Building Management Group

Building Management Groups

In recent years many larger strata developments have seen the introduction of areas designed for specific purposes and usage. For example, schemes may include residential, commercial, and retail lots within the one complex. This type of development can provide many advantages to those involved and many management challenges also. Each group has its own specific objectives and goals. The members of each group are represented by an individual. The representatives collectively form what is known as a Building Management Group (BMG). To ensure the best possible outcome for all parties and effective management of the scheme the BMG is guided by the Building Management Statement (BMS).

 

A BMS is an instrument which sets out obligations for each party. The members of the BMS are known as volumetric lots. Examples of volumetric lots include commercial, residential or retail body corporates and car park, commercial or retail lots. A BMS is registered under the Land Titles Act NOT under the Body Corporate and Community Management Act. Each party generally contributes to the shared area and shared facility costs in accordance with the BMS provisions. BMS' can range from simple structures to rather complex ones with no two being the same.

 

What's included in a BMS?

 

Most BMS' contains the following provisions:

 

  • Rights of support and shelter for stratum or volumetric lots

  • Insurance policy guidelines

  • Schedule of the shared area and shared facilities and corresponding apportionment between each volumetric lot

  • The basis for apportionment of shared areas and facilities

  • Guidelines for the establishment and running of the BMG

  • Rules surrounding the supply of utility services

  • Provision for changes or even termination of the BMS

 

The experienced team at Insight Strata are qualified strata accounting specialists able to manage the entire BMS process from the initial establishment to ongoing BMG administration. Insight Strata believe the BMG should be run as a separate management group in accordance with the BMS. 

 

We are able to provide the following tailored expertise:

 

  • Consultancy during the initial development stage

  • Budget preparation and analysis

  • Assistance with insurance arrangements

  • Establishment of BMG bank accounts

  • Advise on the best accounting and financial structure

  • Issuing contribution notices

  • Payment of all shared cost creditor invoices

  • Regular financial reporting including cash flow analysis to provide accurate and timely management information to the BMG

  • Advice on effective management strategies

  • Preparing BMG meeting notices and agendas

  • Coordinating BMG meetings as required by the BMG

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Tel: 1300 217 388 Address: PO Box 8205, Gold Coast MC, Qld 9726

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