What is Proxy Prop Consulting?
How it works:
Sectional title can be very confusing and the role of trustees and managing agents isn't always very clear. Below are some frequently asked questions that explain the relationship between them and how my services fit in. Please don't hesitate to contact me with any questions you might have.
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Proxy Prop Consulting is a professional trustee and body corporate service provider operating in Cape Town, especially focusing on the Atlantic Seaboard and City Bowl.
Who are “trustees” and what is their role?
In a sectional title scheme in South Africa, trustees are volunteer members of the body corporate who have legal responsibilities. They manage administrative tasks, financial oversight, maintaining common property, enforcing rules, and ensuring compliance. ProxyProp +2 ProxyProp +2 They have a fiduciary duty to all owners.
What is a professional trustee, and when is one needed?
A professional trustee is an external or independent trustee engaged to provide oversight, governance, neutrality, and continuity, beyond what volunteer trustees can always offer. ProxyProp +1 They help where meetings are unfocused, decision-making delayed, compliance or legislative requirements are not met, or when schemes are large, complex or require specialized knowledge.
What is the relationship between trustees and managing agents?
Trustees are responsible for governance and making final decisions. Managing agents act on the instructions of trustees: handling day-to-day administration, implementation of maintenance, levy billing, etc. The two should collaborate constructively to ensure smooth functioning of the scheme.
How is a professional trustee appointed?
Usually by resolution at an AGM (Annual General Meeting) or an SGM (Special General Meeting), or via co-option if the scheme rules allow. The appointment should be formalised via a letter of undertaking which sets out the scope, fee, term, and expectations.
What services does Proxy Prop offer?
For Owners & Trustees, some of the services include: Meeting facilitation, compliance and governance oversight. Budget preparation, levy setting, special levy guidance. Maintenance planning, inspections, liaising with contractors. For Managing Agents, Proxy Prop helps with creating clarity on roles, ensuring accountability, supporting compliance and governance.
How much does it cost?
Fees vary depending on scheme size, complexity, scope of services (e.g. ongoing governance, special projects, meetings, inspections). There may be fixed fees (for specific tasks or meetings), or retainer arrangements for continuous governance support.
Where does Proxy Prop offer services?
Mainly in Cape Town, especially the Atlantic Seaboard and the City Bowl areas.
How do I get in touch or start working with Proxy Prop?
You can contact them via email: info@proxyprop.com Or phone: +27 72 260 7240 They offer a free, no-obligation consultation or meeting for trustees, owners, or managing agents.
WHAT IS A TRUSTEE?
WHY DO WE NEED A PROFESSIONAL TRUSTEE?
WHAT IS THE RELATIONSHIP BETWEEN TRUSTEES & MANAGING AGENTS?
HOW IS A PROFESSIONAL TRUSTEE APPOINTED?
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Managing agents take instruction from trustees, who make all final decisions.
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They have a mandate to ensure that trustees fulfil their fiduciary duties and maintain the scheme’s financial health.
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Managing agents and trustees collaborate on maintenance projects, compliance, financial management, and supporting other owners.
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They help ensure that important information is communicated effectively to everyone involved in the scheme.
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Managing agents support trustees in the smooth and efficient day-to-day running of the scheme.
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The trustee must be co-opted or nominated and appointed at an AGM
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The remuneration must be correctly budgeted for and the members must be informed
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The duration of the appointment is usually from one AGM to another
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The trustees and managing agent must be provided with a letter of undertaking, formalising their role and costing
All sectional title buildings must legally have a body corporate made up of trustees who act on behalf of all owners
Trustees are volunteers who are legally responsible for the all of the administration and legislation for the body corporate
Trustees have a fiduciary duty to the body corporate and must manage and account for how levies are collected and allocated towards all common property
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The role of trustees is to perform and exercise the body corporate’s functions and powers. Managing agents work for the trustees by implementing their instructions.
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Trustees are responsible for acting in the best interests of the scheme. They ensure the managing agents fulfil their mandate.
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A professional trustee works independently of the managing agent. They’re a neutral third party who is balanced and has the scheme’s best overall interest.
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A fair, unbiased working relationship between all parties lays the foundation for effective collaboration.