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Four in 10 new apartment buildings have major defects: NSW Building Commissioner

A recent survey of 14,000 residential strata managers (4 storeys or higher) has revealed that four in 10 new apartment buildings have major defects costing an average of $331,829 per building to rectify, with resolutions rarely being met.


Waterproofing was the most common major defect at 23%, followed by fire safety at 14%. Furthermore, one in 10 buildings were found to have structural and enclosure defects while an extended period of up to 12 months was required to rectify such defects for only 38% of owner corporations.


It was found that the most common barrier to resolving defects was sourcing funds (at 15%), followed by lack of awareness about rights and responsibilities (at 14%), and disagreement among the owner's corporation at (10%).


Only 15% of buildings with serious defects were reported to Fair Trading while litigation through the NSW Civil and Administrative Tribunal/Supreme Court was even less effective with only 5% of cases reaching an outcome.


As such, the survey is set to continue for the next 6 to 10 years in a push to build public confidence in apartment buildings while highlighting the need to reform strata documentation for before and after an apartment complex is built.




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