When you purchase an apartment you normally share a number of responsibilities with your neighbours such as maintenance of the common areas, cleaning, insuring the common areas and the building, providing public lighting and generally keeping the complex to a high standard to ensure that the value of the properties in that complex retain and indeed increase in value. Therefore, to ensure that these items are looked after, a management company or agent is required to ensure the responsibilities are carried out in a fair and professional manner.
Insurance is obligatory to cover all the buildings and the common areas as well as engineering insurance for the lifts and any other plant that may be in the complex as well as directors and officers’ liability insurance to protect the Directors of the Owners Management Company (OMC).
The Directors have the responsibility to arrange and carry out these management functions and they in turn appoint a management agent such as Absolute Property Management Ltd. The management agent is directed by and takes their instructions from the Directors appointed by the owners. These are known as an Owner Management Company (OMC).