AI Strata alliance to automate & modernise strata management

An alliance between ActiumAI and Michael Teys Strata Advisory will deploy artificial intelligence to automate and streamline strata management across Australia.

The venture, known as AI Strata, brings together ActiumAI's enterprise workflow automation with specialist strata expertise from Michael Teys. The aim is to introduce tailor-made, compliance-oriented AI agents and process automation throughout the strata sector, targeting faster decision-making, cost reductions, and transparency for owners and managers of apartment and townhouse schemes.

Strata management in Australia has traditionally faced criticism for being slow, administratively heavy, and difficult for owners to navigate. Common complaints include opaque governance, delays in routine approvals, and the continued rise of levies and administration costs. With the integration of artificial intelligence, the partners aim to address these concerns through the automation of rule-based, repetitive tasks and the digitisation of compliance records and operational processes.

Automation in focus

"It has become increasingly clear that automation technology is key to the future of strata management," said ActiumAI founder Dr David Millhouse.

Dr Millhouse said the new special purpose vehicle will be at the centre of an industry-wide shift. "The new SPV will be at the forefront of modernising Australia's outdated strata industry through the assembly of tailored, compliance-heavy AI agents and machine automation," he said.

Michael Teys, Principal at Michael Teys Strata Advisory, said the partnership is directed at improving outcomes for all stakeholders. "We are modernising the strata industry for the betterment of all managers, owners and communities - something that is well overdue in Australia. Together with ActiumAI is delivering improved compliance, productivity, processing times, cost reductions, and most importantly - peace of mind for owners," Mr Teys said.

Industry impact

According to data from the City Futures Research Centre at UNSW, as referenced in the Australasian Strata Insights 2024 Report, strata properties comprise a significant share of the housing market. 15% of residents live in properties governed by strata schemes, with more than 368,000 schemes nationally, encompassing over 3.19 million lots or units. The sector employs around 3,900 strata managers and a total workforce of over 6,300 employees.

Reducing administrative and labour costs is front of mind for the new alliance. Automated workflows are expected to decrease the amount of time and human input required for processes like compliance checks, document reviews, and meeting administration. This, the partners say, translates into direct cost savings that could help limit future levy increases for owners.

Other practical benefits include the streamlining of approval processes for matters such as pet applications, by-law reviews, and the management of annual general meetings. By delivering faster decisions on routine issues, the technology aims to allow owners more time to focus on their properties and less on administration.

Transparency and governance

Another key feature the alliance seeks to implement is the creation and maintenance of digital records for all compliance actions, resulting in an ongoing, searchable audit trail. This, they argue, will address concerns about opacity in strata decision-making and make processes more accountable and transparent for owners and residents.

AI Strata will also use analytics functions to manage and oversee building maintenance schedules, budget reviews, and regulatory obligations, with a view to improving the long-term stewardship of strata-managed buildings.

"This partnership delivers exactly what owners have been demanding: faster resolutions, better governance and value for money," Mr Teys added.

He said compliance-heavy, repetitive tasks are well suited for automation. "By putting compliance-proofed AI to work on repetitive, rule‐bound tasks, we free strata committees to focus on community building and strategic decisions."

Sector outlook

The application of ActiumAI's technology, previously used in regulatory and legal contexts, will be adapted for the strata sector. Dr Millhouse described the approach in automotive terms: "We're bringing Rolls‐Royce quality and Ford V8 versatility to strata management," he said.

He added, "Our technology has transformed regulatory compliance in other industries. Now we're applying it to strata so owners can enjoy the benefits of smart, transparent and efficient governance.

"At its core, AI Strata is an enabler of industry aggregation, which leads to substantive private equity opportunities. It does this by providing the technological means to those ends."