MBA Lawyers has been at the forefront of the Management Rights industry since its inception having has acted for many hundreds of Management Rights operators in both purchases and sales of Management Rights, ranging from small complexes right through to large multilayered schemes.
MBA is able to provide timely, practical and experienced advice to all of our clients, whether they be a small scheme operator or a publicly listed company involved in the Management Rights industry, in Queensland, New South Wales and Victoria.
With a wealth of experience and an emphasis on service to our clients, MBA Lawyers continues to be a leader in the provision of legal services to the Management Rights industry.
What is Management Rights?
Management Rights evolved as a concept well over 30 years ago having its origins on the Gold Coast. Developer's constructed three storey walk up unit developments which were usually all sold to investors from outside the area. If a local purchased a unit in the complex the other owners would often ask that owner to manage the garden and the grounds for which they were usually paid. Over time, these same owners would approach that resident owner to manage the letting of their units and so evolved an industry which is now a multibillion dollar industry in Queensland alone.
The Management Rights generally involve three components:
The purchase of a Manager's Unit - This unit is usually in the part of the complex with the least amenity so that the manager has the most accessibility to people within the Scheme. Ownership of the office should include an office on the title or the exclusive use of an office under the By-Laws. Only in exceptional cases would you buy a Management Rights business where you did not have ownership or control of the office area as this area is essential to your long term security and right to operate as an exclusive on-site letting agent;
Caretaking Agreement - An agreement which outlines what caretaking duties are required on the common property on behalf of the body corporate (eg: gardens, pools, cleaning etc);
Letting Agreement - An agreement which permits the Resident Manager to let out units within the scheme on behalf of owners.
Why Management Rights?
The Management Rights industry is chosen by thousands of people for numerous reasons. A combination of investment return, a combined home and business environment and the lifestyle aspect has proven to be a very attractive business proposition. In other instances Management Rights have been chosen by people seeking a home with some part time work; a home that will enable a retiree to keep active or a home that will allow a single parent to be at home with the kids for when they return home from school. Management Rights is often seen as buying a home which allows for a better lifestyle.
Management Rights is popular in a plethora of developments such as:
Townhouse Developments
Hi-rise Holiday Letting
Resort Developments
Gated Estates
Retirement Villages
Corporate Letting
Student Accommodation
As this is a specialised area of the law, it is vital that you are receiving specialised, experienced and practical advice. Most lenders will only accept industry recognised lawyers' legal due diligence reports in financing these purchases as the legality of your agreements is vital in protecting yours and the bank's significant investment in the management rights business. MBA lawyers will ensure that your life savings are protected by providing practical and trusted legal advice and expertise.
Rob Balanda and Clayton Glenister have over 50 years experience of management rights transactions behind them having completed over 1000 transactions. Your investment in Management Rights is well protected when using the dedicated skill and expertise of MBA Lawyers.
