management of that community (i.e. a role largely offsite and administration based), versus when we are the building/facility manager – a role which is a daily/weekly in-person interface with the owners.

The view of Broadmeadow Racecourse from the rooftop at GWH Centrale Apartments Broadmeadow.

Modern design principles for apartments and community schemes (at least in Australia) give drive to the creation of a community and giving a building identity. This may include features (e.g. vertical garden, civic art), exclusive common areas (rooftop entertainment areas, gardens), naming the building or facilities (gyms, pools, treatment rooms, BBQ areas, concierge, valet, etc.) and nearby or inhouse retail offerings. Activated communities are safer, more secure and more enjoyable to reside in.

‘nook’ letterboxes – the colour coded theme continues throughout the building and helps make it a unique boutique development for the area.

Unless all of the above is well-considered, facilities may end up poorly utilised and not add value to the community. On the flip-side, beautiful common areas can be an extension of lot living space, allowing room for entertainment, recreation and community activities. These spaces end up being the ‘jewel’ in the crown of a specific development.

Playground and BBQ area with a view at Thirdis beautiful ‘Westend’ development, proudly managed by Cambridge Management Services

We have a wealth of examples of these ‘activated communities’ within our portfolio and in time, we will have great data as to how this drives improved sales values, rental yields and resident happiness.

Views from the Aero rooftop – always changing courtesy of the working harbour

Regardless of facilities, we think that all communities have the ability to take advantage of the density and the ‘just add water’ community that this provides.

Resort facilities at Abian Brisbane by Sunland – we are the Building Manager and concierge at this stunning development

Multi-purpose common room at Pier on Waterfront by Mirvac

We are about to settle on some new developments in the Newcastle region and as part of this, are planning the events we will be undertaking with the residents. In addition to this, we will be suggesting a program of activities to the strata committee that they should consider throughout the year.

These are some of the things we are thinking about doing – in Newcastle we are blessed with generous shared spaces at buildings that lend themselves to these types of activity):

Street parties with surrounding buildings – food vans, music, etc.
BBQs (doesn’t get easier or simpler)
Gardening/plants in smaller spaces and common areas with a horticulturalist
Cooking demonstrations (just need to get Harris Farm to sponsor this one!)
Fitness/yoga/pilates classes
Smart home technology class (HVAC, lighting, etc)
Caring for animals in smaller spaces
Wine tasting with a local winemaker
P0p-up cinema
Markets
Recycling and waste class

The tennis court and playground (pool in the background) at Eagle Reach Highland Park in the Hunter Valley – amazing resort facilities.

Here are some great articles I have read on the topic:

https://www.domain.com.au/news/a-place-to-call-home-placemaking-is-all-the-rage-in-apartment-developments-20160721-gqalb4/

https://urbis.com.au/insights-news/global-trends-in-mixed-use-development-the-new-paradigm-in-urban-placemaking-2/