The “Secret” to Success in Management Rights

Contributed by Rhonda Perkins, PROPERTY BRIDGE – 30 August 2019

The “Secret” to Success in Management Rights

HOW TIMES HAVE CHANGED … In the early 1980’s there were no mobile phones, internet, email or software. Management Rights was primarily holiday letting on the beachside of the highway and marketing revolved around the A frame on the footpath and crossing one’s fingers that sufficient guests walked in the door for weekly bookings. Many managers cleaned their own apartments and some guests even brought their own linen. It was common for southern investors to furnish the “flat” in Surfers with discards from their Melbourne homes. Diplomacy was essential when faced with the mismatched family china and ill-fitting drapes!

Competition was strong and occupancy a guarded secret gauged by regular ‘light spotting’ in neighbouring buildings. The RLA training was 30 multiple choice questions and no one ever failed. If you didn’t know the answer you just asked the guy sitting next to you.

Everyone had full office hours, were required by law to live on site and prohibited from selling Real Estate even in their own business.

All Trust Accounting was manual and the dreaded End of Month took “forever”. Finance approval was a nod and a handshake from one of the few industry specialist bankers. There were no modules. Some agreements were three years or ten if you were lucky. The Manager’s unit was invariably the smallest in the building with the worst aspect.

I don’t recall discussions of multipliers, if you liked it, could afford it and thought you could make a go of it you bought it. Competition for “off the plan” was fierce. Many Developers were yet to discover sinking funds and necessary rectifications often shelved until funds were available. Occupational health and safety hadn’t been invented.

The emergence of the residential resorts and townhouse complexes in the suburbs was a revelation and subsequent technological advances and changes to legislation over a long period have broadened the industry’s scope and appeal. Over the years floods, storms, droughts, industrial disputes, court rulings and financial downturns have been encountered and new challenges have emerged but Management Rights continues to evolve and prosper.

Yes… much has changed but some things remain the same. Every day I meet quiet achievers who have come from all walks of life, energetic and resourceful, charting their own course, embracing the challenge and contributing greatly to their thriving strata communities. Recently I shared in the joy of selling out a couple after 18 years tenure in their Management Rights holiday complex. The “secret” to their success? Invariably it’s hard work and great people skills.