Conflict of Interest?

We a have a unit managed by a strata titled company and then each owner have various PM’s manage their individual units.

We recieved a letter today advising that the Strata company is no longer prepared to act as strata managers unless they manage all of the units (they do already manage some of them). They feel this is necessary to stop damage etc as they feel that the problems are always tenants put into the units by other PM’s and owners direct. Further they say if they don’t have authority to manage all the units then they are no longer prepared to manage the strata company either.

Now this came to a head beacuse one of the units was badly damaged by a fire last week.

So, is anyone in a situation where this happens?

On one hand I can see the benefits in that one party is managing the whole complex, any issues can be dealt with in one phone call, they know if the issue is unit related or common property related etc.

However, the downside as I see it is that we then have no choice, if they put up their fees or your unhappy with their service, it’s not so easy to shop around and go elsewhere as you’d need all unitholders to agree.

Also they have given 30 days for changeover, however, I have a 12 month contract with the PM so I’m sure they’d be a cost to change.

Well, that’s my thoughts to date, just looking for others ideas, either people who are in the situation where the one party is the strata title company and the PM and how it is working or how it isn’t working. Or if anyone has any other things I need to consider please advise.

The meeting where this is to be decided is on Friday, so limited time to get my reply to together.

Thanks
PK