Owner’s Corporations, also called Body Corporates, are created to help administer the site of dwellings that share common areas. This might include maintaining common areas, setting regulations for living in the property, and enforcing these responsibilities in accordance with the Owner’s Corporation Act (2006).
How do I join one?
If you own a property that is part of a subdivision (as in a larger property has been divided up into smaller ones and sold off) and it contains common property registered with Land Victoria, you are automatically members of the Owner’s Corporation for that property. The property can be commercial, residential or industrial.
What does the Owner’s Corporation do?
The Owner’s Corporation is responsible for a range of things, depending on the requirements of the property, but at a minimum they are responsible for short and longer term maintenance planning, holding an annual general meeting, organising building insurance, electing a chairperson, collecting the appropriate levies and keeping unit owners informed.
It also handles the use of common funds, taken by levies on the lot owners. These are commonly used for maintenance and assistance with common issues.
The structure of an Owner’s Corporation:
Rather than have all the owners make decisions on everything, a committee is elected to handle the administration of the Owner’s Corporation. If there are 13 or more lots, a committee is mandatory, but even with fewer than 13 lots it is still much more efficient to have a committee than a group vote on every issue.
The committee must have at least three, but no more than 12 members, with a couple of those being positions being for a Chairperson and Secretary.
The Chairperson is responsible for running the committee meetings, and making sure that decisions are made in a fair, cost-effective and timely manner. They can also arrange special meetings if the situation requires, but they cannot act without the authorisation of the Owner’s Corporation or its committee, unless specified in writing.
The Secretary also organises the meetings of the committee, as well as handling all correspondence to and from the Owner’s Corporation. This includes taking minutes, issuing notices and presenting any relevant paperwork from contractors.
Owner’s Corporations in action.
A good Owner’s Corporation is one that you hardly need to think about. The common areas are maintained, the rules are fair and legally compliant, and the common funds are used efficiently. This isn’t always easy though, which is why using Mayfield Body Corporate management can make things a lot easier. We help ensure that Owner’s Corporations are being administered in accordance with the rulings and regulations imposed by the Act and its Regulations as amended.
The power still resides with the Committee though, all we do is take the worry out of it all, and make sure that you can get on with enjoying your investment.