Updating Our Management Agency Agreement

Netstrata aims to have the most transparent agency agreements in Australia. That means no hidden fees. Owners want certainty about costs and clarity regarding our responsibilities.

Netstrata aims to have the most transparent agency agreements in Australia. That means no hidden fees. Owners want certainty about costs and clarity regarding our responsibilities.

Our updated Management Agency Agreement delivers on this promise.

Why Change Was Needed

Strata management agreements across the industry have often been complicated. Fees are scattered across different tables, formats vary from one company to another, and hidden or unclear charges can make it difficult for committees to compare “apples with apples.”

Without stricter controls or uniform templates enforced across the industry, it’s easy for costs to be overlooked, or difficult to compare, making informed decisions harder for owners.

Our updated agreement addresses these challenges directly. It simplifies how fees are structured, clearly sets out inclusions and responsibilities, and ensures every potential charge is disclosed upfront – no hidden surprises. We believe this approach sets a new benchmark for transparency in strata management.

Furthermore, to help owners compare agreements across different strata managers, we are developing a companion feature that will highlight differences in pricing models and expose where hidden costs may sit in competitor agreements. This will continue to evolve with owner feedback, which we welcome through our [feedback form].

Fees and Charges – Simpler, Transparent, and Flexible

The biggest shift is in how fees are presented. Instead of navigating multiple tables spread across the agreement, Owners Corporations can now choose from two straightforward models:

  • A bundled monthly fee covering core services.
  • A pay-as-you-go model for schemes that prefer flexibility.

All inclusions, fair use limits, and electronic service costs – such as portal access, QR-coded maintenance reporting, the NetstrataSpace app, and electronic voting – are clearly listed upfront. Section 12 also requires disclosure of any commissions or rebates in the annual Section 60 report.

This redesign moves from complexity to clarity, giving committees genuine choice between predictability and flexibility.

Insurance – No Commissions, Clear Admin Fee

Our insurances are managed through a transparent administration fee, disclosed in every renewal and AGM pack. This is a simpler, comparable cost structure, when compared to commission-based insurance arrangements, ensuring owners always have complete transparency around how fees are structured owners always have complete transparency around how fees are structured, and what they are paying.

The agreement also provided clearer confirmation that Strata Insurance Services (SIS), our in-house broker, operates solely on a fee-for-service basis.

Compliance – Built for Today and Tomorrow

Where compliance once focused mainly on statutory reporting, it now extends much further. The agreement aligns with the Property and Stock Agents Regulation 2022 and the SCA (NSW) Professional Standards Scheme, while also expanding responsibilities to cover:

  • Strata Hub annual reporting.
  • Building Commissioner surveys.
  • Design & Building Practitioners Act obligations.
  • Strengthened cybersecurity and privacy clauses.
  • Responsible use of AI in communication and data handling.
  • Fire safety duties expanded to cover both fire systems and window locks, with discounts if in-house providers are used.

This broader scope reflects today’s operating environment and anticipates tomorrow’s requirements.

Term and Termination – Clearer and Fairer

Contract terms have been sharpened for predictability. The maximum three-year term remains, but renewals are now designed to automatically meet re-execution requirements. Termination rights are clearer:

  • Owners Corporations can end an agreement with 90 days’ notice via a properly convened meeting.
  • The agent may terminate with 30 days’ notice.
  • Early termination fees are limited to a defined handover cost.
  • Rules now also cover NCAT orders and compulsory management appointments.

This moves away from open-ended costs and ambiguous conditions, ensuring a cleaner, more balanced approach.

Duties – Structured and Transparent

Duties that were once grouped in ways that overlapped are now organised into three distinct categories:

  • Routine duties
    • Levy notices, budgets, repairs under $5,000, meetings, record-keeping, portal updates.
  • Opt-out services
    • Insurance renewals, tribunal representation, fire safety compliance, OBC surveys, arrears collection, contractor vetting.
  • Opt-in services
    • Defect claims, sustainability projects (solar, EV charging, NABERS ratings), engaging expert consultants.

Technology such as the NetstrataSpace app, online invoice approvals, electronic voting, and QR-coded maintenance reporting is now built into the service model. By-law enforcement follows a three-warning process, and client communications are capped fairly, with transparent billing if exceeded.

This structure removes grey areas, ensuring everyone knows what is standard, what is optional, and what requires instruction.

Transparency and Disclosure

The agreement strengthens disclosure across the board. Related businesses (SIS, Winfire, Resolute, PG Martin), supplier arrangements, and any benefits received are fully detailed. Section 60 reports also now include training, rebates, retainers, and referral fees.

An updated non-compete clause prevents Owners Corporations from directly employing Netstrata staff for 12 months after termination.

This builds on previous disclosure practices by making the flow of costs and relationships completely visible.

Branding and Value-Adds

In-house services and technology features have been consolidated into an expanded “Our Brands” section. Insurance broking, maintenance, plumbing, and compliance services are now presented as optional value-adds, giving owners faster access, competitive pricing, and greater accountability.

Technology features like the NetstrataSpace app, online portal, and QR code maintenance reporting are positioned as core inclusions – no longer treated as extras.

Modernisation

Electronic delivery is now the standard, with post available on request. The client portal and NetstrataSpace app are central to records, approvals, and communications. Clear rules also govern the responsible use of digital tools and AI, so owners understand how technology supports scheme management.

This shift reflects how owners expect to operate today – digital first, transparent always.

What This Means for Owners

These updates represent a step-change in how our agreement is structured and communicated. By streamlining fees, strengthening compliance, and embedding technology, we have set a new benchmark for clarity, accountability, and transparency in strata management.

Owners now have clearer contracts, more choice, and greater confidence in the way their schemes are managed.