Tag: Strata Manager Transparency and accountability

On February 3, 2025, significant changes to strata laws will come into effect in New South Wales.

These reforms are designed to enhance transparency and accountability within the strata management sector. Whether you’re a strata property owner, a member of an owners’ corporation, or a strata manager, it’s crucial to understand these new regulations and how they will impact you.

Key Changes to Strata Laws

1. Increased Disclosure Requirements: Strata managers will now be required to provide more detailed and frequent disclosures to strata property owners. This includes:

– Connections with suppliers and developers

– Any commissions or training services received

– Detailed financial statements and reports

2. Enhanced Transparency: The new laws aim to ensure that strata managers act in the best interests of the owners’ corporations. By mandating comprehensive disclosures, the reforms seek to eliminate conflicts of interest and promote fairer management practices.

3. Penalties for Non-Compliance: Strata managers who fail to comply with the new disclosure requirements could face significant penalties. This underscores the importance of adhering to the new regulations and maintaining transparent operations.

Impact on Strata Property Owners

For strata property owners, these changes mean greater insight into the management of their properties. Owners will have access to more information, enabling them to make informed decisions and hold strata managers accountable.

What Strata Managers Need to Do

Strata managers should start preparing for these changes now. This includes:

Reviewing and updating disclosure practices.
Ensuring all financial and operational records are accurate and up-to-date.
Communicating with owners’ corporations about the upcoming changes and how they will be implemented.

Conclusion

The new strata laws in NSW represent a significant step towards more transparent and accountable strata management. By understanding and complying with these changes, both strata managers and property owners can contribute to a fairer and more efficient strata system.

For more information visit: NSW government

Adrian Mueller I BCOM LLB FACCAL I Partner

Since 2002 Adrian has specialised almost exclusively in the area of strata law. His knowledge of, and experience in strata law is second to none. He is the youngest person to have been admitted as a Fellow of the ACSL, the peak body for strata lawyers in Australia. Profile I Linked

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