Living in a strata scheme comes with plenty of perks, like shared amenities and less personal property maintenance. But it also introduces a unique concept that often confuses residents: common property. Knowing where your private lot ends and shared property begins is essential. That’s where a strata management company steps in to keep everything running smoothly.
Let’s look at how common property and your strata management company intersect, and what it means for your day-to-day life as an owner or resident.
Defining Common Property in Australia
Before diving into management, we need to understand what common property actually is. In simple terms, it’s any part of the land and buildings in a strata scheme that isn’t part of an individual lot.
While the exact boundaries can vary slightly depending on your state’s specific legislation and the registered strata plan, common property typically includes:
- External walls, roofs and foundations
- Foyer areas, lifts and stairwells
- Shared driveways, visitor parking spaces and pathways
- Communal facilities like pools, gyms and barbecues
- Boundary fences and shared garden areas
If you can see it or use it, and it’s outside the internal skin of your apartment or townhouse walls, there’s a very good chance it falls under this umbrella.
Who Actually Owns & Controls It?
A common misconception is that the strata management company owns the shared spaces. They don’t. The common property is collectively owned by all the lot owners as a legal entity known as the owners corporation (or body corporate, depending on which state you call home).
The owners corporation holds the ultimate decision-making power. However, managing a large asset with dozens of co-owners can get incredibly chaotic. To prevent endless disputes and ensure legal compliance, the owners corporation will usually appoint a professional strata management company to handle the day-to-day administration and operational duties.
The Role of the Strata Management Company
So, what does this intersection look like in practice? A strata management company acts as the operational arm of the owners corporation. They ensure the shared spaces are legally compliant, financially viable and well-maintained.
1. Coordinating Repairs & Maintenance
When a roof leaks or a garage door breaks down, you don’t want owners arguing over who pays for the repair. Your strata management company manages the process by sourcing qualified contractors, obtaining quotes and ensuring the work is completed to a high standard. They also schedule preventative maintenance to stop minor issues from turning into expensive disasters.
2. Managing the Capital Works Fund
Every strata scheme must maintain a capital works fund (previously called a sinking fund) to pay for long-term common property upgrades. Your strata management company helps calculate necessary levies, collects payments from owners and ensures there’s enough money tucked away to replace the lifts or repaint the building exterior when the time comes.
3. Navigating Complex Compliance & Insurance
Shared spaces come with significant legal liabilities. A strata management company keeps the property compliant with strict Australian safety standards, including:
- Mandatory fire safety inspections and certifications
- Annual lifts and cooling tower safety checks
- Balustrade and window safety lock compliance
- Sourcing comprehensive building and public liability insurance
Navigating the Grey Areas
Even with clear definitions, boundaries can occasionally get blurry. These “grey areas” are often the biggest source of friction between residents and committees.
Take a balcony, for instance. While you have exclusive use of your balcony, the concrete slab underneath and the external balustrade are usually common property. If the tiles crack and cause a leak into the apartment below, determining who pays can be tricky.
Another classic example is a private courtyard that features a boundary fence or a structural retaining wall. When these issues pop up, your strata management company provides vital guidance. They look at the specific strata plan and state laws to give an unbiased, expert opinion on who’s responsible for the bill.
Making the Most of Strata Living
Living harmoniously in a strata community relies heavily on a proactive strata management company. When shared spaces are clean, safe and financially secure, property values thrive and resident satisfaction stays high.
If you notice a maintenance issue in a shared area, the best move is to document it and report it to your manager promptly. By working collaboratively with your committee and management team, you can enjoy all the benefits of community living without the headaches.
