We Helped Tier 1 Owners Corporation in Melbourne’s SE to Change OC Management Companies

In December 2022, the Committee of a Tier 1 owners corporation contacted us with serious concerns about how their estate had been managed by the developer appointed OC management company.


  • The property is approximately 17 hectares in size and its main features are the local town centre, tree reservation and the waterway that runs from north to south-east.
  • The plan of subdivision had a ‘super lot’ that was due to re-developed into a supermarket along with ~22 specialty shops.
  • The owners and the Committee were told repeatedly by the previous OC manager that they did not walkthroughs as a part of their contract. The Committee had concerns that the OC manager first and foremost did not know anything of substance about their estate (and community).
  • The Committee had concerns that the value of the houses in their estate was prone to decrease as there were a number of unaddressed issues that had been allowed to proliferate.
  • The Committee wanted a new OC management company that properly budget and maintain the estate – including several areas where the OC was obligated to adhere to environmental/planning stipulations.
  • The Committee had serious concerns as to how the OC managed to be in less than desirable cash position due 2-3 years of inaction regarding overdue levies on the part the previous OC manager.
  • The Committee were astounded also to find out (later on) that the incumbent OC manager hadn’t proactively kept updated the Owners’ List.
  • The Committee wanted an Owners Corporation who would work with (and educate) them and the owners regarding the OC rules.


Qualified Commercial OC Management Companies

Every single strata / owners corporation management company we work with have been thoroughly evaluated. We assess companies on these 5 key metrics:

  1. Strata management experience and relevant qualifications
  2. Professional service and service metrics
  3. Integrity and values
  4. Dedicated strata software platform, systems, and processes
  5. Staffing levels and on-going knowledge and training

Our expertise and industry knowledge takes the guesswork out of changing management companies.

Changing Owners Corporation Managers for Tier 1 OC

We met with the Committee to understand their concerns with the incumbent OC manager and discuss what they would expect of their new OC manager.

After compiling a RFT with information and specifications particular to their building, we conducted a tender process. We met again with the Committee and helped them to understand all the new OC management proposals in terms of their offerings, qualities, and costs.



Cost Comparison Previous OC
Management Company
New OC
Management Company
Management Fees $109,534 $121,745
Disbursement $0 $0
Software, Work Orders + Misc. $0 $0
Other Additional Charges $2,222 $0
Total Strata Management Costs $111,756 $121,745


*OC guidance for all Committees: be careful when it comes to OC management contracts and ‘open-ended, blank cheque’ disbursements sections. Some OC management companies charge for every work order, phone call, email, page of paper, printing, postage, envelope, etc.

The vast majority of OC management companies that we work with – charge a fixed, all-inclusive fee for their disbursement costs. And of these OC management companies, most will waive their disbursement fee if lot owners elect to receive OC notices electronically

We helped the Committee and all owners in the owners corporation in Melbourne’s South East to appoint an experienced Owners Corporation Manager to look after their estate.

A Happy Committee and One Professionally Managed Tier 1 Owners Corporation

“Strata Consultants helped our estate find a new company to manage our Owner’s Corporation. David met with us and thoroughly understood our needs and within a short time our new company was appointed! Thank you!”

Sue, Committee Member


Tier 1 & Tier 2 Owners Corporations Are Subject to Extra Regulatory Requirements

If you and your Committee are not happy with how your large (and often complex) owners corporation is being managed, make a start by speaking to a Strata Management Consultant at 1300-917-848.

Meet the Strata Consultants Melbourne team – https://strataconsultants.com.au/our-team


The contents of this article or website are only intended to provide a general overview of the topics discussed. The author of this article makes no representations as to the accuracy or completeness of any information and the information is not intended to constitute investment, legal or professional advice. You should seek professional advice before acting or relying on any of the content. This article does not contain references to any specific company, organisation or individual, unless expressly specified.
May 29, 2023
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