This article discusses how your Building Management Statement (BMS) governs shared responsibilities in Queensland’s mixed-use developments and the impact of recent legislative reforms on their management.
Understanding Building Management Statements: What Queensland’s New Rules Mean for Strata Communities
Last week’s LookUpStrata webinar unpacked the often misunderstood world of Building Management Statements (BMS) — complex legal documents that govern shared facilities and responsibilities in mixed-use and layered developments. Hosted by Nikki Jovicic, the session featured Frank Higginson and Dylan Carrier-Hubbard from Redchip Strata Law, who explained how a BMS operates, why disputes arise, and what recent legislative changes under the Property Law Act mean for strata communities in Queensland.
The conversation was practical and grounded, helping strata managers, committees and caretakers understand how to manage these layered relationships more confidently and avoid costly misunderstandings.
QLD: Complex schemes and building management statements – what you need to know | Frank Higginson and Dylan Carrier-Hubbard, Redchip Strata Law – Oct 2025
What is a Building Management Statement?
A Building Management Statement, or BMS, is a document that sets out how different parts of a mixed-use complex interact — for example, the residential, commercial and retail components. It regulates the use, management and maintenance of shared infrastructure such as driveways, lifts, utilities and car parks.
Frank explained that while a BMS is a legal instrument registered on title, it is not a body corporate document. It exists separately under the Property Law Act, which means that the body corporate must comply with its conditions even if the committee has never formally agreed to them.
Dylan noted that this distinction often causes confusion. Many committees assume they can make changes to shared facilities without consulting other parties to the BMS, but in reality, they are bound by the terms of the agreement. Failing to follow the BMS can lead to serious legal and financial consequences, particularly when maintenance responsibilities or cost-sharing arrangements are not honoured.
Why reforms were introduced
From 1 August, Queensland’s Property Law Act was amended to allow disputes over unreasonable BMS conditions to be challenged. This change provides much-needed clarity and fairness for schemes that have been struggling with outdated or one-sided agreements created by developers decades ago.
Frank and Dylan explained that while these reforms are significant, they are also highly technical, requiring careful interpretation before taking any action. Committees should not assume that a clause is automatically invalid or unenforceable simply because it feels unfair.
They encouraged managers and committees to understand the intent of the BMS, review how it interacts with each scheme’s by-laws, and seek advice before initiating disputes or amendments. This measured approach helps protect both compliance and relationships between the different parties bound by the agreement.
Common challenges with BMS arrangements
The webinar explored several recurring issues that cause tension or confusion in BMS-governed complexes:
- Lack of understanding about what the BMS covers and who it binds
- Disagreements over shared costs for maintenance, insurance and infrastructure
- Limited transparency in decision-making by one party to the BMS
- Inconsistent communication between residential and commercial components
- Historical agreements that no longer reflect how a complex operates today
Dylan highlighted that many disputes arise not from deliberate breaches but from uncertainty. Committees often don’t know what their obligations are, while resident managers or commercial owners may interpret clauses differently. Establishing clear communication pathways and reviewing BMS documents regularly can prevent these issues from escalating.
Practical steps for committees and managers
Frank and Dylan emphasised that proactive management is key. Rather than waiting for conflicts to arise, committees and managers can take several steps to ensure compliance and cooperation:
- Read and understand the BMS — It is a registered title document, not a body corporate by-law.
- Keep records current — Ensure the BMS and related agreements reflect how the property is actually being used.
- Engage early with other parties — Open, respectful communication between residential and commercial entities helps avoid disputes.
- Seek legal advice before acting — Any variation or interpretation should be reviewed by professionals experienced in property and strata law.
- Educate committee members — New committee members should be briefed on how the BMS affects their decision-making and financial obligations.
Frank explained that the reforms are not intended to rewrite every BMS, but to ensure fairness and functionality for those living and working in these complex environments.
Moving forward
The session closed with a reminder that Building Management Statements are here to stay. They are not optional documents, and they form the foundation of how shared property functions. For strata managers, this means ensuring committees understand their obligations. For committees, it means being proactive, informed and transparent when managing shared responsibilities.
Ultimately, Frank and Dylan’s advice was simple: learn your BMS, maintain good relationships with your neighbouring entities, and seek guidance when in doubt. These steps not only protect your scheme from legal risk but also create a more functional and harmonious community — the true goal of effective strata management.
Download the slides
Link to presentation slide: QLD: Complex schemes and building management statements – what you need to know
Frank Higginson
Redchip Strata Law
E: [email protected]
P: 07 3193 0500
Dylan Carrier-Hubbard
Redchip Strata Law
E: [email protected]
P: 07 3223 6100
This post appears in Strata News #766.
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