STM purchases The Strata Agency
Written on the 6 May 2013 by Consulting Hall, my HR and PR advisers
EXPANDING New South Wales strata company Strata Title Management has bought troubled rival The Strata Agency.
Headquartered in Sydney’s North Shore, The Strata Agency which had looked after over 240 buildings and 5,500 units in the Sydney market for the past five years was placed in administration under the care of Brent Kijurina and Richard Albarran from Hall Chadwick in February.
STM, which was established in 1978 and now managing over 25,000 lots, has finalised its acquisition of The Strata Agency with a specifically selected team to restore faith, transparency and credibility back into the management of TSA lot owner properties.
STM is a subsidiary of Vesture Limited, a listed national property company specialising in strata title management.
Vesture Chief Executive Officer Mr Patrik Bruhlmann says STM’s purchase of The Strata Agency should end months of uncertainty for the 240 plus owners corporations involved.
“Our first priority is to reassure the owner’s corporations and the owners of the apartments that they are in safe hands,’’ Mr Bruhlmann said.
“We have written to each and every one of the owners to inform them of the change of ownership and we will be conducting a series of meetings to help educate owner’s corporations regarding the level of service, expertise and latest industry knowledge that we will be providing to them.
Mr Bruhlmann said he was not surprised when The Strata Agency slipped into administration.
“It’s never nice to see rival companies fail because it affects consumer confidence about the entire industry but it does highlight how important it is for owners corporation to ensure they choose the right management company,’’ he said.
“We have been saying for some time now that Australia’s $500 billion strata title management industry is set for a major shakeup over the next decade.”
Mr Bruhlmann said that the industry was moving towards more accreditation for strata management companies to ensure greater regulation of the many hundreds of companies currently operating in the strata management space.
“In the QLD, NSW and VIC alone, there are more than 500 companies operating, including real estate agents, law firms and accountants competing for a share of the market,’’ he said.“There are now thousands of small, private operators who are managing less than 1,000 lots”
“Unfortunately, some small operators do not have the expertise, experience or resources to provide the level of service and transparency that an owner’s corporation needs to ensure their property is well maintained, adheres to legislative requirements such as Work Health and Safety and are prudent with financial responsibilities while promoting harmonious community living.”
More than 21 percent of all Australian households live in strata-titled properties. Strata management companies such as STM help owner’s corporations to manage their properties and comply with the strict legislative requirements governing them.Mr Bruhlmann said The Strata Agency’s headquarters in Sydney’s North Shore would be used as a new STM office to service Sydney’s North Shore.
Author: Consulting Hall, my HR and PR advisers