Keeping strata levies low starts during construction and design, this is a simple guide with some of these elements that can be implemented to reduce the ongoing running costs of a building.
I’ve broken these items into groups being a housing development, apartment block, industrial and townhouses. Some of these have limited environments where they are optimum, but they can be beneficial.
If you would like more information on any of the items for your development just call or email me.
This is my major piece of advice for all developments, new and old.
Avoid/reduce manned services
The largest single cost to most strata apartment blocks are the manned services; cleaning, security, concierge, building management, and strata managers time. When developing any part of the building it is best to avoid, where possible, a solution that needs building manager, cleaner or someone else to physically move or change something on a weekly of daily basis will dramatically increase the levies of any building.
How to keep strata levies low in:
Housing Development (Community Title)
Landscaping & Green space
If your community does not have a park make nature strips and garden beds owners responsibilities to maintain. This way you can avoid the cost of a weekly gardening service.
Street light repairs
It can cost $500-1,000 per globe replacement in street lights. Consider LED lights and street lights that don’t need high access equipment.
Industrial & Townhouse Developments
Roller Doors
Make roller doors and all workings the owners responsibility, not strata. As the development gets older and ages, this will save $1,000s each year.
This tip is a must do for any storage locker developments.
Apartment Development (Strata Title)
Pools, Gyms, Saunas
Add as much facilities as you can fit, the running costs of pools & gyms at 100 apartments plus is negligible per lot.
Tip for 100+ lot building
Garbage Chutes
Don’t install garbage chutes or bin rooms on each level, make Owner’s carry garbage to the basement.
Tip for building under 40 lots & less than 4 floors
The following tips are suitable for all apartment developments
Lifts
1 – Install removable carpet mats, these are easy to clean and replace.
2 – Use the minimum number of lifts. Each lift will cost $15,000+ per annum when considering replacement.
Carpet
Use a dark grey carpet with white fleck. This hides marks and dust so your cleaners can reduce the number of times they vacuum each week. 3 hours less cleaning per week is $5,000 per annum.
Don’t install black carpet!
Arcatraving
Don’t install them, they create something else that needs to be cleaned. This is also something that people see and will create frustrations.
Electricity
Install LED lights and motion sensors, electricity in basements can cost $100 per car park per annum.
Walls
Avoid glass and mirrors, keep simple white walls. These are easier to clean and repair.
Louvers
Include a by-law making louvers the owners responsibility and not strata’s responsibility. Louvers with moving blades can cost $5,000 per set to repair as they often need abseilors to remove and reinstall.
This list will bring down strata levies when implemented into any building, of cause there are other things that can bring down the running costs. But these other cost saving options often have higher costs to implement or remove the design and appearance of the development.
I expect that a building that implements the majority of these can bring down their strata levies by $100-200 per quarter, and possible more.
