QLD: Who pays for balcony repairs caused by building defects in strata and what costs does the body corporate cover

Question: Who is responsible for carrying out repairs to balconies when the problem was caused by a building defect?

Many balconies in our 40-year-old building have concrete cancer.

To carry out repairs, we need to remove all balcony tiles and replacing new concrete and coating it with a waterproof membrane.

Who is responsible for the cost of these repairs? Isn’t this a structural problem that would therefore be the responsibility of the Body Corporate? When the building was built, no waterproofing was installed. Isn’t this what the sinking fund is for?

Answer: Body Corporate obligations will be determined by the specific circumstances of each case.

The maintenance obligations of the Body Corporate will be determined by the specific circumstances of each case.

Importantly, the maintenance obligations will vary depending on whether:

• the scheme is a building format plan or standard format plan, and
• the balconies form part of the lot or are exclusive use areas.

Assuming that the scheme is a building format plan and that the balconies form part of the lot, the Body Corporate is responsible for ensuring that the balconies are structurally sound, and are fit for use for their ordinary purpose, including:

• maintaining in good condition roofing membranes that provide protection for lots or common property; and
• maintaining in a structurally sound condition foundation structures, roofing structures providing protection, and essential supporting framework, including load-bearing walls.

The Body Corporate will not generally be responsible for the floor tiles on the balconies that form part of a lot. However, where the replacement of the floor tiles is required as a result of structural or waterproofing issues which are the responsibility of the Body Corporate, the Body Corporate is likely to be responsible for the replacement of the tiles.

If the expenditure is budgeted (and appropriately approved), the cost of works can be covered by the sinking fund. If not, then the Body Corporate will need to raise a special levy or borrow funds to cover the cost of these works.

Hayley Gath
Mathews Hunt Legal
E: hayley.gath@mathewshuntlegal.com.au
P: 07 5555 8000