How to Change Strata Managers in Victoria (Step-by-Step)
Key takeaways
- In Victoria, an owners corporation can usually change strata managers by passing an ordinary resolution. This can be done by the Committee or at a general meeting.
- Before putting the motion forward, your Committee should review the current management agreement, notice period, and termination terms.
- It helps to compare replacement strata managers before the vote so your Committee can make a more informed decision.
- A smoother change starts with clear motion wording, proper meeting preparation, and a planned handover.
We regularly hear from Committees that are tired of slow responses, unclear reporting, and feeling like they are chasing their manager for basic follow-through. The good news is that there is a clear process for changing strata managers in Victoria.
This guide explains the steps, what to vote on, and how to compare replacement managers before your meeting.
Step 1: Review your current management agreement
Before discussing motions, meetings, or replacement options, start with the current contract.
Many Committees assume they can change managers immediately, only to find there is a notice period or a clause that affects timing. A quick contract review will give you a clearer idea of what is actually possible, including:
- when the agreement ends
- how much notice is required
- whether the contract renews automatically
- whether there are conditions for ending it early
Under section 119A of the Owners Corporations Act 2006, management contracts cannot include certain unfair renewal or termination terms. Your Committee should review the agreement carefully, particularly any clauses dealing with renewal, notice periods, and termination rights.
Once that is clear, your Committee can plan the next step with fewer surprises.
Step 2: Decide how to proceed and prepare the resolution
Before preparing a general meeting, your Committee should first check whether it already has the authority to make this decision on its own.
Under the Owners Corporations Act 2006, appointing or removing a manager requires an ordinary resolution. The Committee is delegated all powers and functions of the owners corporation other than those requiring a special resolution, a unanimous resolution, or a resolution at a general meeting.
Because changing managers only requires an ordinary resolution, the Committee can often pass this resolution itself either at a Committee meeting or by Committee ballot without needing to call a general meeting of all lot owners.
However, the Committee’s authority to do this may be restricted. Some management agreements or previous owners corporation resolutions may limit the Committee’s delegation, requiring the decision to go to a general meeting instead. Your Committee should check whether any such restriction applies before deciding on the process.
If proceeding via a general meeting
If the decision does need to go to a general meeting, or if the Committee prefers to involve all lot owners in the decision, the next step is preparing the formal motion that will be voted on.
Your Committee should include:
- a motion to end or not renew the current manager
- a motion to appoint the new manager
- the proposed start date
This is also the stage where many Committees begin to find and compare replacement strata managers so they are ready to make a decision at the meeting.
AGM vs special general meeting: which should you choose?
Both are valid options. The right choice usually comes down to timing.
- Use the Annual General Meeting (AGM) if it is already coming up soon and the Committee has enough time to compare replacement managers first.
- Use a special general meeting if service issues are ongoing and waiting months would only make things worse.
Step 3: Hold the AGM or special general meeting and vote on the change
This is where the decision becomes official.
At the general meeting, lot owners vote on whether to end or not renew the current manager’s appointment and appoint the new manager.
- the motion is presented and discussed
- owners vote in person, by proxy, or by written ballot
- the outcome is recorded in the meeting minutes
For the meeting to proceed with full authority, a quorum is required. Under the Act, this means at least 50% of the total number of lots must be represented. If that is not available, the quorum is at least 50% of the total lot entitlement.
Do you need all lot owners to agree to change strata managers?
No, you do not need every lot owner to agree.
In most cases, appointing or removing a manager is decided by ordinary resolution at a general meeting. This means a majority of votes cast at the meeting is enough, not a majority of all lot owners.
However, your Committee should still check the management agreement and the exact motion wording before proceeding, as contract terms can affect how and when the change takes effect.
Step 4: Finalise the transition
Once the resolution is passed and any contract requirements are met, the transition to the new manager can begin.
This usually includes the transfer of key records and operational control to the incoming manager, such as:
- owners corporation records and documents
- financial accounts and reporting
- supplier and contractor arrangements
The Owners Corporations Act requires managers to return all records and funds within 28 days of termination of their appointment. Failure to comply carries a penalty of 60 penalty units. This helps support continuity during the change.
Most of this process is handled between the outgoing and incoming managers, but your Committee should still stay informed to make sure nothing is missed.
Where can you find a new strata manager?
There are a few common ways Committees approach this:
- searching online for local strata managers
- asking for referrals from other buildings or owners
- contacting companies directly to request proposals
Each approach can work, but it often takes time and can make the comparison process harder than expected. Figuring out which companies are genuinely responsive, experienced, and suited to your building can quickly become overwhelming. As a result, some Committees put off the change and stay with poor service longer than they should.
A more structured approach is to compare multiple proposals side by side using the same criteria. This makes it easier to assess service levels, communication, pricing, and overall fit before your meeting.
If your Committee wants to streamline this process, platforms like Strata Quote allow you to submit one enquiry and connect with multiple strata managers in your area. Rather than chasing managers one by one, matched managers contact you directly, which can save time and make comparison easier.
Important things to remember when changing strata managers in Victoria
Below are some practical points to keep in mind so your Committee can avoid common mistakes during the process.
- check the current contract first
- check whether the Committee already has delegation to make the decision
- use clear motion wording on the agenda
- do not wait too long if service issues are already affecting the building
- compare alternatives properly before choosing a replacement
- look beyond headline price and assess overall service quality
- plan the handover before the vote takes place
Most of these issues can be avoided with better preparation before the meeting.
Ready to replace your strata manager?
If your Committee is preparing to move forward, having suitable options ready before the vote can make the process much smoother.
Reviewing multiple proposals allows you to compare service, communication, and pricing in a more structured way.
Strata Quote can help streamline this by connecting you with strata managers in your area through a single enquiry.
FAQS
Sometimes, yes. This depends on the terms of the current management agreement, including any notice period, termination rights, and possible early exit conditions.
Under section 119A of the Act, contracts cannot include terms that allow the manager to automatically renew or that require more than a simple majority to terminate. That is why reviewing the contract is one of the first steps.
If quorum is not reached, the meeting can still go ahead, but any resolutions passed will be interim resolutions. Under the Act, an interim resolution becomes a resolution after 29 days unless notice of a special general meeting is given within that period to reconsider the matter.
Yes, and in many cases that is the most practical approach. It helps reduce disruption, avoids a gap in management, and makes the handover process easier to manage.
Committees should compare more than just price. It is also worth looking at communication, reporting, meeting support, experience with similar properties, and how the manager handles maintenance and contractor follow-up.
In many cases, yes. Under the Owners Corporations Act 2006, the Committee is delegated all powers of the owners corporation that do not require a special resolution, a unanimous resolution, or a resolution at a general meeting.
Because appointing or removing a manager only requires an ordinary resolution, the Committee can often make this decision at a Committee meeting or by Committee ballot.
However, this is only possible if the owners corporation has not restricted the Committee’s delegation on this matter. Your Committee should check whether any such restriction exists before proceeding.
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