Can You Manage Your Own Commercial Property?

IF YOU’RE NEW to investing, you might be wondering if it’s possible to manage your own commercial property. The short answer is “yes”, but only if you know what you’re doing.

It’s important to note that owning a commercial property comes with certain legal responsibilities, particularly when it comes to compliance with Essential Services requirements under current Building Regulations.

These rules and regulations will vary depending on the state you’re in, so it’s crucial to be fully informed.

For instance, the objectives of the Victoria Act (from July 1994) aim to establish, maintain, and improve construction and maintenance standards, facilitate the adoption of national uniform building standards, enhance building amenities and protect safety and health, promote cost-effective construction, and provide an efficient system for issuing permits.

The Act sets out the legal framework for regulating building construction, standards, and maintenance of safety features.

You have Obligations under these Regulations

These include identifying and inspecting all Essential Services according to specific standards and frequencies. You’ll also need to keep hard-copy records of inspections on site and display the Annual Essential Services Report and Occupancy Permit in the building.

Buildings constructed before July 1994 are not required to have an annual Essential Services Report, but all safety systems must still be properly operating and maintained.

This includes things like exit signs and clear pathways for exit, so it’s wise to keep records of all maintenance checks.

If you plan to undertake significant upgrades to an older building, you’ll need to comply with current regulations fully.

While compliance may seem confusing and burdensome, your managing agent can help coordinate everything on your behalf to ensure you meet all your legal obligations.

Therefore, it’s in your best interests to appoint a competent managing agent, rather than try to handle it all on your own.

Bottom Line: Managing a commercial property can be a complex task, but with the right knowledge and support, you can navigate the legal responsibilities successfully.

Best wishes …