Strata managers in Victoria charge $300 to $500 per lot on average (total of all above charges). Owners Corporation Management Fees differ between different strata management companies however typically the following factors will be determinants of the pricing:
- Size of the building and the number of Occupiable Lots
- The facilities, amenities, and common property of the building
- The location of the building and building usage (i.e. apartments, townhouses, commercial, industrial, or mixed-use)
- On-site staff presence i.e. part-time or full-time building manager, facilities manager, concierge, security, etc.
- The service expectations and other requirements of the owners of corporations.
It’s also important to note that Owners Corporation Management Companies derive their income/revenue from:
- Professional management fee (for the service of providing strata/owners corporation management.
- Disbursement fees (for costs that they incur in relation to things like printing, paper, envelopes, postages etc.)
- Insurance commission – typically 10-20% of the base insurance premium as the OC managers are often authorised representatives of an insurance broker or insurer. This can be a contentious issue at times and one we will often discuss with Committees as to how best to mitigate any potential conflicts of issues
- OC certificate fees – paid by the lot owner to the OC management company when they require an OC certificate for Section 32 when selling their lot in the owners corporation.
If you are concerned about the fees charged by your incumbent management company or any other cost aspects of your building’s operating expenses, most welcome to email us at email@example.com and undertake a review.