How to Change Your Strata Manager (Even If You’re Stuck in a Contract)
Are you frustrated with your current strata manager but feel stuck in a long-term agreement?
You’re not alone. We speak with owners and Councils across WA facing the same issue: they’re locked into strata contracts while dealing with poor communication, lack of action, and rising costs.
The good news? You can change your strata manager — and there are two ways to do it.
Option 1: Terminate the Current Strata Contract
This is the more traditional route, but it requires understanding your existing agreement. Before doing anything, review your current contract carefully:
Step 1: Review Your Current Contract
- Contract Length: Most strata agreements are for 1–3 years. If you’re still within that term, there may be penalties for early termination.
- Termination Clauses: Look for conditions under which you can legally exit the agreement. These may include breach of service or dissatisfaction.
- Notice Requirements: Does it require 30, 60, or 90 days’ notice? Written or email notice?
- Exit Fees: Some contracts include fees or penalties for early termination.
Step 2: If you are an Owner then Raise your Concerns with the Strata Council
Text or email your current concerns to the Strata Council.
If you’re on the Council, you can call a meeting (AGM or EGM) to discuss the performance of the current manager.
At the meeting, discuss issues openly and vote to seek quotations for alternative strata management companies.
It is a requirement that the Current Strata Manager receives a Show Cause notice and is afforded the opportunity to discuss or give reasons why they think their services should not be terminated.
Step 3: Vote to Appoint a New Manager
Once the Strata Council has elected a new strata management company:
- The Council must check the most recent General Meeting Minutes to confirm whether they have been given authority to enter into contracts on behalf of the Strata Company.
- If they already have authority, they can proceed to sign the new management agreement.
- If not, an Extraordinary General Meeting (EGM) must be called to pass an ordinary resolution granting the Strata Council authority to enter into contracts. The Council has the authority to call this EGM and must notify all owners accordingly.
Step 4: Secure an Ordinary Resolution from Owners
You’ll need a simple ordinary resolution at an EGM of owners to proceed with the change of strata manager.
The executive committee (Strata Council) should gather quotes, conduct a review, and present their recommendation to the Owners Corporation.
This is typically done at the Annual General Meeting (AGM), especially if the current contract is expiring.
If the change is due to breach and the AGM is too far off, an Extraordinary General Meeting (EGM) can be called instead.
Only financial owners (those who are up to date with their levies) can vote.
Ensure the motion is clearly stated and the resolution is properly recorded in the meeting minutes in accordance with legislation.
Step 5: Go to Tender
Create a simple tender document: location, number of lots, key issues (e.g., insurance), services you need, meetings per year, etc.
Focus not just on pricing but on what’s included and excluded.
Look for hidden fees, communication structure, and termination clauses in proposals.
Step 6: Sign the Contract
Once the owners corporation has passed the motions to terminate the original contract and appoint a new manager, you can sign the contract with the new strata management company.
This may be done immediately after the vote, or at a follow-up meeting depending on your governance structure.
Step 7: Provide Formal Notice
Notify your current manager in writing as per contract terms. Email is typically acceptable unless the contract requires another method.
If you’re ending the agreement due to breach, your written notice should include:
- A clear statement that the owners corporation believes the manager has failed in their responsibilities.
- Specific details outlining the issue: whether it was a neglected duty, a violation of professional standards, or serious misconduct.
- A deadline of 14 days for the manager to either provide a written response or fix the issue.
- A statement that the contract may be terminated if the manager fails to respond or remedy the breach.
Step 8: Complete the Handover
Ensure all records, documents, and financials are handed over. Work closely with your new manager to ensure nothing is missed. Request a handover checklist to track what’s been received and what might still be outstanding.
Option 2: Keep the Contract, but Upgrade Your Management NOW
This is where Contessi’s Strata Transition Strategy comes in.
We understand that breaking a contract isn’t always possible or practical. That’s why we developed a smarter way forward for buildings that want better management now, not 12 months from now.
Our Strata Transition Strategy Works Because:
- No disruption to your building or residents
- No double payments or financial burden
- Immediate improvement in service, communication & planning
- Fully compliant with your current legal obligations
Built for Councils ready to take back control.
It’s a tailored, no-stress handover approach that lets you experience our full service long before your current contract even ends.
Ready to Make a Change?
If your current strata manager isn’t meeting your needs, you have options.
Contact us to discuss:
- How to cancel or terminate your strata management contract
- Whether your building qualifies for our transition strategy
- What a smooth handover looks like (yes, it’s possible!)
✉️ strata.manager@contessi.com.au
📞 0477 520 269
