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Building Relationships

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Good Governance

Good Governance

Consider your building consultant as the local GP

Tip for next time: Ensure the building consultant is engaged as soon as the leaks appear and they will do the inspection, write a report on the defects, conduct the water tests and prepare the remedial scope of works for tendering. Then they will technically substantiate the works and obtain the necessary warranties for the body corporate.

Case study 2: Rotten deck timbers

The body corporate discovered the balcony decks across the complex were rott ing and engaged a structural engineer to inspect. The engineer’s inspection report that followed spoke about a remedial solution but did not inform the body corporate that the repair works were considered assessable building work under the building Act, and that a private certifi er would be necessary to process a building permit. The repairs were half done before a building consultant mentioned the certifi cation requirements and the works had to be put “on hold” while the engineering design and building approval were processed. The unit owner could not use his deck for over a year while this went on. Tip for next time: Ensure the building consultant is engaged as soon as the decking defects appear and they will do the inspection, write a report on the defects, coordinate the engineer and private certifi er and prepare the remedial scope of works for tendering. Then they will coordinate the engineer and private certifi er to technically substantiate the works and obtain the necessary warranties and regulatory compliance certifi cation for the body corporate

Case study 3: Full reroof under insurance

The body corporate suff ered roof damage in the hail storm and were successful in their insurance claim to have the roof fully replaced under the insurance policy. The insurer obtained quotes and coordinated/ arranged the reroof works. Within six weeks of replacement the roof started leaking, and the insurer referred the body corporate to deal directly with the roofi ng contractor on fi xing the defects. The roofi ng contractor never returned, and the leaks went on for four years, signifi cantly damaging internal apartment ceilings and walls, before the building consultant became involved and discovered that the reroof had not been done lawfully (for example no building approval). This basically rendered the reroof works as void of warranty and the body corporate eventually had to have the reroof done again, this time with structural engineering and a building approval, at their own signifi cant cost. Tip for next time: Ensure the building consultant is engaged as soon as the roof defects appear and they will assist with the insurance claim process to ensure the works are completed lawfully, with all necessary engineering upgrades, building approvals, warranties, and certifi cates. It is important to understand that the insurance company is not a building consultant or project manager.

Let’s kick it old school

I have said it a million times, but I am going to bang the drum again, communicating with your owners is essential to building and nurturing your relationships.

It is funny, you ask the kids of today (yes, I am 35 and just said “the kids of today”) to pick up a pen and write a lett er and they seem to look at you like you are from another world. Picking up the phone and calling someone, that is “so old school” I have been told by my teenage stepdaughters. Which brings me to the title of this article, let’s bring back the old school way of communicating, it worked then and guess what it still works now.

I want you to think of your local coff ee shop, restaurant, or any other establishment that you are a regular client. How would you feel if one day, on your usual visit, the owner came out and gave you a handwritt en card that said, “thank you for your loyalty and for being a customer?” I don’t know about you, but they would have to start making prett y bad coff ee for me to ever think about leaving them and going to a competitor. The second beautiful thing to come from such a small gesture is that is something I would tell my friend, family, colleagues and anyone that would listen. I understand that the business of management rights is on a much larger scale than a café, but it is all about how the operator makes you feel at the end of the day, regardless of the monetary factor. Phone calls are another great way to connect, why not spend an aft ernoon calling your investors to see how they are going both mentally and (without being too invasive) fi nancially.

Times are tough now, and it might be a great opportunity to just touch base, show you care and see if there is anything you could be doing to help ease the stress of owning an investment property.

I understand rental prices are hitt ing extraordinary highs but as the interest rates slowly creeps up, as does the cost of living, I am sure it has got some of our investors a litt le bit anxious.

A small gesture of gratitude thanking them for continuing to choose you to look aft er their investment, a phone call to see how they are and off er assistance will take your business, and possible personal relationships with your clients to a whole new level.

Let’s kick it old school and take time to ensure that the relationships we build in our business are strong and healthy.

Not only is it good for business, but it is also good for the soul.

Kelley Rigby,

Managing Director, Letts Rebuild

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