HOW TO MAKE POSITIVE CHANGE AROUND YOUR APARTMENT BUILDING
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HOW TO MAKE POSITIVE CHANGE
AROUND YOUR APARTMENT BUILDING
YOU HAVE A SAY IN WHAT HAPPENS AROUND YOUR APARTMENT AS AN OWNER, DID YOU KNOW YOU CAN CHANGE
THINGS AROUND YOUR APARTMENT BUILDING?
BUT FIRST, YOU NEED TO UNDERSTAND
If you own, rent or work within an apartment building you should know that there A FEW IMPORTANT DIFFERENCES BETWEEN
are things around you that are shared. Because they are shared, all owners YOUR PROPERTY AND SHARED PROPERTY.
share in the decisions that are made about keeping them up to date or improving
them. When you buy an apartment, you are automatically a part of a community
that has a say about what happens to this shared property. This guide will help
you to better understand how this works. YOUR PROPERTY SHARED PROPERTY
To see what is owned by you and what Shared property, formally known as
is shared property, you need to look common property, will also be shown
at your Plan of Subdivision or Strata in your plan. Generally, shared property
Plan. The boundaries could be interior, includes things like hallways, stairwells,
exterior or median (middle of the wall), foyers, driveways, gymnasiums, pools
or sometimes only the air itself! and elevators.
TIP!
DID YOU KNOW? REMEMBER THAT
EVERY BUILDING WILL
OVER 3 MILLION AUSTRALIANS BE DIFFERENT. YOUR PLAN
OWN, LIVE OR WORK WITHIN WILL TELL YOU WHAT IS
AN APARTMENT BUILDING, YOURS AND WHAT IS SHARED.
JUST LIKE YOU.
This guide was developed through the Hi-RES project; a City of Melbourne led
initiative in partnership with the Cities of Port Phillip and Yarra, Strata Community
Australia (Vic), Green Strata, Moreland Energy Foundation and Yarra Energy
Foundation, and supported by the Victorian Government Sustainability Fund.OWNERS
1
SHARED PROPERTY AND SHARED SERVICES ARE
CONTROLLED BY THE OWNERS CORPORATION,
CORPORATIONS FORMERLY CALLED A BODY CORPORATE...
WHAT IS AN OWNERS CORPORATION? A ‘LOT’ IS THE FORMAL TERM FOR AN WHAT DOES AN OWNERS
APARTMENT, BUT IT COULD ALSO BE AN CORPORATION DO?
Think of an owners corporation as the group of all the ‘ACCESSORY LOT’, SUCH AS A STORAGE
apartment owners in a building or development where there UNIT OR EVEN A CAR PARK! NO MATTER
is shared property. An owner is anyone who owns a ‘lot’. WHAT IT IS, ALL LOT OWNERS ARE
MEMBERS OF THE OWNERS CORPORATION.
WHO IS INVOLVED? DID YOU KNOW? The primary focus for an owners corporation is to
manage and maintain shared property and services.
Running an owners corporation Owners corporations are also required to:
involves people with different OWNER When you buy an apartment, you
roles and accountabilities. automatically become part of the
owners corporation for that building.
Insure the shared property Administer the finances Convene meetings of Manage the dispute Ensure that the rules of
for replacement and and apartment owners’ owners, document resolution process for the owners corporation
public liability insurance. common funds. minutes and deal with any owner disputes. are upheld.
all correspondence.
(These are your owners
corporation fees or levies).
WHAT ARE THE RULES THAT GOVERN
AN OWNERS CORPORATION? OWNERS CORPORATIONS ARE LEGALLY REQUIRED
OWNERS CORPORATION COMMITTEE
The Owners Corporations Act 2006 and Owners TO FULFIL THESE RESPONSIBILITIES AND KEEP
Helps administer and manage the Corporations Regulations 2007 govern what every YOUR BUILDING HEALTHY.
owners corporation’s responsibilities. Victorian owners corporation is required to do and what
Any owner can be on this committee and IF YOU KEEP YOUR BUILDING IN GOOD
its accountabilities and activities should be.
OWNERS CORPORATION NICK, IT KEEPS ITS VALUE LONGER.
help manage and improve your building.
The Act requires all owners corporations to have TIP!
Committee members are elected. The group consisting of all owners.
rules for the control, management, use or enjoyment
of shared property and lots. These rules can differ
between buildings and cover day-to-day issues such ACCOUNTABILITY
as parking, pets and noise. The owners corporation is ultimately accountable for
BUILDING/FACILITIES MANAGER OWNERS CORPORATION MANAGER
If your owners corporation does not make its own all decisions and actions to do with shared property.
Oversees or undertakes onsite work Helps the owners corporation do its rules, a set of model rules outlined in the Owners
and maintenance of shared property job. This may include coordinating For example, a committee that makes a decision on
Corporations Regulations 2007 applies. behalf of the owners corporation might not be held
and services and the operations of meetings, arranging insurance,
building systems like heating, air and managing finances. Each state is different and while the guiding principles accountable for the outcome. The owners corporation
conditioning and waste disposal. for owners corporations may be similar, it’s important may also revisit a decision of the committee.
OWNERS CORPORATION MANAGERS ARE NOT LIKE REAL to ensure you know the requirements for Victoria. An owners corporation manager and building manager
ESTATE AGENTS. THEY ARE THERE TO WORK TOGETHER Further information can be found at the Consumer implements the decisions of an owners corporation but
DID YOU KNOW? WITH YOUR OWNERS CORPORATION AS A TEAM AND Affairs Victoria website: www.consumer.vic.gov.au. does not directly make any decisions.
COORDINATE ACTIVITIES RELATING TO SHARED PROPERTY.2
WHEN YOU CHANGE THINGS THAT ARE
WHAT ARE THE BENEFITS OF SHARED PROPERTY OR SERVICES, IT IS EASY
TO MAKE THESE CHANGES SUSTAINABLE ONES.
SUSTAINABLE RETROFITS? AND THERE ARE PLENTY OF REASONS
WHY YOU SHOULD DO JUST THAT...
DID YOU KNOW? PEOPLE OFTEN THINK
INVESTING IN MAKING
YOUR BUILDING RETROFITTING WILL SUSTAINABILITY TECHNOLOGY IS IT’S ALL TOO HARD TO
SUSTAINABLE IS MORE MAKE LITTLE DIFFERENCE UNPROVEN OR CHANGING DO ANYTHING IN MY
HAS NO IMPACT ON OWNERS CORPORATION...
THAN JUST BEING SUSTAINABILITY TO OUR ENVIRONMENTAL PROPERTY VALUES... SO RAPIDLY IT’S BEST
IS EXPENSIVE... FOOTPRINT... TO WAIT...
GREEN. IT CAN ALSO:
• SAVE YOU MONEY.
• IMPROVE THE LIFE AND
RESILIENCE OF YOUR PROPERTY.
• INCREASE THE MARKET VALUE BUT! BUT!
OF YOUR PROPERTY. BUT! BUT! BUT!
• ALLOW FOR A HEALTHIER
INDOOR LIVING ENVIRONMENT
IN YOUR BUILDING.
• REDUCE YOUR
ECOLOGICAL FOOTPRINT.
SUSTAINABLE RETROFITS CAN RETROFITS OF SHARED PROPERTY TENANTS AND OWNERS ARE LUCKILY, MANY BUILDINGS HAVE OWNERS CORPORATIONS MAY
BE DELIVERED TODAY WITH NO HAVE SHOWN ENERGY REDUCTIONS INCREASINGLY LOOKING FOR ALREADY ACTED AND THERE ARE SEEM COMPLEX, SURE – BUT THEY
UPFRONT COST. OF UP TO 20-30%! SUSTAINABLE BUILDINGS TO CASE STUDIES AND EXAMPLES FROM DON’T HAVE TO BE IMPOSSIBLE TO
LIVE IN – AND ARE WILLING OVERSEAS AND AUSTRALIA THAT LIVE, OWN AND WORK WITHIN…
In fact, some opportunities won’t This helps reduce your owners TO PAY A PREMIUM TO DO SO. PROVE THE TECHNOLOGIES WORK. THAT’S WHAT THIS GUIDE IS FOR;
cost you a penny, while others can corporation fees through lower energy TO HELP SHOW YOU THE WAY!
pay for themselves in two years or bills but also helps reduce your Sustainability is already seen as a Technology is always changing but
less. There are easy finance options building’s impact on the environment. ‘must have’ in the commercial sector waiting means you just extend the Ultimately, it’s the value of your
available for the changes that require and the residential market isn’t far amount of time you’re paying more property at stake so it’s worth making
The building sector in Australia the effort now. Getting sustainable
upfront investment, removing the behind. Green buildings already enjoy than you have to. Check out some
is responsible for 23 per cent change to happen is much easier
need to raise money or drain your the highest returns in rent and sale case studies from Green Strata:
of Australia’s total greenhouse once you know how the system works.
maintenance fund. And what you with the trend set to continue. www.greenstrata.com.au.
gas emissions. Common sense
save in energy can go to paying upgrades can halve energy demands Melbourne’s apartment market Now that you know the benefits of
off your loan! in residential and commercial is moving toward oversupply. a sustainable building, you can share
buildings and help Australia achieve A sustainable building upgrade will your knowledge with the rest of the
the required 60 per cent cut in give your property the needed edge to owners corporation and encourage
greenhouse gas emissions by 2050. attract prospective buyers and renters them to work with you to support
in an increasingly competitive market. sustainable change.UNDERSTANDING
3
TO BE ABLE TO MAKE SUSTAINABLE CHANGES
YOU CAN START BY CHECKING YOUR UTILITIES...
UTILITIES YOU CAN FOLLOW THESE UTILITIES MAPS TO SEE
HOW TO DO THIS FOR ENERGY AND WATER USAGE.
DID YOU KNOW? YOU CAN MAKE A BIG TIP!
UNDERSTAND THE IDENTIFY WHERE
UP TO 20% OR MORE OF YOUR 3 ELECTRICITY & GAS BILLS 4 UNDERSTAND YOUR USAGE 5 YOU CAN SAVE
DIFFERENCE JUST BY
CHANGING HOW THINGS ARE
OWNERS CORPORATION FEES OPERATED AND MAINTAINED.
Work out your electricity and Organise a professional energy Work out how you can
COULD BE RELATED TO UTILITIES WORK WITH YOUR BUILDING
gas consumption. audit with owners corporation decrease your consumption.
CHARGES? UNDERSTANDING MANAGER AND CONTRACTORS
Find out the total kilowatt approval, or you can arrange You can do this by working with
YOUR CONSUMPTION IS AN TO ENSURE YOUR BUILDING
hours (kWh) for electricity. an informal audit conducted your building manager to ensure
IMPORTANT FIRST STEP TO IS BEING RUN AS EFFICIENTLY
Find out the total megajoules by walking around your the plant and equipment are
IDENTIFY HOW TO REDUCE AS IT CAN.
(MJ) for gas. building to find sources of efficient, well maintained and
COSTS AND BEGIN MAKING YOUR
energy consumption. operating only when it needs to.
BUILDING MORE SUSTAINABLE.
A level 1 energy audit is suitable
for small buildings and a level 2 A professional audit will
audit is best for large buildings. also show you different
retrofit projects you
Use this audit as a baseline could undertake
for current consumption. to make change.
START HERE
ELECTRICITY & GAS SHARE THESE LEARNINGS WITH
THE OWNERS CORPORATION
6 COMMITTEE AND THE OTHER
1 GET A COPY OF THE BILLS WATER APARTMENT OWNERS.
UNDERSTAND THE IDENTIFY WHERE
Contact the owners 3 WATER BILL 4 UNDERSTAND YOUR USAGE 5 YOU CAN SAVE
corporation manager.
Work out your Organise a professional water Work out how to decrease
Make sure you get all water consumption. audit with owners corporation consumption in shared property.
the pages of your bill. Find out the total kilolitres approval, or you can arrange You can do this by working with
(kL) for water. an informal audit conducted your building manager to ensure
by walking around your the plant and equipment are
building to find sources of efficient, well maintained and
2 UNDERSTAND THE BILLS
P
water consumption. regularly checked for leaks.
( AG Find out if the water consumption
Work out whether your (e)= a)= a E 2 includes usage from shared Work out how to decrease
bill is based on actual e s t c t ua l consumption in your apartment.
im a property only or if it also includes
or estimated readings. t ed water use from apartments. Your water provider can help you
If the reading is estimated, find make changes to reduce water
out why and how to ensure (a AG
P
(e)= )= a E 2
esti ctual
ma
Use this audit as a baseline consumption in your home.
for current consumption.
ted
future readings are actual.
A professional audit will also
Work out what portion of show you different retrofit
your owners corporation projects you could undertake
fees are from utilities costs. to make change.PROCESS TO
4
ONCE YOU HAVE AN IDEA ABOUT WHAT YOU
WANT TO CHANGE, THIS IS THE PROCESS FOR
MAKE CHANGE HOW TO MAKE THAT HAPPEN...
DID YOU KNOW?
THERE ARE A NUMBER OF
BUS
WAYS YOU CAN FUND YOUR
CASINESS
E PROJECT. BE ON THE LOOK
OUT FOR ANY REBATES,
SUBSIDIES OR GREEN LOANS
THAT MAY HELP YOU REDUCE
1 2 3 4 5 6 7 THE PROJECT COST!
DECIDE ON A PROJECT GATHER 3 QUOTES FROM CREATE A BUSINESS CASE OUTLINING SHARE THE BUSINESS CASE AT THE GET OWNERS CORPORATION NOTIFY RESIDENTS AND KICK OFF THE WHEN THE PROJECT IS FINISHED
AND WORK OUT THE SCOPE. EXPERIENCED CONTRACTORS. PAYBACK AND PROJECT FUNDING. OWNERS CORPORATION MEETING. APPROVAL AND SECURE FUNDING. PROJECT WITH YOUR CONTRACTORS. EVALUATE ITS SUCCESS.
HOW DO I CHANGE THINGS? WHAT IS A RESOLUTION? THE THREE MAIN TYPES OF RESOLUTIONS COMMITTEE RESOLUTIONS DID YOU KNOW?
Changes and other important decisions are When a motion passes it becomes a resolution of the These are resolutions that
determined by voting during a General Meeting,
Committee Meeting or by ballot. What people vote
owners corporation. This means that the proposal for
change that was presented will be put into action. 50%
OR MORE 75% 100%
result from a Committee
decision. Committees only
ALL OWNERS HAVE THE RIGHT
TO APPOINT A PROXY TO
upon is called a motion. If the motion receives enough There are different resolutions required for different make resolutions via ATTEND, SPEAK OR VOTE ON
votes it will be successful and become a resolution. types of change. ORDINARY RESOLUTION/ SPECIAL UNANIMOUS majority consent. THEIR BEHALF AT A MEETING.
MAJORITY CONSENT RESOLUTION RESOLUTION
WHO ARE THESE MEETINGS FOR? WHAT IS A SPECIAL RESOLUTION? HOW A SPECIAL RESOLUTION WORKS
Most major changes will need a special resolution.
A GENERAL MEETING A COMMITTEE MEETING A special resolution will be required if you are 1 SPECIAL RESOLUTION
Is a meeting Is a meeting of the
IF 75% SAY YES SUCCESS!
proposing a project that includes one or more
A major change is proposed.
of all owners. elected representatives. of these:
A special resolution IF 50-74% SAY YES NOT ALL IS LOST...
• A significant alteration to the use or appearance GO TO AN INTERIM SPECIAL RESOLUTION
is needed for approval.
of shared property; All owners are required to vote. UNSUCCESSFUL...
IF LESS THAN 50% SAY YES
• A change for the purpose of upgrading, REVIEW YOUR PROPOSAL AND TRY AGAIN
renovating or improving common property where:
-- A building or planning permit is required and/or; INTERIM
-- It is at a cost greater than two times the total 2 SPECIAL RESOLUTION
annual fees of the owners corporation; A notice of interim special
• A requirement for the owners corporation to provide resolution is sent to all owners IF LESS THAN 25% SAY NO SUCCESS!
a lease or license for use of the common property. within 14 days of the meeting.
TO LEARN MORE ABOUT THE INTRICACIES OF DECISION MAKING RIGHTS
AND UNDERSTAND WHICH RESOLUTION YOU’LL NEED FOR YOUR PROJECT, Owners are given 29 days to IF MORE THAN 25% SAY NO UNSUCCESSFUL...
REVIEW YOUR PROPOSAL AND TRY AGAIN
ASK YOUR OWNERS CORPORATION MANAGER OR VISIT CONSUMER present a petition against the
AFFAIRS VICTORIA AT WWW.CONSUMER.VIC.GOV.AU OR STRATA
TIP! proposed change.
COMMUNITY AUSTRALIA (VIC), AT WWW.VIC.STRATACOMMUNITY.ORG.AUTAKING
5
WHEN YOU’VE DONE IT ONCE, YOU CAN DO IT AGAIN!
USE THIS BUILDING AS A GUIDE TO IDENTIFY
ACTION
WHERE SUSTAINABLE CHANGE COULD BE MADE
IN YOUR BUILDING.
TIP!
SOLAR WIND ENERGY
(HOT WATER, ELECTRICITY) PLAN AHEAD! IF THERE IS
A BIG CHANGE YOU WANT
START BY FOCUSSING ON THE HEATING, VENTILATION, TO MAKE, ENSURE YOU HAVE
OPPORTUNITIES THAT ARE EASIEST & AIR CONDITIONING (HVAC) A MAINTENANCE PLAN THAT
TO IMPLEMENT AND OFFER THE FACTORS IN SUSTAINABLE
QUICKEST PAYBACK. ONCE YOU INSULATION & CHANGES WHEN EXISTING
BUILD SOME QUICK WINS YOU DRAUGHT SEALING PLANT NEEDS REPLACING
CAN WORK YOUR WAY UP TO SO YOU ARE PREPARED WHEN
MORE SIGNIFICANT CHANGES TIP! LIFTS EMERGENCY HITS... THAT’S
THAT OFFER MORE REWARD. STRATEGIC MAINTENANCE!
QUICK
WIN! DOWNLIGHTS
WATER FIXTURES QUICK
(LOW FLOW SHOWER HEAD & FLOW RESTRICTORS) WIN!
SHADES & AWNINGS WINDOWS
(DOUBLE GLAZING, TINTING)
CURTAINS & BLINDS
QUICK WASTE MANAGEMENT
WIN! (RECYCLING AND COMPOSTING)
RAIN WATER TANKS EMERGENCY, SECURITY & OUTDOOR LIGHTING QUICK
WIN!
QUICK
POOL BLANKET 92 APARTMENT ST OPERATION, METERING, MAINTENANCE QUICK
WIN! WIN!
POOL HEATING & PUMPS SECURE BIKE PARKING
VEGGIE GARDEN
TIP!
REMEMBER THAT EVERY
EXHAUST FANS BUILDING WILL BE DIFFERENT.
TO HELP YOU IDENTIFY ALL
QUICK
WIN! CAR PARK LIGHTING THE OPPORTUNITIES TO MAKE
SUSTAINABLE CHANGE IN YOUR
WATER PUMPS BUILDING YOU CAN ENGAGE
A PROFESSIONAL AUDITOR.You can also read
