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The NSW Strata Magazine | March 2026

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The NSW STRATA MAGAZINE

MARCH 2026

How unit entitlements and majority owners affect special resolution voting outcomes

Page 8 | Hunter Strata Management

Key advocacy priorities shaping the future of strata communities

Page 26 | Owners Corporation Network

What to do if the administration fund goes into deficit after unexpected expenses

Page 28 | Matthew Faulkner Accountancy

About Us

Welcome to the latest issue of The LookUpStrata Magazine!

For over a decade, LookUpStrata has been Australia’s premier resource for everything related to strata living. Our mission is to keep strata communities informed and connected, providing thousands of lot owners, strata managers, and professionals with reliable, unbiased, easy-to-understand information to help you solve your strata problems and make informed decisions.

The NSW Strata Magazines, published monthly, are just one of the many ways we’re dedicated to supporting you. They’re packed with articles from industry experts and include our comprehensive printable strata directory.

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Disclaimer: The information contained in this magazine, including the response to submitted questions, is not legal advice and should not be relied upon as legal advice. You should seek independent advice before acting on the information contained in this magazine. Strata legislation is updated regularly. The information in this magazine is based on the legislation at the time of publishing.

Can owners claim compensation when insurance works disrupt use or sale of a unit

Can we claim compensation if insurance repair works impact our unit and prevent us from marketing it for sale?

We own a ground floor unit with a common property courtyard. Our apartment is currently on the market, but the owners corporation has made an insurance claim to rectify fire damage on a level above us. As part of those repairs, the insurer’s trades have set up scaffolding in the courtyard.

We’ve had to suspend our sales campaign. We cannot safely show the apartment to potential buyers, and there will be additional expenses to restart the sales campaign.

We are also significantly inconvenienced. The scaffolding blocks light into our apartment, our dog cannot safely use the courtyard, and the noise from the workers starts at 7.00 am most days. The situation is affecting our amenities and our finances.

Are we entitled to claim compensation from the owners corporation, the insurer or anyone else for the disruption, extra costs and impact on our sale?

Usually, cover for financial loss only applies where the lot itself has sustained insured damage and is consequently unfit to be occupied

In most strata insurance policies, cover for financial loss—such as loss of rent, temporary accommodation, or other related benefits—only applies where the lot itself has sustained insured damage and is consequently unfit to be occupied.

Where a lot remains habitable, insurance generally does not respond, even if repair works to common property create inconvenience, reduce natural light, limit access, or impact a sales campaign.

In the situation described, the scaffolding and repair activities are occurring on common property, and the affected lot can still be occupied. Accordingly, while the circumstances are understandably frustrating, it is unlikely that compensation would be available through the strata insurance policy.

Owners who wish to explore whether compensation may be available through non-insurance avenues—such as strata law obligations or general legal principles— may wish to seek independent legal advice. As these matters fall outside the scope of insurance cover, we are unable to comment on potential legal remedies.

Tyrone Shandiman | Strata Insurance Solutions tshandiman@iaa.net.au

Mention this offer when requesting a quote from us, and we will provide a discount off our standard fee for service of $250 (GST Inc) for buildings with 10-25 lots or $500 (GST Inc) for buildings with more than 25 lots for the first year you insure with Strata Insurance Solutions

To redeem this offer email a copy of your current policy schedule to Strata Insurance Solutions within 1 month of the publication of this magazine Your policy can expire any time in the next 12 months However we can only provide quotes 30 days prior to the expiry of your policyif your policy is not due now, we will schedule a quote at the appropriate time To ensure we apply this offer to our quotes, please specifically mention you would like to redeem the "LookUpStrata Special Offer"

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How unit entitlements and majority owners affect special resolution voting outcomes

Was a motion validly passed at the AGM when one owner with 37% entitlement voted against the motion, but the other owners present voted in favour?

Six of the eight owners attended our AGM. A motion that the chair described as an “extraordinary vote” was put to the meeting. One owner, who holds 37% of the unit entitlements, voted against the motion. The other five owners present voted in favour, and the committee decided to proceed on the basis that the motion had passed.

Was this decision valid under the strata legislation, given the voting percentages involved? If the decision was not valid, can either of the two absent owners refuse to be bound by the financial implications of the motion or refuse to contribute to the associated costs?

The motion should be defeated.

I am going to assume that when you talk about an extraordinary vote, you mean a special resolution vote. A special resolution is resolved by calculating units of entitlement, in which case, the number of lots is irrelevant.

The motion requires 25.1% of unit of entitlements eligible to vote (being in attendance in person or via proxy) to defeat the motion. As you mentioned, an owner who voted against the motion has 37% of the units of entitlement. The motion should therefore be defeated.

If the minutes indicate the motion was resolved, the owner who voted against the motion and any other owners should requisition a general meeting to have the resolution corrected.

Owners with at least 25% of unit of entitlements can request a General Meeting. The requisition should include the motion(s) you wish to have resolved, including an explanation for each motion. The owners corporation has 14 days to call this meeting.

If the owners corporation fails to call the meeting after receiving this requisition and all required information, the owners affected should apply to NCAT to order the owners corporation to hold the meeting and or correct the minutes and invalidate the resolution.

Nathan Clarke | Hunter Strata

READ MORE HERE

Can an owner run a home business? The business occupants interfere with other residents’ use of common property.

I am on the strata committee of our owners corporation. We recently discovered that an owner is running a home office business from their lot. The company is listed as the tenant. The business involves computer based work. The principal and their spouse attend the lot daily from about 10 am to 6 pm and leave each evening to sleep at their permanent residence. No staff, clients, or other visitors attend the lot. The lot adjoins a common property area that residents and children frequently use as a shared backyard near the beach. The business occupants are abusive and obstructive towards residents and children using this area, claiming that normal use of the common property interferes with their peace and quiet enjoyment.

Although the owners corporation has not approved the running of the business, we do not have a by-law prohibiting running a business from a lot. Can a lot owner conduct a business from their lot where it results in interference with other residents’ reasonable use of common property? Can the owners corporation prevent or restrict their conduct?

If the owners are being rude, intimidating, or trying to stop others from reasonably using the backyard, the committee can step in.

The Short Answer

Living in strata means balancing your rights with those of your neighbours. Yes, people can usually work from home, but no, that doesn’t give them the right to control shared areas or make others feel uncomfortable using them. If the owners are being rude, intimidating, or trying to stop others from reasonably using the backyard, the committee can step in.

Home businesses are generally permitted in NSW without council approval, provided they meet certain conditions such as not involving staff, clients, or signage.

Many strata schemes adopt a standard bylaw requiring owners to notify the owners corporation of any change in use, particularly if it may affect insurance premiums or shift the use from residential to commercial.

So, while running a home office may be allowed, behaving like you ‘own’ the common backyard isn’t.

What the Committee Can Do

1. Record what’s happening: Encourage affected residents to take notes about incidents—what was said, when, and how it affected them. This helps build a clear pattern of behaviour.

2. Issue a written warning: The committee can send a formal reminder about respectful conduct and appropriate use of shared spaces and raise any by law breaches. If the behaviour continues, further steps can be taken.

3. Update your by-laws, if needed: If this becomes a recurring concern, consider adopting a by-law that clarifies acceptable use of lots during business hours, or requires committee approval for any business activity.

4. Use free mediation: NSW Fair Trading offers a free mediation service if the situation escalates. This is often an effective and lowconflict way to resolve strata disputes.

Leanne Habib | Premium Strata info@premiumstrata.com.au

Collective sale ballots: Improving transparency and trust in the decision making process

Is it acceptable for the chair to withhold which lots voted in ballots about selling the whole building to a developer?

Two written ballots have been held in our 23-lot strata about the potential sale of the entire block to a developer. Neither ballot paper was marked as private, confidential, or secret.

For the first ballot, the chair reported the result as 11 in favour and 7 against, which means 5 lots did not respond. Because the units are different sizes, knowing which lots voted (and which did not) would allow owners to understand the voting in terms of unit entitlements. However, the chair refuses to reveal which lots submitted a ballot or how each lot voted, despite repeated requests.

For the second ballot, the chair reported the outcome as “Affirmative” with no voting breakdown at all. Is this level of secrecy required? We feel it raises concerns about transparency and due diligence, especially given the seriousness of a potential collective sale. Is the chair entitled to withhold this information from other owners, or should the full vote count, plus which lots voted, be disclosed?

Information about how results are calculated and clear reporting of outcomes help build trust and reduce the risk of unnecessary disputes.

In NSW strata schemes, it is important to distinguish between an informal ballot and a decision made through the statutory collective sale process. A ballot, whether conducted by paper, email, or electronic survey, has no legal force to approve, authorise, or commence a collective sale or redevelopment. A collective sale can only progress when the owners corporation passes the required special resolution at a properly convened general meeting, and then follows the formal steps prescribed by legislation. For this reason, owners should not be concerned that a ballot result, on its own, “commits” the scheme to a sale. It does not.

That said, transparency still matters, especially where the topic is the potential sale of an entire building. Even a non-binding ballot can shape expectations, influence negotiations, and affect owner confidence. Where a scheme contains lots with different unit entitlements, reporting outcomes without identifying participation (or explaining how the result was calculated) prevents meaningful assessment of whether support is broad-based or concentrated.

Reporting a second ballot simply as “affirmative” without numbers or methodology provides even less clarity and is inconsistent with good governance for a decision of this magnitude.

Whether a ballot is stated to be secret makes a practical difference. If confidentiality is intended, it should be clearly declared upfront and the process designed accordingly. If it is not declared secret, secrecy should not be applied after the fact.

Where a chairperson refuses to release outcomes, there are structured governance pathways beyond informal requests: the strata committee can resolve to require disclosure, owners may seek inspection of relevant records (where they exist and are not genuinely secret), and owners can move a general meeting motion setting clear reporting standards for future ballots.

If transparency concerns persist, owners should avoid relying on indicative polling and obtain independent advice before supporting further steps.

As a practical approach, schemes should ensure that any ballot is clearly described upfront as either indicative or binding, and whether it is intended to be secret.

Information about how results are calculated and clear reporting of outcomes help build trust and reduce the risk of unnecessary disputes. For decisions of this significance, owners are best served by a transparent process and a properly convened general meeting before any reliance is placed on indicative feedback.

Building Better Owner Engagement

Strong owner engagement plays a key role in the smooth running of any strata scheme. When owners feel informed and understand the reasons behind decisions, they are more likely to participate constructively, support necessary works and trust the advice provided by their strata manager. Many challenges faced in strata including meeting delays, disputes or resistance to expenditure arise not from disagreement, but from a lack of clarity. Clear, consistent communication helps owners understand risks, compliance obligations and long -term planning considerations, leading to more productive discussions and better outcomes for the scheme as a whole.

How QIA Group Can Help

QIA Group supports strata managers with plain -English reports and educational fact sheets designed specifically for owners. Our materials explain complex compliance and planning issues in a clear, accessible way, helping to reduce confusion and improve engagement. By providing owners with understandable information, strata managers can facilitate more informed conversations and smoother decision-making.

What’s Supporting Strong Strata Teams

Leadership, support and retention practices we’re seeing make a difference

The basics still matter and they’re paying off

There’s no question the strata sector continues to feel pressure when it comes to talent. That said, in our regular conversations with strata business owners, directors and managers across NSW, we’re also seeing something encouraging.

Some businesses are making steady, considered changes…nothing flashy or groundbreaking but those changes are having a real impact on how supported people feel, and how confidently teams operate day to day.

1. Clarity beats complexity

The businesses coping best right now aren’t adding more layers or new processes. After a period of experimentation, they’re simplifying, cutting through noise and returning to the fundamentals that matter most.

In practice, that usually means:

• Being clear about who owns what

• Removing overlap between support, management and leadership

• Making it easier for managers to know when to decide, and when to escalate

When expectations are clear, managers spend less time hesitating or second-guessing and more time getting on with the job. Small issues are dealt with earlier, and confidence builds naturally.

2. Support that arrives before it’s asked for Induction doesn’t finish at the end of week one.

We’re seeing stronger early outcomes where businesses:

• Map out the first 60–90 days, not just day one

• Pair new starters with someone they can lean on

• Check in early on both workload and confidence

Rather than assuming people will simply “settle in,” these teams expect pressure points and put support in place before problems start to surface.

3. Present leadership, without micromanagement

The most effective leaders we see are present, approachable and consistent, without stepping into micromanagement.

That often looks like:

• Regular and predictable one-on-ones

• Clear pathways for escalation

• Trust backed by accountability

Managers know they’re supported, but they’re also trusted to do their job. Over time, that balance builds capability and resilience across the team.

Why this is a positive sign for the sector

None of these practices rely on scale, big budgets or perfect systems. They’re already working in businesses of different sizes, often driven by leaders who are focused on sustainability rather than simply getting through the next busy period.

Importantly, these changes are:

• Practical

• Achievable

• Already making a difference

Looking ahead to 2026

As portfolios continue to grow in complexity and experienced managers remain hard to replace, leadership approach will matter more than ever.

The businesses best placed for the years ahead tend to be those that:

• Look after experience rather than running it into the ground

• See retention as something leaders influence every day

• Use recruitment to support their internal structure, not just patch gaps in it

Industry Webinar — March

We recently hosted a practical industry webinar with Lookupstrata that builds on these observations, sharing what recruitment observations and real conversations are telling us about leadership, retention and how strata businesses are adjusting as we move into 2026. Take a look at the webinar recording here

About Property Recruitment Partners

Property Recruitment Partners works exclusively in strata and property recruitment. We spend our days speaking with strata leaders, managers and candidates, helping businesses reduce hiring risk, improve retention and build teams that are set up to last.

Can owners access the voting count for strata committee elections?

Are all lot owners entitled to obtain the voting count for committee candidates from an AGM?

All lot owners are entitled to obtain the voting count for committee candidates from an AGM.

In NSW, lot owners are entitled to obtain the voting results for strata committee elections held at an Annual General Meeting.

Under the Strata Schemes Management Act 2015, the owners corporation is required to keep records of meetings, including motions and election outcomes. These records form part of the strata records, which any lot owner is entitled to inspect or obtain copies of upon request.

This entitlement includes the voting count for strata committee candidates (i.e. the number of votes received by each candidate and the final outcome of the election).

Where an election is conducted by secret ballot, the secrecy relates to how individual owners voted in the meeting. Individual voting papers must disclose the voter’s name and lot details, the overall vote counts, and election results are not confidential and remain accessible to lot owners as part of the strata records.

Accordingly, all lot owners are entitled to obtain the voting count for committee candidates from an AGM.

Sean Bermingham | The Strata Collective info@thestratacollective.com.au

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Is it best practice to identify owners in strata committee minutes?

Can the strata committee identify an owner by name or lot number in the minutes?

Can a strata committee identify an owner in the meeting minutes by name or lot number? The owner submitted a casual question/ suggestion to the office coordinator, rather than directly to the committee.

There was no formal motion, no agenda item, and no request for a decision at the meeting. The office only passed on the feedback. Is it appropriate or lawful for the committee to record the owner’s identity in the minutes in these circumstances, or should the minutes refer to the question in a more general or anonymous way?

Naming an owner in minutes is not automatically unlawful, but good governance calls for discretion.

Strata committees are required to keep proper minutes of their meetings, but that does not mean they must record every comment or piece of correspondence in a way that identifies individual owners or residents.

Under the Strata Schemes Management Act 2015, the minutes of general meetings (Schedule 1, clause 22) and strata committee meetings (Schedule 2, clause 17) must be a full and accurate record of the meeting. In practice, this means the minutes should fairly record the business that occurred, including decisions made, actions agreed, and any discussion that is material to those outcomes.

There is no legal prohibition on identifying an owner by name or unit number in minutes. An owner who writes to the owners corporation

is corresponding with a statutory body, and that correspondence forms part of the owners corporation’s records.

However, “full and accurate” does not mean that identifying details should be included as a matter of course.

As a general rule:

• It may be appropriate to include the person’s name if this information is necessary to explain the decision or action taken.

• If it adds nothing to the understanding of the committee’s business, it is usually better practice to refer to “an owner” or “a resident”.

Committees should also be careful where comments are informal, unsolicited, or not part of a formal agenda item. Casual questions or suggestions do not automatically need to be elevated into personalised meeting records.

Finally, committees should take care to avoid defamation. Minutes should be factual, neutral, and restrained. They should not record allegations, opinions, or emotive statements about identifiable individuals unless strictly necessary, and even then should do so cautiously and accurately.

In short, naming an owner in minutes is not automatically unlawful, but good governance calls for discretion. Minutes should record what matters — not more, and not less.

Tim Sara | Strata Choice tsara@stratachoice.com.au

How can owners fill vacant strata committee and officer roles after the AGM?

Can other lot owners nominate to fill vacant committee and executive positions after the AGM? If so, what is the process?

At our AGM, the owners voted to have a committee of seven members. Only four lot owners nominated for the committee, and they were elected. The executive positions (chair, secretary or treasurer) were not filled at the meeting. Our managing agent stepped into the executive roles.

Can lot owners nominate to fill the three vacant committee positions, including the executive roles? If so, what is the correct procedure for nominating and accepting these nominations after the AGM?

The committee can appoint an eligible person to fill a committee vacancy at a strata committee meeting.

“Executive committee”, “executive officers” and “executive” were terms dropped in the 2015 Act – we now talk of the “committee”, the “strata committee”, and “officers” (chairperson, secretary and treasurer).

The Strata Schemes Management Act 2015 is pretty clear in prescribing the need for a committee to be appointed/elected (s 29 and s 30(4)(a)), usually at the AGM, and that the officer roles must correspondingly be filled (s 41(1)).

The committee is vacated at the end of the next general meeting at which a new strata committee is elected (s 35(1)(d).

The number of committee members for the following term is set at the general meeting at which a new committee is elected, before the election is held. The number can be determined after nominations are received.

If that number is equal to or higher than the number of nominees, those nominees are automatically elected to the committee. Nominations only need to be accepted by the nominee.

At the next strata committee meeting held after their election, the officers must be appointed, and a committee member may hold more than one of those offices (s41(1).

If any committee position or office is vacant, an appointed strata managing agent may exercise the duties of the officers, as long as those duties are explicitly conferred in the strata management agency agreement.

An agent exercising officer duties is not a member of the committee and has no vote at a strata committee meeting.

Additionally, there are no casting votes in strata committee meetings or decisions (the same case as general meetings) – a tied vote is an unsuccessful motion.

It’s not unheard of for an owners corporation to specify a number higher than the number of nominees. However, I have only seen that when it is expected that the positions will be filled (see below).

It is certainly unusual in my experience to have such a high number of unfilled positions by design, and it can seriously impact the operation of the committee and the owners corporation.

Even if seven is “the usual number” in your owners corporation, I would advise against such a committee makeup in the future.

The main concern is that for any strata committee meeting (and, technically, any committee decision), the quorum is one half of the number of committee positions resolved (rounded up if necessary), not the number of appointed committee members (once again, the strata manager doesn’t count towards the quorum).

In your case, that makes the quorum 4, and no decision is valid without all 4 members being present and voting. Unlike general meetings, a quorum cannot be declared after a period of waiting, and proxies are not available (acting committee members can be appointed through a more convoluted process – see s 35 of the Act).

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Fixtures vs contents: What do lot owners need to insure in NSW strata schemes?

What are lot owners required to insure inside their apartment?

I thought strata building insurance covered the fixtures? My strata manager says it does not.

Your NSW strata insurance articles say that in NSW, the Strata Schemes Management Act requires building insurance that covers fixtures within an apartment. My strata manager has told me that our policy does not cover fixtures inside my lot and has sent me the PDS, which excludes personal contents and fixtures.

What am I personally responsible for insuring inside my apartment? Can you clarify what the strata building insurance should cover in NSW and what owners need to insure?

Owners should refer to the product disclosure statement for the full details of cover.

The basic principle is that if you pick up the unit and shake it, anything that falls out is the lot owner’s contents. This includes temporary flooring such as floating floors, carpet, blinds, and curtains, as well as appliances that are not permanently attached and paint and wallpaper (NSW only). These items need to be insured by contents or landlords’ insurance.

Other permanent fixtures, including but not limited to kitchen and bathroom cabinetry, are covered by strata insurance, subject to the policy terms, conditions and exclusions.

Owners should refer to the product disclosure statement for the full details of cover.

What counts as sustainability infrastructure under the new rules?

What counts as “sustainability infrastructure” under recent NSW strata changes? Do measures like screen doors or clothes drying on balconies fall under sustainability infrastructure?

Since the 1 July changes to sustainability in NSW strata, our owners corporation has struggled to understand exactly what qualifies as a “sustainability” item. Does it cover anything that reduces energy or water use, or more broadly, anything that reduces the carbon footprint of the building?

Most people agree that obvious items such as solar panels, double glazing and EV chargers would be included. However, there is confusion about whether less obvious measures are also protected. For example, does reducing the use of air conditioning by installing screen doors, or reducing the use of clothes dryers by allowing washing to be hung on balconies (despite existing by-laws that prohibit this), fall within the sustainability provisions?

Can you please explain what sits under “sustainability” in practical terms so owners corporations can update and apply their bylaws correctly?

Generally, any infrastructure that reduces “carbon footprint”, which the Act refers to as “greenhouse gas emissions”, could fall within the definition of “sustainability infrastructure”.

The Strata Schemes Management Amendment (Sustainability Infrastructure) Act 2021 (‘the Amendment”) introduced section 132B to the Strata Schemes Management Act 2015 (NSW).

Section 132B states that any resolution in respect of “sustainability infrastructure” would require a special resolution but pursuant to section 5(1)(b)(ii), requires only 50% value of votes cast to be specially resolved

The Amendment had deliberately left the definition of “sustainability infrastructure” broad. As stated in the Second Reading speech: “sustainability infrastructure potentially includes a broad range of initiatives, so the bill has been drafted to ensure the benefit of the reduced voting threshold is available for any type of installation so long as its purpose is improved sustainability.”

Section 132B defines “sustainability infrastructure” as:

changes to part of the common property (which includes the installation, removal, modification or replacement of anything on or forming part of that property) for any one or more of the following purposes–

1. to reduce the consumption of energy or water or to increase the efficiency of its consumption,

2. to reduce or prevent pollution,

3. to reduce the amount of waste sent to landfill, 4. to increase the recovery or recycling of materials,

5. to reduce greenhouse gas emissions, 6. to facilitate the use of sustainable forms of transport,

Note: For example, installing electric vehicle charging stations.

7. a purpose prescribed by the regulations.

Only electric vehicle charging stations are expressly defined to be “sustainability infrastructure”. At present, there have not been any additions to this definition in the regulations.

Decisions of the Tribunal have further clarified the definition of “sustainability infrastructure”, for example Laws v The Owners – Strata Plan 97230 [2022] NSWCATCD 131 stated in obiter, at [20] that “Solar panels are sustainability infrastructure.”

In respect of the inquiry, some of the items cited are “sustainability infrastructure”. They can be specially resolved with 50% value of votes cast, i.e. EV charging stations and solar panels. Generally, any infrastructure that reduces “carbon footprint”, which the Act refers to as “greenhouse gas emissions”, could fall within the definition of “sustainability infrastructure”.

The inquirer queries expressly in respect of “reduced use of air-conditioning (allowing installation of screen doors), clothes dryers (hanging washing on balconies)” and also indicates these are “currently outlawed by bylaws”. I’m unable to comment on bylaws I haven’t reviewed. I also can’t comment on whether these items engage any of the “sustainability” conditions under the Act. But

these items are likely not captured by section 132B. That section is in respect of common property changes, and these items mentioned by the inquirer do not appear to involve changes to common property.

It is also important to remember that section 132B does not mandate or require the installation of any “sustainability infrastructure”. What it does is allow for a reduced vote to specially resolve these common property changes, from 75% to 50%. The SSMA reserves the decision of what an owners corporation should do to the democratic will of the members of the owners corporation.

Matthew Lo | Kerin Benson Lawyers enquiries@kerinbensonlawyers.com.au

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Key advocacy priorities shaping the future of strata communities

With so much change in strata, what are the next big advocacy priorities for owners and committies?

There is a lot of change happening in strata at the moment, from new technology and AI tools to reforms around insurance, building standards and compliance. It can feel overwhelming to keep up with everything.

What are the big advocacy battles on the horizon for strata communities? Where should owners and committies focus their energy next to have the most impact, whether that is on legislation, insurance, building safety, fairer governance, or something else?

Think about what you need to reasonably do to ensure your investment is protected and enhanced.

I always take the view that strata is about business-like relationships and business-like transactions. You’ve spent maybe upwards of a million dollars, perhaps a lot more in some cases, to be part of this strata scheme. Keep that in mind.

Ask yourself, “What is it that I need to reasonably do as an owner to ensure my investment is protected and, in an ideal world, is enhanced over a period of time?”

Chris Irons | Owners Corporation Network chris.irons@ocn.org.au

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What to do if the administration fund goes into deficit after unexpected expenses

After some unexpected expenses, our owners corporation has an administration fund deficit. Can we use the capital works fund to cover the shortfall?

Our administration fund has fallen into a $20,000 deficit after paying our insurance and some unexpected maintenance costs. Staff at our strata management firm have given us conflicting advice about what to do next.

One person advised that all administrationrelated spending must stop until the fund is back in surplus, either by waiting for regular levy payments or by raising a special levy. Another suggested we transfer money from the capital works fund to cover the shortfall.

What are the rules around using different funds to pay expenses? What are some best practice guidelines for managing the administration fund so it does not fall into deficit in the future?

Plenty of admin funds have

The advice to pause all admin-related works until the fund is back in surplus is incorrect. Plenty of admin funds have deficits. It’s not ideal, but it can be recouped in a couple of simple ways.

1. At the next AGM, the following year’s budget should ensure levies pay for all budgeted expenses (as normal) plus the admin deficit.

2. At the next AGM, approve the permanent transfer of funds from the capital works fund to the admin fund to cover the deficit.

3. Although this is not the most ideal way, it’s also an opportunity to revisit some admin expense codings and consider whether they should have been capital works fund expenses.

Who is considered present for quorum in electronic strata committee meetings?

Is the strata manager required to chair an email committee meeting? At the same meeting, can a motion be declared defeated for lack of quorum when eligible members were “present” but did not vote?

We recently held an email-based strata committee meeting where everyone was required to email their vote to the strata manager.

For the first motion, the strata manager said that, for electronic voting, they had to be the chair even though a committee member filled the chair position. All six committee members voted in favour. Is the strata manager required to be elected as chair for an email or electronic committee meeting instead of the already elected committee chair?

For the third motion, we have eight committee members in total. One never participated, two were ineligible to vote due to a conflict of interest, so five members were eligible to vote on that motion. Of those five, three voted in favour, and two did not vote.

The strata manager declared the motion defeated, saying that a quorum of four votes was not met. In this situation, does the motion fail due to not reaching a quorum even though three of the five eligible members voted in favour and the other two were “present”, but did not vote?

The third motion did not meet the quorum requirement.

It appears you are describing a meeting conducted by pre-meeting electronic voting. In this scenario, the strata manager, who collects and counts the ballots, is effectively acting as the chairperson and should be elected as such. If a committee member chaired and conducted the meeting, that committee member could be elected as the chairperson.

Regarding the third motion: When voting occurs via pre-meeting electronic voting, any strata committee member who submits a vote is taken to be present for the purpose of establishing a quorum. This is in accordance with Schedule 2, Part 3, sections 12(3) and 12(4) of the Strata Schemes Management Act 2015, which provide that a person who votes by a permitted nonattendance method is taken to be present, and that quorum is calculated based on the number of committee members last determined by the owners corporation.

In this case, the strata committee consists of eight members. Only three members submitted votes, meaning that only three were considered present. As four members are required to form a quorum, the third motion did not meet the quorum requirement.

Jana Antelmann | Strata Life jana@thestratalife.com.au

INFORMATION

LookUpStrata

Australia’s #1 Strata Title Information Site

W: https://www.lookupstrata.com.au/ E: administration@lookupstrata.com.au

Strata Community Association

P: 02 9492 8200

W: https://www.strata.community/ E: admin@strata.community

Owners Corporation Network

The Independent Voice of Strata Owners

W: https://ocn.org.au/ E: enquiries@ocn.org.au

Your Strata Property

Demystifying the legal complexities of apartments

W: https://www.yourstrataproperty.com.au/

E: amanda@yourstrataproperty.com.au

ENERGY

Arena Energy Consulting Pty Ltd

Independent Embedded Network Consulting Services

P: 1300 987 147

W: https://www.arenaenergyconsulting.com.au/ E: info@arenaenergyconsulting.com.au

Embedded Network Arena

Independent Embedded Network Consulting Services

P: 1300 987 147

W: https://embeddednetworkarena.com.au/ E: info@embeddednetworkarena.com.au

TRAINING

Strata Pathways Academy

Develop and grow your career on the right path!

P: 02 8552 1377

W: https://www.stratapathways.com.au/ E: enquiries@stratapathways.com.au

SOFTWARE

MiMOR

Connecting People – Creating Communities

W: https://www.mimor.com.au/ E: info@mimor.com.au

Stratabox

Building Confidence

P: 1300 651 506

W: https://stratabox.com.au/ E: contact@stratabox.com.au

Town Square

Productivity and Communications Platform for SMs

W: https://townsquare.au/ E: hello@townsquare.au

Urbanise

Automate your workload to increase efficiency.

P: 1300 832 852

W: https://www.urbanise.com/ E: marketing@urbanise.com

Resvu

Customer Service Software for Strata

P: 08 7477 8991

W: https://resvu.io/ E: enquiries@resvu.com.au

StrataMax

Streamlining strata

P: 1800 656 368

W: https://www.stratamax.com/ E: info@stratamax.com

MYBOS

Building Management for Residential & FM Schemes

P: 02 8378 1096

W: https://mybos.com/ E: sales@mybos.com

Onsite.fm

Building Management Software

P: 02 7227 8550

W: https://onsite.fm/ E: hello@onsite.fm

eVotters

The online voting solution

P: 61 280 114 797

W: https://www.evotters.com/ E: support@evotters.com

BUILDING ENGINEERS & INSPECTORS

Sedgwick

Building Consultancy Division & Repair Solutions

W: https://www.sedgwick.com/solutions/global/au

E: sales@au.sedgwick.com

QIA Group

Comapliance Made Easy

P: 1300 309 201

W: https://www.qiagroup.com.au/ E: info@qiagroup.com.au

GQS

Quantity Surveyors & Building Consultants

P: 1300 290 235

W: https://gqs.com.au/ E: info@gqs.com.au

Seymour Consultants

Body Corporate Report Specialists

W: https://www.seymourconsultants.com.au/ E: info@seymourconsultants.com.au

National Remedial Services Pty Ltd

Real Solutions For Australia’s Building Defects

P: 0430 370 773

W: https://nationalremedial.com.au/ E: jlawton@nationalremedial.com.au

Roscon

Property services & facilities management

P: 1800 767 266

W: https://www.roscon.com.au/ E: info@roscon.com

Leary & Partners

Quantity surveying services since 1977

P: 1800 808 991

W: https://www.leary.com.au/ E: enquiries@leary.com.au

BIV Reports

Specialist in Strata Compliance Reports

P: 1300 107 280

W: https://www.biv.com.au/ E: biv@biv.com.au

Olive Tree Consulting Group

Solutions in Strata Compliance

P: 0400 161 659

W: https://olivetreeconsultinggroup.com.au/ E: admin@olivetreeconsultinggroup.com.au

Mabi Services

Asbestos, Safety & Building Consultants

P: 1300 762 295

W: https://www.mabi.com.au/ E: info@mabi.com.au

Independent Inspections

Sinking Fund Forecast, Insurance Valuations, OHS

P: 1300 857 149

W: http://www.iigi.com.au/ E: admin@iigi.com.au

Solutions in Engineering

Quality Reports On Time, Every Time!

P: 1300 136 036

W: https://www.solutionsinengineering.com/ E: enquiry@solutionsinengineering.com

Landlay Consulting Group

A Strata Remedial Consultancy

P: 02 8095 8556

W: https://www.landlay.com.au/ E: admin@landlay.com.au

Leo & Associates Consulting Engineers

Enhancing Structures, Empowering Futures

P: 0452 205 727

W: https://laconsulting.com.au/ E: Leo@laconsulting.com.au

FORENSIC ENGINEERS

Expert Subsidence Engineer Reports

P: 0403 434 092

W: https://www.facebook.com/forensicengineers1/

E: admin@forensic-engineers.com.au

Ostanes Engineering

We Engineer

P: 0411 631 777

W: https://ostanes-engineering.com/ E: info@ostanes-engineering.com

STRATA REPORTS

Rawlinsons

Calculated Confidence

P: 08 9424 5800

W: https://www.rawlinsonswa.com.au/ E: info@rawlinsonswa.com.au

EYEON Property Inspections

Buy and Sell with More Confidence

P: 1300 798 274

W: https://www.eyeon.com.au/ E: info@eyeon.com.au

Diamond Property Inspections

Property Inspections You Can Trust

P: 1300 368 000

W: https://diamondinspections.com.au/ E: orders@diamondinspections.com.au

DELIVERY & COLLECTION SERVICES

Groundfloor™

Australian parcel, mail, and refrigerated lockers

P: 03 9982 4462

W: https://groundfloordelivery.com/ E: ask@groundfloordelivery.com

STRATA LAWYERS

Kerin Benson Lawyers Pty Ltd

Specialised Legal Advice for Strata

P: 02 8706 7060

W: https://kerinbensonlawyers.com.au/ E: enquiries@kerinbensonlawyers.com.au

Khoury Lawyers Pty Ltd

Client focused, Results Driven

P: (02) 8005 3086

W: https://khourylawyers.com.au/ E: pierrette@khourylawyers.com.au

Bugden Allen

Australia’s leading strata law experts

P: 02 9199 1055

W: https://www.bagl.com.au/ E: info@bagl.com.au

JS Mueller & Co Lawyers

Specialist ‘Plain English’ NSW Strata Lawyers

W: https://www.muellers.com.au/ E: enquiries@muellers.com.au

Williamson Lawyers

A construction and strata lawyer ready to listen

W: https://www.williamsonlawyers.com.au/ E: shane@williamsonlawyers.com.au

Bannermans Lawyers

High Quality Specialist Legal Services

P: 02 9929 0226

W: https://www.bannermans.com.au/ E: enquiries@bannermans.com.au

Grace Lawyers

Know. Act. Resolve.

P: 1300 144 436

W: https://gracelawyers.com.au/ E: enquiries@gracelawyers.com.au

Speirs Ryan

P: 02 9248 3400

W: https://www.speirsryan.com.au/ E: enquiries@speirsryan.com.au

Watson & Watson Lawyers

“when experience matters”…..

P: 02 9221 6011

W: https://www.watsonandwatson.com.au/ E: richard@watsonandwatson.com.au

Madison Marcus Law Firm

Be Empowered

P: 131 529

W: https://www.madisonmarcus.com.au/ E: marketing@madisonmarcus.com.au

STRATA MANAGEMENT

Premium Strata

Diamond-Class strata management agency

P: 02 9281 6440

W: https://www.premiumstrata.com.au/ E: info@premiumstrata.com.au

The Strata Collective

A next generation strata manager. People matter.

P: 02 9879 3547

W: https://www.thestratacollective.com.au/ E: rsmith@thestratacollective.com.au

McCormacks Strata Management

The Common Good Made Exceptional

P: 1300 991 825

W: https://mccormacks.com.au/ E: solutions@mccormacks.com.au

Bridge Strata P/L

The bridge between you and your corporation

P: 02 6109 7700

W: https://bridgestrata.com.au/wp/ E: jan@bridgestrata.com.au

Bright & Duggan

Shaping Communities for a Brighter Tomorrow

P: 02 9902 7100

W: https://bright-duggan.com.au/ E: customercare@bright-duggan.com.au

Vital Strata

Strata Made Simple

P: 02 9008 1112

W: https://www.vitalstrata.com.au/ E: hello@vitalstrata.com.au

ASM – Australian Strata Management

Helping Strata Communities Thrive

P: 1300 776 226

W: https://asmstrata.com.au/ E: info@asmstrata.com.au

Sky Living Strata

Providing a superior customer experience

P: 02 9299 1100

W: https://www.skylivingstrata.com.au/ E: enquiries@skylivingstrata.com.au

SSKB Strata Managers

A Positive Difference in Strata

P: 07 5504 2000

W: https://sskb.com.au/ E: sskb@sskb.com.au

Strata Central

Boutique Strata Management Services

P: 02 8036 5518

W: https://stratacentral.com.au/ E: enquiries@stratacentral.com.au

Acumen Strata

Tailored Strata Management Solutions

P: 02 7253 5820

W: https://www.acumenstrata.com.au/ E: info@acumenstrata.com.au

Quantum United Management

Creating vibrant and connected communities

P: 61 383 608 800

W: https://www.quantumunited.com.au/ E: info@quantumunited.com.au

STRATA EVOLUTION

Strata Management Done Right P: 1300 819 677

W: https://strataevolution.com.au/ E: info@strataevolution.com.au

Beaches Strata Pty Ltd

Your Trusted Strata Partner P: 02 7252 2141

W: https://www.beachesstrata.com.au/ E: hello@beachesstrata.com.au

Centric Strata

Centralised. Excellence. Unmatched Service P: 1300 017 211

W: https://www.centricstrata.com.au/ E: info@centricstrata.com.au

Strata HQ

Strata made simple P: 02 9420 2066

W: https://www.stratahq.com.au/ E: daniel@stratahq.com.au

Townhouse Strata PTY Ltd

Strata Management with a Difference P: 02 4971 0363

W: https://www.townhousestrata.com.au/ E: alan@townhousestrata.com.au

DEFECT REMEDIATION

MJ Engineering Projects

Remedial Consultant Engineers

P: 1800 953 935

W: https://mjengineeringprojects.com.au/ E: info@mjengineeringprojects.com.au

Klaar

The Strata Building Specialists

P: 02 8003 4547

W: https://klaar.com.au/ E: build@klaar.com.au

Altec Building

Remedial Building & Waterproofing

P: 02 9744 2039

W: https://www.altecbuilding.com.au/ E: info@altecbuilding.com.au

Building Matters Assist

Project management and general building consulting

P: 0414 946 032

W: https://www.bmassist.net.au/ E: rob@bmassist.net.au

FIRE SERVICES

Linkfire Pty Ltd

Your Essential Safety Partner

P: 1300 669 439

W: http://www.linkfire.com.au/ E: sales@linkfire.com.au

2020 Fire Protection

Experts in Fire Protection for Strata

P: 1300 340 210

W: https://www.2020fireprotection.com.au/ E: service@2020fire.com.au

Fire Safety Constructions

Compliant Specialist since 1999

P: 02 9945 3499

W: http://www.firesafetyconstruction.com.au/ E: info@firesafetyconstructions.com.au

Profire

An Honest and Transparent Fire Maintenance Service

P: 02 9948 4494

W: https://www.profireaustralia.com.au/ E: office@profireaustralia.com.au

ENM Solutions

Providing Solutions for Embedded Networks

P: 1300 000 366

W: https://www.enmsolutions.com.au/ E: info@ENMSolutions.com.au

Energy On Pty Ltd

P: 1300 323 263

W: https://www.energyon.com.au/ E: EnergyServices@EnergyOn.com.au

SUSTAINABILITY

Altogether Group

Power.Water.Data

P: 1300 803 803

W: https://altogethergroup.com.au/home-business/ E: eaustin@altogethergroup.com.au

Humenergy

People, innovation and value sharing

P: 1300 322 622

W: https://www.humenergy.com.au/ E: Info@humenergy.com.au

Fair Water Meters

Retrofit sub-metering specialists

P: 1300 324 701

W: https://fairwatermeters.com.au/ E: info@fairwatermeters.com.au

PLUMBING

Stormwater Sydney

Inspection, Repair and Maintenance of drainage assets

P: 1300 741 003

W: https://stormwatersydney.com/ E: admin@stormwatersydney.com

WATERPROOFING

Danrae Group

Remedial Waterproofing & Building Specialists

P: 1800 326 723

W: https://www.danraegroup.com.au/ E: enquiries@danrae.com.au

Reztor Restoration

24/7 Strata Water, Fire & Mould Restoration

P: 1800 739 867

W: https://reztor.com.au/ E: admin@reztor.com.au

VALUERS

Asset Strata Valuers

Leaders in Strata Property Valuations

P: 1800 679 787

W: https://assetstratavaluers.com.au/ E: workorders@assetstratavaluers.com.au

WINDOWS & DOORS

Windowline Pty Ltd

Replacement window and door specialists

P: 02 8304 6400

W: https://windowline.com.au/ E: info@windowline.com.au

ASQB Pty Ltd

Window & Door Repairs + Window Safety Compliance

P: 02 9785 7893

W: https://www.asqb.com.au/ E: service@asqb.com.au

The Window Guy

Don’t choose any guy, choose The Window Guy!

P: 1300 663 664

W: https://www.thewindowguy.com.au/ E: info@thewindowguy.com.au

Clear Edge Frameless Glass

Energy Efficient Balconies for Elevated Living

W: https://www.clearedgeglass.com.au/ E: sales@clearedgeglass.com.au

ACCOUNTANTS

Tinworth & Co

Chartered Accountant & Strata Auditors

P: 0499 025 069

W: https://www.tinworthaccountants.com.au/ E: caren.chen@tinworth.com

Matthew Faulkner Accountancy

Strata Auditing specialists

P: 0438 116 374

W: https://www.mattfaulkner.accountants/ E: matt@mattfaulkner.accountants

Incite Accountants & Advisors

Provides a service that delivers the outcomes

P: 02 8067 9015

W: https://www.inciteaccountants.com.au/ E: admin@inciteaccountants.com.au

Astute Accounting Service

We Serve You Better

P: 02 8011 4797

W: https://astuteservice.com/ E: contact@astuteservice.com

COMMITTEE CONSULTING

Strata Solve

Untangling strata problems

P: 0419 805 898

W: https://stratasolve.com.au/ E: chris@stratasolve.com.au

Tender Advisory

Tender Solutions: Consult. Procure. Support.

P: 0435 893 670

W: https://tenderadvisory.com.au/ E: info@tenderadvisory.com.au

STRATA LOAN PROFESSIONALS

Lannock Strata Finance

Simplifying strata funding

P: 1300 851 585

W: https://lannock.com.au/ E: strata@lannock.com.au

Firstrata Finance

Real Choices. Real Support.

P: 1800 59 59 00

W: https://firstratafinance.com.au/ E: enquiries@firstratafinance.com.au

StrataLoans

The Experts in Strata Finance

P: 1300 785 045

W: https://www.strata-loans.com/ E: info@strata-loans.com

LIFTS & ELEVATORS

ABN Lift Consultants

A team of friendly, open minded professionals

P: 0468 659 100

W: https://www.abnlift.com/ E: andrew@abnlift.com

Innovative Lift Consulting Pty Ltd

Australia’s Vertical Transportation Consultants

P: 0417 784 245

W: https://www.ilcpl.com.au/ E: bfulcher@ilcpl.com.au

The Lift Consultancy

Trusted Specialised Advice

P: 07 5509 0100

W: https://theliftc.com/ E: sidb@theliftc.com

RECRUITMENT SERVICES

Property Recruitment Partners

People solutions for the Strata Sectora

P: 02 8313 5591

W: https://propertyrecruitmentpartners.com.au/

E: aaron@propertyrecruitmentpartners.com.au

sharonbennie – Property Recruitment

Matching top talent with incredible businesses

P: 0413 381 381

W: https://www.sharonbennie.com.au/ E: sb@sharonbennie.com.au

Tony Isgroves Paint & Decorate

Painting Happiness- With a Seven Year Guarantee

P: 9437 1997

W: https://paintanddecorate.com.au/ E: office@paintanddecorate.com.au

Higgins Coatings Pty Ltd

Specialist painters in the strata industry

W: https://www.higgins.com.au/ E: info@higgins.com.au

CPR Facade Upgrade Specialists

We clean, repair & repaint multi-storey buildings

P: 0493 651 643

W: https://cprfacadeupgrades.com.au/ E: info@facadeupgrades.com.au

Terra Australis Painting Services

Terra Australis Painting Services

P: 0497 545 289

W: https://www.terraaustralispainting.com.au/ E: info@terraaustralispainting.com.au

K2 Rope Access Pty Ltd

Buildings Facade Painting & repairs

P: 0451 182 327

W: https://www.k2ra.com.au/ E: info@k2ra.com.au

INSURANCE

Strata Insurance Solutions

Advice You Can Trust

P: 1300 554 165

W: https://www.stratainsurancesolutions.com.au/ E: info@stratainsurancesolutions.com.au

Whitbread Insurance Brokers

Empower Your Vision

P: 1300 424 627

W: https://www.whitbread.com.au/ E: info@whitbread.com.au

CHU Underwriting Agencies Pty Ltd

Specialist Strata Insurance Underwriting Agency

W: https://www.chu.com.au/ E: info@chu.com.au

Strata Community Insurance

Protection for your strata property. And you.

P: 1300 724 678

W: https://www.stratacommunityinsure.com.au

E: myenquiry@scinsure.com.au

Flex Insurance

Strata insurance made by you.

P: 1300 201 021

W: https://www.flexinsurance.com.au/ E: info@flexinsurance.com.au

Driscoll Strata Consulting Knowledge | Experience | Service

P: 0402 342 034

W: https://driscollstrataconsulting.com.au/ E: enquiries@driscollstrataconsulting.com.au

CRM Brokers

The smart insurance choice

P: 1300 880 494

W: https://www.crmbrokers.com.au/ E: crmstrata@crmbrokers.com.au

Strong Insurance

Fast & efficient strata insurance across Australia

P: 1800 934 099

W: https://www.stronginsurance.com.au/strata-quote E: admin@stronginsurance.com.au

Body Corporate Brokers

United, Protecting Communities

W: https://bcb.com.au/ E: sarah.johnson@bcb.com.au

BAC Insurance Brokers

Specialists in Strata. Partners You Can Trust.

P: 02 9360 2244

W: https://www.bacbrokers.com.au/ E: broking@bacbrokers.com.au

CLOTHESLINES

Lifestyle Clotheslines

Clothesline and washing line supplier & installer

P: 1300 798 779

W: https://www.lifestyleclotheslines.com.au/ E: admin@lifestyleclotheslines.com.au

CLEANERS

Arrow Abseiling Pty Ltd

Window cleaning, repair and maintenance

P: 02 8957 3693

W: https://www.arrowabseiling.com.au/

E: contact@arrowabseiling.com.au

Waste Clear Pty Ltd

Towards a better tomorrow

P: 1300 525 352

W: https://wasteclear.com.au/ E: admin@wasteclear.com.au

Sydney Gutter Cleaning

SGC are a leading team in roof and gutter services

P: 02 8310 6770

W: https://www.sydneyguttercleaning.com.au/

E: info@sydneyguttercleaning.com.au

Pristine Window and Gutter Cleaning

Honesty, integrity and quality!

P: 02 9533 4476

W: https://pristinewindowandguttercleaning.com.au/ E: admin@pwgc.com.au

PROJECT MANAGEMENT

PM Services Australia

Client-side Project Management Services

P: 02 9221 1490

W: https://www.pmservice.com.au/ E: info@pmservice.com.au

Projx PM

Project Managers for Strata remedial projects

P: 0421 274 426

W: https://www.projx.pm/ E: rossl@projx.pm

SAFETY & SECURITY

QUATRIX PTY LTD

Intercoms, Access Control, CCTV, Data, etc.

P: 02 9554 3487

W: https://www.quatrix.com.au/ E: info@quatrix.com.au

Lock, Stock & Barrel Locksmiths Pty Ltd

P: 0411 700 072

W: https://www.lsblocksmiths.com.au/ E: info@lsblocksmiths.com.au

FERST

People First

P: 0419 211 683

W: https://ferst.com.au/ E: gary.cheeseman@ferst.com.au

ANTENNAS

Install My Antenna

Professional TV Antenna Service For You Today

P: 1300 800 123

W: https://www.installmyantenna.com.au/ E: info@installmyantenna.com.au

ROOFING

Apt Roofing Pty Ltd

Everything Roofing!

P: 02 9666 7373

W: https://www.aptroofing.com.au/ E: admin@aptroofing.com.au

Cross City Roofing Pty Ltd

Always one step ahead

P: 0435 848 688

W: https://www.crosscityroofing.com.au/ E: sydney@crosscityroofing.com.au

FACILITY MANAGEMENT

LUNA

Building and Facilities Manager

P: 1800 00 LUNA (5862)

W: https://www.luna.management/ E: info@luna.management

BME Group

Re-Defining the Standards of Building & Facilities

P: 02 8283 7531

W: https://bmegroupbuildingmanagement.com.au/ E: lachlan.hunt@bmegroup.com.au

Alliance Management Services

The Dedication & Commitment Your Building Deserves

P: 0466 533 320

W: https://alliancemanagementservices.com.au/ E: info@alliancemanagmentservices.com.au

PARKING

PowerUp Engineering

Car Stackers, Car Hoists and Turntables

P: 02 9170 0698

W: https://powerupengineering.com.au/ E: info@powerupeng.com.au

GROUND MAINTENANCE

NeatWeeds Gardening

Reliable garden care for homes and strata

P: 0416 651 147

W: https://www.neatweeds.com.au/ E: support@neatweeds.com.au

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