A recent webinar titled “Behind the Strata Reforms – Rights, Rules & Realities For Owners And Committees,” part of Premium’s Strata’s Demystify Strata Series, offered a fast-paced look at the significant strata law changes anticipated in the NSW strata industry. LookupStrata moderated the Premium Strata webinar. The event featured insights from Leanne Habib, CEO of Premium Strata, and Ellie Ashley, Partner at Holding Redlich. The webinar focused on the Strata Scheme Legislation Amendment Bill 2025, specifically discussing amendments that will commence soon. Ellie Ashley provided an overview from a legal perspective, while Leanne Habib shared information from a strata management standpoint.
Is your owners corporation prepared for the commencement on 1 July 2025? LookUpStrata can help with a free, two page checklist detailing what your committee needs to do before 1 July 2025. Access the checklist via this link.
NSW: Behind the Strata Reforms – Rights, Rules & Realities for Owners and Committees
The presentation covered a wide range of topics crucial for owners and committees, including committee duties and the chair’s functions, strata manager and building manager requirements, levies and payment plans, repairs and maintenance, and books and records.
NSW Strata Law Changes 2025
Key anticipated changes discussed include:
- Developer Obligations: For developers of multi-storey buildings, additional documents will be required 14 days before the First Annual General Meeting (AGM). This includes an Inspection and Maintenance Schedule prepared in a prescribed form and reviewed and certified by an independent surveyor. Administration fund and capital works fund contributions must meet expected expenditure, and the estimates must be reviewed by an independent surveyor or another prescribed person before the first AGM. This requirement for independent vetting was one reason it only applies to multi-story buildings, to avoid excessive costs for smaller strata that could pass to consumers. This is in addition to the existing Section 16 handover documents. A desire was expressed for the timing of these documents to be revisited, ideally being provided earlier than 14 days before the first AGM, perhaps at the same time as the Occupation Certificate is provided. The presenters noted that these new requirements, as part of the NSW strata law changes, act as a “stick” for developers to provide necessary documents.
- Committee Member Duties and Training: There is a focus on ensuring committee members are educated to make informed decisions and manage strata effectively. A significant part of the NSW strata law change involves members only using and disclosing information for carrying out their function, reflecting increased interest in how private information is handled. While mandatory committee training is viewed positively for enhancing knowledge and professionalism, there are concerns that overly onerous training programs could deter people from volunteering for committee roles. Discussions around training include who will manage and police the requirement and who will cover the cost. Currently, no exemptions have been made for smaller strata blocks regarding committee training.
- Chairperson Functions: The responsibilities of the chairperson are being expanded beyond merely presiding over meetings. The chairperson will now also be required to ensure the agenda is followed, maintain order, and encourage constructive, open, and fair discussion among attendees.
- Strata Manager Requirements: Strata managers will be required to provide the owners corporation with a copy of the records kept for the past 6 months. This obligation applies to all records, not just specific items like work orders or minutes. The method of providing these records is still being determined in the regulations. Secure access is now required for all digital records. A statutory defence for strata managing agents is being introduced. The NSW Civil and Administrative Tribunal (NCAT) will have the power to terminate strata manager or building manager contracts if they act unlawfully. Agents also have an obligation to hand over records in proper order if their contract is terminated.
- Levies and Payment Plans: The capital works fund plan must now include an estimate for sustainable infrastructure, with examples including electricity meters, solar panels, and sustainable building materials. The plan will need to be in a prescribed form. Owners corporations must also consider the original owner’s maintenance schedule when preparing their first 10-year plan. The notice period for commencing debt recovery will increase from 21 days to 30 days. Levy notices must include information approved by Fair Trading. Owners corporations must not unreasonably refuse payment plans, and NCAT can order a payment plan if it was unreasonably refused.
- Repairs and Maintenance: The reforms introduce additional requirements and measures (“sticks”) to encourage owners corporations to repair common property more quickly. The Secretary (Commissioner) is given broad powers under Part 10A to investigate breaches of repair and maintenance duties, enter premises, obtain information, issue compliance notices, and enter into undertakings.
- Accessibility Infrastructure: A new “accessibility infrastructure” resolution type is being introduced, mirroring existing rules for “sustainability infrastructure”. This change aims to simplify the approval process for disability modifications to common property, requiring only majority approval.
- By-Laws and Minor Renovations: Owners must not unreasonably withhold consent to amending or repealing a by-law. By-laws will not be able to prevent sustainability infrastructure solely based on aesthetic reasons, unless the property is heritage-listed. Special resolutions must now explicitly state who is responsible for ongoing repair and maintenance. The process for keeping assistance animals is being made easier, requiring only one piece of chosen evidence.
- Exclusive Supply Networks: New disclosure requirements apply to exclusive supply (embedded) networks. Vendors must disclose the existence of such networks in the contract of sale, and failure to do so may allow the purchaser to rescind the contract. Section 184 certificates will also need to state whether an exclusive supply network exists and the nature of the services it provides. This aims to provide purchasers with this information before settlement. Exclusive supply network contracts will be limited to the first AGM or a 3-year term. The definition of “utility” in this context is broad, encompassing communication services like phone, internet, and TV, as well as domestic services such as electricity, water, gas, air conditioning, and EV charging.
Conclusion
In conclusion, the webinar provided attendees with a vital overview of the anticipated NSW strata law changes within the Strata Scheme Legislation Amendment Bill 2025. The session, expertly presented by Leanne Habib and Ellie Ashley, delved into numerous critical areas, from developer obligations and committee duties to managing agent requirements, levies, repairs, accessibility, and by-laws. The level of engagement from participants, reflected in the significant number of questions received, underscores the importance and impact of these upcoming reforms.
Presenters
Leanne Habib
Premium Strata
E: [email protected]
P: 02 9281 6440
Elly Ashley
Holding Redlich
E: [email protected]
P: 02 8083 0441
Presentation slides
Download the slide pack from today’s presentation here: Behind the Strata Reforms – Rights, Rules & Realities for Owners and Committees
This post appears in Strata News #744.
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Read next:
- NSW: Navigating the Strata Schemes Legislation Amendment Bill 2025
- NSW: Strata & Community Title Update 2025 – Part 6 – Common Property Duty & Minor Renovations
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