Strata Management: Legal Compliance and Effective Property Oversight

Hannah Williams

Strata Management is a vital aspect of property ownership in New Zealand, governed by specific laws. It’s essential for managing multi-unit dwellings like apartments, townhouses, and office complexes. 

The main law book guiding Strata Management is the Unit Titles Act 2010 along with the Unit Titles Regulations 2011​. 

These laws set the rules for how strata properties are managed and ensure that property owners have clear guidelines to follow.

Core Components of Strata Management

In Strata Management, individuals own their units or spaces while also sharing ownership of common areas like lobbies, gardens, and parking lots with other unit owners. This shared ownership helps in maintaining a well-organised and harmonious living and working environment.

All unit owners are part of a larger group known as the Body Corporate. This group is responsible for making decisions regarding the maintenance and management of common areas. A Strata Manager is elected from this group to oversee the day-to-day operations and ensure that the property is well-maintained and compliant with the laws.

Legal Framework

The legal guidelines for Strata Management are primarily provided by the Unit Titles Act 2010, which outlines the rights and responsibilities of unit owners, the Body Corporate, and Strata Managers​.

Recently, the Unit Titles (Strengthening Body Corporate Governance and Other Matters) Amendment Act 2022 was introduced to enhance transparency, accountability, and efficiency in how body corporates operate​​.

In 2023, the Unit Titles Act 2010 received updates to ensure that it remains relevant and up to date with the current needs of Strata Management in New Zealand​.

Responsibilities of Strata Managers

Strata Managers are the pillars of smooth operation within strata title properties. They take care of shared areas, oversee repairs, and ensure that the place is up to code. Some of their duties include:

  • Budget Management: Strata Managers are skilled in making and overseeing budgets. They plan for expenses like insurance, maintenance, and utilities to make sure there’s enough money for the year ahead. They collect fees from unit owners to cover these costs.
  • Maintenance and Repairs: They ensure common areas like building exteriors, roofs, gardens, and parking lots are well-maintained. Whenever a repair is needed, they arrange for it to be fixed quickly and efficiently.
  • Dispute Resolution: When disagreements arise between unit owners, Strata Managers step in to help find a solution. They work to resolve issues in a fair and respectful manner.
  • Legal Compliance: Strata Managers make sure properties follow the law. They stay updated on rules about health, safety, fire standards, and building codes to keep the property compliant.

Benefits of Strata Management for Property Investors

Investing in strata title properties in New Zealand comes with many perks, especially when there’s a proficient Strata Manager on board. 

Here are some benefits:

  • Property Value Protection: A well-maintained property holds its value. Strata Managers ensure timely repairs and necessary upgrades, safeguarding the property’s long-term value.
  • Common Area Maintenance: Shared spaces are kept in top condition, providing a pleasant environment for residents and attracting potential tenants or buyers.
  • Shared Decision-Making: Strata Managers organise meetings for property owners to have a say in decisions. This creates a sense of community and ensures decisions are in the best interests of all parties involved.
  • Simplified Property Management: Property investors can focus on other aspects of real estate investment, as Strata Managers take care of day-to-day operations.

Challenges of Strata Management for Property Investors

While there are many advantages, property investors should also be aware of some challenges:

  • Potential Conflict: Shared ownership can sometimes lead to disagreements among property owners, especially when decisions about common areas need to be made.
  • Finding a Competent Strata Manager: Not all Strata Managers are equal. It’s crucial to find one with a deep understanding of New Zealand property law and excellent communication skills.
  • Strata Management Fees: These fees are a necessary expense, covering maintenance, repair, and insurance services. It’s vital to ensure that the fee structure provides good value for the services offered.

Recent Developments

In the ever-evolving field of Strata Management, staying updated with recent legal amendments is crucial. In 2022, the Unit Titles (Strengthening Body Corporate Governance and Other Matters) Amendment Act brought significant changes to enhance transparency and efficiency in body corporate operations​. 

The Unit Titles Act 2010 received updates in 2023 to ensure it aligns with the current needs of Strata Management in New Zealand​. These amendments signify a stride towards a more streamlined and accountable Strata Management framework.


The roles of the Body Corporate and Strata Managers are pivotal in maintaining the property value and ensuring legal compliance. 

Staying updated with recent legal amendments and having a competent Strata Manager are keys to overcoming challenges and reaping the benefits of Strata Management.