Strata manager periodic returns

Strata managers provide vital services to strata companies and schemes in Western Australia. The State Government is trying to improve its understanding of the size of this important industry and its value to the WA community and economy, together with the participants’ levels of expertise and qualifications.

The information that strata managers provide through these returns will be used to inform Landgate about the industry and to help government develop quality policies on matters relating to the strata management industry.

The strata management industry will also use this aggregated information to inform submissions to government that reflect future needs of the sector.

It is essential strata managers complete these mandatory returns to ensure the WA Government can make well-informed decisions in the best interests of both strata professionals and strata consumers.

The returns form contains a mix of statutory reporting requirements (mandatory to complete) and industry reporting elements (voluntary to complete).

Statutory reporting requirements include:

• The total number of strata titles schemes for which the strata manager provides services as a strata manager, broken down into the following categories:
  • small schemes
  • medium schemes
  • large schemes
  • very large schemes.
• The total number of lots in each of these categories.
• An estimate of the total amount of money held by the strata manager on behalf of all those strata titles schemes under section.
• A general description of the types of services the strata manager provides in respect of strata titles schemes.

Voluntary industry-reporting elements might include:

• The use type of the schemes managed.
• The number of schemes managed within each of the following use types:
  • residential
  • commercial
  • industrial
  • mixed use.
• The insurance value of all the schemes under management.
• The type and cost of professional and trade services engaged across all schemes.

Landgate encourages strata managers to complete the voluntary parts of the form as it will provide key information on the structure of the strata management industry.

Interested in the findings of the 2022 strata manager returns? View the presentation below for an overview of the aggregated information that was received.

It is a legal requirement under the Strata Titles Act 1985 (STA) that strata managers lodge the required information.

If a strata manager does not lodge the return by the due date, the strata manager will be in breach of their statutory obligation. This may give rise to a breach of the strata manager’s strata management contract with one or more strata companies and trigger a termination of the strata management contract.

Landgate may also use the strata manager return to publish a list of strata managers operating in WA. The absence of the strata manager’s name on this list may put a strata company on notice of the strata manager’s breach of their obligation under the STA to lodge a return.

Yes, the information you provide will be stored on Landgate’s secure record management system.

Your personal information will be used for the purposes for which you have provided it and Landgate will not disclose this information to any third party without your consent, unless it is required or authorised by law.

The ‘number of schemes managed’ field records the total number of schemes managed of the specified size. That is:

• For small schemes, the total number of small schemes managed.
• For medium schemes, the total number of medium schemes managed.
• For large schemes, the total number of large schemes managed.
• For very large schemes, the total number of very large schemes managed.

So, if you manage only four very large schemes (> 50 lots), then you will record four schemes in the ‘number of schemes managed’ field for very large schemes and zero next to the small, medium and large schemes managed fields.

The ‘total number of lots in these schemes’ field records the total number of lots across all the schemes managed of the specified size. That is:

• For small schemes, the total number of all the lots across all the small schemes managed.
• For medium schemes, the total number of all the lots across all the medium schemes managed.
• For large schemes, the total number of all the lots across all the large schemes managed.
• For very large schemes, the total number of all the lots across all the very large schemes managed.
  
  

So, if you manage eight small schemes (< six lots) and each of these schemes have five lots, then you will record 40 lots in the ‘total number of lots in these schemes’ field for small schemes.

Under the Strata Titles Act 1985, a strata scheme must insure its insurable assets against fire, storm and tempest, lightning, explosion and earthquake to replacement value (or a maximum amount specified in the contract of insurance that is reasonable in the circumstances).

To calculate the insured value of all schemes managed, this replacement value of all insurable assets listed in the contract of insurance for each scheme should be added together.

No, you are under no obligation to answer these questions.

However, information gathered from these questions will help inform Landgate about the strata management industry and to help government develop high quality policies on matters relating to strata management and managers.

Here is an outline of the different use types and what they apply to.

Used for residential purposes: This term applies to a scheme made up of purely residential lots such as apartments or townhouses or survey strata lots with single residences.

Used for commercial purposes: This term applies to a scheme made up of lots used purely as places of business such as offices, retail spaces, restaurants, gyms, or shopping centres.

Used for industrial purposes: This term applies to a scheme made up of lots used for industrial purposes such as manufacturing, servicing of vehicles or other machinery, depots, warehouses or workshops.

Used for mixed purposes: This term applies to a scheme made up of lots used for a mix of residential and commercial purposes such as an apartment building that includes cafes and office or retail spaces.

Used for miscellaneous purposes: A scheme that is used for a purpose that don’t fit within any of the above definitions.

Any services offered that do not fit within the service types listed in the annual return form can be added as free text in the “Other services” box.

Strata managers will need to add up the total cost of each of the professional, building and property services they have engaged for each scheme they manage and select the appropriate cost bracket in the tables in the form.

For example, if a strata manager has 20 schemes under their management and engaged $15,000 worth of professional services for each scheme, they would select the $250K - $500K bracket for professional services (as 20 x $15K is $300K).

Any services that aren’t captured as professional, building or property services can be added as free text in the ‘Other services’ box and the appropriate bracket selected for each service.

We receive many strata enquiries every year. That’s why we have a number where customers can receive support from our dedicated strata enquiries team.

Call our Strata Enquiry Line on 08 9273 7047. Or contact us for other customer support options. No matter how you choose to contact us, we’re here to help.

Strata managers are also encouraged to review the specific provisions of WA strata law that set out the strata return requirements, as below:

• Strata Titles Act 1985, section 153.
• Strata Titles (General) Regulations 2019, regulation 102.