This article discusses the state of NSW serious building defects after the 2023 report results are released.
Survey Overview
The 2023 NSW Strata Defects Survey, a collaborative effort between SCA NSW and the Office of the Building Commissioner, reveals significant insights into the state of strata buildings in New South Wales. The survey, involving over 600 strata managers, exposes a concerning trend wherein more than half (53%) of strata buildings faced serious building defects between 2016 and 2022, resulting in an estimated $79 million expenditure by owners corporations, or an average of $283,000 per building, for rectification.
Key Findings and Initiatives
Common defects reported include waterproofing (42%), fire safety systems (24%), building enclosures (19%), structural issues (15%), and key services such as plumbing and elevators (14%). The rise in ‘key services’ defects is attributed to the incorporation of newer technologies in the survey. Despite the challenges posed by these defects, there are positive developments. Increased confidence in reporting defects, along with heightened participation in the survey, reflects a growing commitment within the strata community to address and rectify building issues.
Positive Developments:
- Increased confidence in reporting defects, with the regulator receiving double the number of serious defects reported (34%) compared to 2021 (15%).
- Survey participation has risen by 30%, from 492 schemes in 2021 to 642 schemes in 2023.
Common Defects and Emerging Trends:
- Common defects include waterproofing, fire safety systems, building enclosures, structural issues, and key services.
- The rise in ‘key services’ defects is attributed to a better understanding that items such as problems with license plate readers, car stackers and facial recognition are included in the survey as a serious defect.
Although 71% resolved their defects by agreement with the builder or developer, not even half of the buildings with all work completed had serious defects resolved within a year. Stephen Brell commented on these states and whether SCA NSW expects the resolution of defects to improve over the next few years? If so, why?
What other challenges may NSW strata face this year? Are we well placed to meet these challenges? Stephen shares his thoughts.
You can download the survey here: Research on serious building defects in NSW strata communities
Stephen Brell
President
SCA NSW
E: [email protected]
This post appears in Strata News #678.
Have a question or something to add to the article? Leave a comment below.
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- NAT: Consumer protection and Latent Defect Insurance
- NSW: Q&A Evacuation Due to Strata Building Defects
Visit our Strata Building Defects OR NSW Strata Legislation.
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I have read the article is it referring to new builds , or buildings older than (7) seven years old , this is the conundrum, the building we occupy is over thirty years old , trying to get trades people to attend serious issues with common property is a problem , some of the work could be done by lot owners , I would not do it for nothing, there lies the problem , a lazy strata committee aswell as strata manager , could delay fixing these problems so as to not have special levy , at the next AGM if there is no improvement , there will be talk of going to meditation ….