Forum Replies Created
-
Replies
-
This type of situation is rife in large strata blocks with a high proportion of absentee/investor owners throughout the greater Sydney region. It is obviously being permitted by local councils. Very disturbing for individuals who suddenly find that the building in which they have their apartment/home is advertised online as a Hotel. I suspect that the interests of companies who carry out such activities may be protected through their associations with relevant professionals working in the industry. Caretakers play a central role; they are employees of the company and live in an on-site apartment owned by the company, frequently spend most of their time carrying out on site management and care of serviced apartments, perform real estate/letting activities in the building, and along with others represent the company on the Executive committee (due to the company’s ownership of a small but strategic number of apartments in the building).
Unfortunately, one solution cannot fit all situations. If a committe is stacked and biased to favour the interests of one or a few individuals (which comes about through multiple ownership by one person in a large strata scheme and low turnout by absentee owners), then vexacious may simply mean representing a different point of view.
@Mrs Kravitz said:
I am in a similar situation. In our case, the Building Manager owns some apartments in the complex and has a position on the Executive Committee on that basis. I now wonder about his/her position with regards to the new strata laws that will be coming into effect next year. Surely as an owner he/she has a right to be on the committee, and I see problems looming in terms of deciding what topic he/she may or may not vote on with respect to financial interest.The problem becomes more complicated by the fact that the caretaker is an employee of the Building Manager, lives in a apartment owned by the Building Manager, and is on the Executive Committee as a representative of the Building Manager (who is also an owner). The caretaker clearly sees their intersts lying with the Builidng Manager, not with the Owners Corporation who has a contract with the Building Manager for the provision of caretaking services. I consider this to be an entirely unsatisfactory situation.
I won’t go on as the situation becomes even more complex and, in my view, dubious. Most owners are absentee investors and are completely unaware of the true state of affairs. I have felt for a long time time that there are diverse conflicts of interest, and I hope that the new strata laws will help put a stop to situations such as this arising.
Afterthought: I think the best solution would be if the law made it impossible for an owner to double up as a caretaker, building manager, or managing agent.
I am in a similar situation. In our case, the Building Manager owns some apartments in the complex and has a position on the Executive Committee on that basis. I now wonder about his/her position with regards to the new strata laws that will be coming into effect next year. Surely as an owner he/she has a right to be on the committee, and I see problems looming in terms of deciding what topic he/she may or may not vote on with respect to financial interest.
The problem becomes more complicated by the fact that the caretaker is an employee of the Building Manager, lives in a apartment owned by the Building Manager, and is on the Executive Committee as a representative of the Building Manager (who is also an owner). The caretaker clearly sees their intersts lying with the Builidng Manager, not with the Owners Corporation who has a contract with the Building Manager for the provision of caretaking services. I consider this to be an entirely unsatisfactory situation.
I won’t go on as the situation becomes even more complex and, in my view, dubious. Most owners are absentee investors and are completely unaware of the true state of affairs. I have felt for a long time time that there are diverse conflicts of interest, and I hope that the new strata laws will help put a stop to situations such as this arising.