Large mixed use buildings can be challenging for owners and strata managing agents but it shouldn’t be.

Strata management statements and building management statements are a critical mechanism to accommodate mixed use projects and, particularly, to preserve the value of the commercial components of those projects.

Despite their unpopularity with many strata management agents, these mechanisms are here to stay and are likely to be become more rather than less complex. Management of building management committees will become more specialised.

“The secret to mixed use stratum subdivisions (Building Management Statements) operating smoothly for everyone involved is a well designed building with quality legal documents and carefully structured management arrangements.” Gary Budgen – 2006.

Unfortunately, many Building Management Statements have not been set up very well in the design phase. Operationally, the BMS does not operate how it was intended. We have witnessed shared costs missing, shared costs not allocated how they should be, or major errors and omissions in the apportionment schedule’s of the BMS.

At Olive Tree Consulting Group we can professionally review the BMS and undertake an analysis of cost data which is shared between different lots. We can propose new percentages of allocation for shared costs which have been quantified by a method of fair and equitable usage of the shared area, or shared facilities.

Furthermore, we can work with qualified accountants audit historical costs which my have been missed by the managing agent or a committee for the BMS.

Please let us know if you would like to speak with one of our advisors about how we can help you.