What is Strata Management?
Strata management is the management of a block of buildings, which is either done by the property owner or by an outside service provider. Strata management service providers manage all aspects of a property, including administrative, financial, and maintenance; managing a common property requires professional expertise as one needs to apply effort and care.
What entails Strata Management Services?
This service aids property owners to take care of general property matters that affect the owners. Strata management is a function that is approved by legislation to institute an owners’ corporation committee or a body corporate. The body manages shared amenities, services, and other property-related features. The committee is tasked with the responsibility of identifying who will offer the strata management service.
Merits of Strata Management
Strata management is a service that most property owners in Sydney do not appreciate. The service has numerous benefits that include the following.
- Management of funds contributed by property co-owners. This is because managing a property needs regular financing from the owners of the property.
- Updating and managing property-related records that are important to the owners. The service providers avail the documents any time they are needed.
- The strata management provider maintains common areas of a property, such as parking lots, gardens, and parks. The provider ensures that the areas are habitable at all times by cleaning and carrying out repairs whenever necessary.
- Ensure that fire safety regulations are observed. They also make sure that guidelines on building safety are met in addition to work health regulations.
- Strata management companies also track, evaluate, and implement changes to property ownership laws whenever they occur.
- Organize annual meetings for the property owners as well as prepare and present the annual financial statement and budget. The sessions also address and resolve any emerging issues and conflicts.
- Regular maintenance and repair are carried out by the strata management providers subject to the availability of funds.
- Organize social occasions, information events, and take views from residents on preferred changes to the property. The residents also get to let the management know of a service that is not up to par.
Strata insurance for residences, which is also known as body corporate insurance, gives coverage to common property and contents that are managed through a body corporate body or strata title. Property owners in the strata units split the insurance premium costs as part of their strata liabilities and fees. It is mandatory to have strata insurance, which also provides public liability to cover any injuries to people living in the common property.
Laws on strata insurance differ among different states and territories. Therefore, you should establish that your insurance is compliant with the legislative requirements. The body corporate should insure the property and ensure that the policy meets the bare minimum statutory obligations.
What is covered by strata insurance?
The insurance covers the common property and building and its contents, as it is stated on the property’s title. The areas covered include garden equipment, lifts, common areas, car parks, common areas, floors, ceilings, walls, gardens, and windows.
The policy covers areas that typical home insurance policy does not cover.
In summary, property owners should enlist the services of strata managers to maintain and manage their property efficiently. Also, you should carefully peruse the policy if you lease or own a strata property to establish what the policy covers in the unit.