Question: We recently purchased a rooftop apartment and had approval for terrace works. The renovations uncovered defects with the tiles and efflorescence. Who pays for the repairs of the defects?
We bought our rooftop apartment in Sydney around 12 months ago. On the terrace, there were a lot of timber tiles laid by the previous owners some years ago, and pot plants they had left behind. At our last AGM, we applied for outdoor renovations that included removing the temporary timber tiling. We were given permission to proceed with this work.
When we removed the old timber tiles we discovered two significant problems:
- The original ceramic tiles underneath the timber tiles have all been permanently stained with what looks like a bleaching effect from efflorescence, and
- The tiles themselves are showing distinct signs of water penetration, lifting up, grout & silicone damage. Our complex is 12 years old.
Rectifying this cosmetically and structurally will cost from $42,000 to $112,000. Who is liable for this cost? Is it the previous owners, the owners corporation, the new owners?
Answer: Taking a patch and repair approach can lead to issues with the contractor providing warranties, particularly when you are dealing with waterproofing components.
James McIntosh, Sedgwick:
A comprehensive repair, down to the substrate of the balcony, doors out, balustrade walls wrapped etc is what is required.… not an isolated repair as the lot owner indicates is their preference.
We would also note that taking a patch and repair approach can lead to issues with the contractor providing warranties, particularly when you are dealing with waterproofing components (e.g. waterproofing membranes), full replacement is what would be required in most instances for a contractor to provide warranty of the works.
Leanne Habib, Premium Strata:
Subject to any notations on the strata plan and any special by-laws applicable to the scheme and provided that the tiles were in situ at the time of the registration of the strata plan, usually, the ceramic tiles and what is beneath them (eg waterproofing) is common property and therefore the responsibility of the Owners Corporation.
In terms of whether you may recover any costs from the previous owners for “latent” defects, you will need to consult with the conveyancer/lawyer who acted on your purchase.
This post appears in the October 2022 edition of The NSW Strata Magazine.
James McIntosh
Sedgwick Building Consultancy division
E: james.mcintosh@au.sedgwick.com
P: 0415 459 486
Leanne Habib
Premium Strata
E: info@premiumstrata.com.au
P: 02 9281 6440

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