How to Change Strata Managers in Australia

How to Change Strata Managers in Australia
Date Posted

Changing strata managers in Australia is possible, but it is not a simple or informal decision.

Across Australia, strata schemes operate under legislative frameworks and governance processes that require Committees and owners corporations (OCs) to follow clear procedures when making management changes.

Before any change takes place, the Committee or OC must confirm that there is sufficient support among lot owners for the decision.

From there, the path forward depends on how the current manager was appointed, the terms of the management agreement and the corporation’s meeting records.

Understanding these factors helps support a transition that is handled properly, minimising disruption and maintaining compliance with the relevant regulations governing strata schemes.

Key Takeaways:

  • Changing strata managers requires proper process and owner support. Committees and owners corporations must follow governance procedures and confirm majority support before making a change.
  • Reviewing agreements and meeting records is essential. Understanding contract terms, notice periods and past resolutions helps avoid delays or disputes.
  • Comparing potential managers helps achieve better outcomes. Assessing experience, services and contract terms helps identify the right management partner.

When should a strata Committee consider changing managers?

A strata Committee may consider changing strata managers when the current arrangement is no longer supporting the effective management of the building or complex.

This can become apparent through ongoing communication issues, limited transparency in financial reporting or recurring compliance concerns raised by the Committee or lot owners.

Any decision to change managers should focus on how well the existing arrangement supports effective governance and the long term interests of the property, rather than reacting to isolated or short term issues.

It is also important that the decision is supported by a majority of owners so the change reflects the broader interests of the strata.

Understanding the process of changing strata managers

Changing strata managers begins with a review of the existing management agreement.

This agreement outlines key details such as:

  • termination rights
  • required notice periods
  • service obligations
  • conditions that may affect when or how the appointment can end

The Committee must also confirm how the current strata manager was originally appointed. This usually involves reviewing:

  • resolutions passed at general meetings
  • minutes from Annual General Meetings (AGMs) or Extraordinary General Meetings (EGMs)
  • any instruments of delegation that may apply

In many strata schemes, a formal resolution at a general meeting is required to terminate an existing appointment and approve a new strata manager.

Failing to follow the correct process can lead to disputes, delays, or an ineffective transition.

What the process of changing strata managers typically involves

While each strata scheme is different, changing managers generally involves a sequence of coordinated steps. These may include:

  • reviewing contractual obligations and legislative requirements
  • confirming voting thresholds and owner support
  • passing the necessary resolutions at a general meeting
  • formally notifying the outgoing strata manager in accordance with the agreement
  • coordinating the transfer of records, funds, and operational documentation

Careful coordination across these stages helps maintain compliance while ensuring the building’s administration continues smoothly during the transition.

Common issues that can delay or complicate a change

Delays and complications can arise when key requirements are overlooked or misunderstood during a change of strata manager.

If not addressed early, these issues can create uncertainty or disrupt the transition. Common examples include:

  • misunderstanding termination rights or notice periods under the management agreement
  • insufficient quorum or resolutions that are not passed correctly
  • uncertainty around delegated authority or prior appointments
  • delays in the transfer of records or financial information

Addressing these matters early helps reduce disruption and supports a smoother and more compliant transition.

What to consider when appointing a new strata manager

When a strata scheme decides to change managers, it is important to carefully assess potential replacements so the new arrangement supports the long-term needs of the property.

Committees may wish to consider factors such as:

  • the manager’s experience with similar strata schemes or buildings
  • the clarity and transparency of financial reporting
  • responsiveness to Committee members and lot owners
  • the scope of services included in the management agreement
  • contract terms, including fees, service inclusions and agreement length

Taking the time to review these factors can help identify a strata manager who is well aligned with the governance needs and operational priorities of the scheme.

Is there an easier way to change strata managers?

The good news is that there are practical ways to reduce the time, effort and stress involved in changing strata managers.

For many Committees, the most challenging part of the process is finding suitable replacement managers and comparing available options.

Platforms such as StrataQuote help simplify this by connecting strata committees in VIC, QLD and NSW with vetted management companies ready to provide services.

Instead of contacting multiple providers individually, you can submit a single request and receive tailored quotes from suitable strata managers.

This makes it easier to compare options and identify the right management partner for the building.

If your strata scheme is considering a change in management and you’re unsure where to start, you can begin the process here.

FAQs About Changing Strata Managers in Australia

In many cases, changing a strata manager requires approval at a general meeting of the owners corporation. The specific requirements may depend on the management agreement and the legislation in the relevant state or territory.

The timeframe can vary depending on notice periods in the management agreement, scheduling of meetings and the transfer of records. In some cases the process may take several weeks to complete.

A properly managed transition should not disrupt day-to-day building operations. Most incoming strata managers coordinate closely with the outgoing manager to transfer records, financial information and administrative responsibilities.

Written by
David Lin
Director, Strata Business Brokers
With over a decade in the strata sector, David Lin has worked closely with management firms, suppliers, and service providers across Australia. He brings a strategic lens to how strata services are structured, valued, and delivered. Through his insights, David sheds light on the real-world challenges and opportunities within strata and helps both providers and property stakeholders better understand how the sector operates and evolves.

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.