Strata Tips & Traps for Tradespersons

This week I spoke at a seminar arranged by Advanced Community Management for the contractors who work for its strata corporation clients.  I spoke about the peculiarities  about working in strata buildings and was titled Strata Trades Traps & Tips (or things to watch out for when you're working for strata corporations).


It was a great opportunity to convert complex strata titling and legal processes into practical messages which also I'm sharing here.


Who’s Who in Strata - It's important to understand who your client is (and who it's not) since strata corporations are not real and operate through people like Office Bearers, Committee Members, Owners, Tenants, Strata Managers and Building Managers.  But not all those people have authority to organise work, vary work and authorise payment.  So, make sure the people you're dealing with can do what they say.


Common Property Ins & Outs - In strata corporations parts of the building are either common property or a lot (since there's nothing else).  In general terms the lots are the air space between the floor, ceiling and perimeter walls of the apartments, garages and storage areas and everything else is common property. So most of the building structure is common property and the strata corporation's responsibility.  But, there's also some oddities like structural cubic space and exclusive use areas and not everything is what it seems.  So, make sure you're working on common property and if in doubt ask someone who knows.


Watch out for Insurance - Strata corporations must insure things including the building (which covers more than just the common property).  So, often trades work may be done under an insurance claims with limits on covered work and charges and requiring insurer approval.  Since getting paid means following the rules make sure you and watch out for unexpected extras which significantly change the required work.


Managing Everyone Else's Risk - Many people are affected by activities in strata buildings like owners, residents, visitors, neighbours, managers, insurers, workers, etc.  And since trades activities in the building creates risks so, tradespeople need to manage things to reduce or eliminate those risks for themselves, strata corporations and others.  For instance, strata corporations are usually liable for damage in lots and to owners' property when they do work in the building.


Getting Paid (or Not) - Getting paid by strata corporations means correct paperwork.  Quotations need approval (strata corporation, manager and/or insurer) and larger jobs may need meeting approval.  And, invoices need to be be properly addresses to the strata corporation, comply with tax invoice requirements, sent promptly after completing work and explain any extra charges because many people see (and check) invoices.  So, get your paperwork right.


Missionaries for the Strata Manager - Strata Managers rely on tradespeople to handle building needs and strata corporations rely on strata managers for tradespeople. So, when things go wrong both look bad, tradespeople risk losing that work and future work and strata managers risk losing building management.  But, the opposite occurs when things are done well: so there's more work for the strata corporation and the strata manager.


Although these messages are strata focused, they're also just common sense.  So, why not avoid the strata traps by following these tips?

And, thanks to Advanced Community Management for the opportunity to share some more strata information. 


Francesco ...