If damage occurs to common property as a result of minor renovations, who is responsible for repairs?
If you live in a strata scheme, you know all too well how hard it can be to find the right answers to strata-related issues like these. There are so many rules and regulations to wade through, and legislation is often updated and amended. This can make it difficult to understand which rules apply and how they apply to your specific situation.
Tim Sara, our Associate Director of Client Management, is no stranger to these types of enquiries. With over a decade of experience delivering excellent strata management services and a reputation across the industry as a thought leader and an expert in all things strata, he’s able to provide clarity for those struggling with tough questions. Here’s what he had to say in response to a question regarding approvals for strata renovations in a recent Q&A with LookUpStrata.
Q: Minor Renovations in NSW can involve interfering with common property without the need for a special resolution. If damage occurs, who repairs the common property?
Minor Renovations in NSW can involve interfering with common property without the need for a special resolution. For example: Unit X’s owner replaces the unit block-standard single-glazed windows with double-glazed windows in Unit X only. In the event of damage to Unit X’s windows or to the wall around them (e.g. from water ingress):
a). does the owners corporation have to pay only the cost of replacing the unit block-standard single-glazed windows, with Unit X’s owner paying the difference since he wants double-glazing?
b). Importantly, how would you formalise (a) above, given that no special resolution is required?
c). who pays to fix the wall damaged by water ingress through Unit X’s new, double-glazed windows?
I am relying here on:
Section 28 of the Strata Schemes Management Regulation 2016; and
Section 110 of the Strata Schemes Management Act 2015.
A: It would be prudent for the owners corporation to make a by-law even though it is not required to.
Section 110 (minor renovations by owners) of the Strata Schemes Management Act (‘the Act’) does contain two key subsections relevant to the circumstances:
Minor renovations by owners
- Section 110(2) – “The approval may be subject to reasonable conditions imposed by the owners corporation and cannot be unreasonably withheld by the owners corporation.”
- Section 110(5) – “An owner of a lot must ensure that: (a) any damage caused to any part of the common property by the carrying out of minor renovations by or on behalf of the owner is repaired, and (b) the minor renovations and any repairs are carried out in a competent and proper manner.”
However, in my opinion it does not specifically transfer the ongoing obligation of repair and maintenance for the affected common property to the lot owner in the same way that a special resolution and by-law under section 108 of the Act would do.
Therefore, one of the “reasonable conditions” the owners corporation may want to impose is that the owner of the lot, from time to time, is responsible for the ongoing repair and maintenance of the common property and furthermore any damage caused to the common property as a result of the works. These should be included in the motion.
One challenge with this approach is that an owners corporation is only required to keep certain records (such as the meeting minutes that contain these conditions) for 7 years, and so the conditions could be lost over time.
For that reason, it would be prudent, in my opinion, for the owners corporation to make a by-law even though it is not required to. This will ensure that the obligations are recorded on title, forever.
It would therefore allow the owners corporation to clarify the answer to the questions you raise long after the decision was made.
Our Strata Management Team prides themselves on their attention to detail and knowledge of strata legislation, which allows them to achieve the best possible outcomes for their clients. They are committed to remaining at the forefront of the industry, building their expertise, and finding new ways to add value to the communities they manage.
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