NSW to adopt the National Construction Code 2025

What the delayed rollout means for property developers and building compliance

The National Construction Code (NCC) 2025 is set to shape the next phase of building standards across Australia, and in New South Wales, its introduction will follow a slightly different timeline. While the updated code becomes available nationally from 1 May 2026, NSW will formally adopt NCC 2025 from 1 May 2027, supported by a 12-month transition period to help the industry adjust.

For property developers, this extended timeframe creates an opportunity to better plan, align project timelines, and understand how upcoming changes may influence design, approvals, and delivery.

This article guides you through the upcoming changes and how to best prepare:

What is NCC 2025 and why it matters

The National Construction Code is Australia’s primary framework for building standards, setting minimum requirements for safety, health, amenity, and sustainability across residential and commercial buildings. NCC 2025 continues this role, introducing a series of updates aimed at improving how buildings perform over time, particularly in areas such as safety, durability, and energy use. For property developers, the NCC is more than a compliance document.
It influences:
  • How buildings are designed and specified.
  • The approval pathway through certification.
  • Long-term asset performance and maintenance.

One important shift in NCC 2025 is its focus on incremental improvements rather than sweeping reform, particularly for residential projects. Many proposed residential changes have been paused, with only essential quality and safety updates proceeding. This approach is intended to provide greater certainty across the construction pipeline while still raising standards where they matter most.

PICA Group tip: Start the process early

Developers who start reviewing NCC 2025 early may find it easier to align consultants, documentation, and delivery programs well before compliance becomes mandatory. Even small adjustments at the design stage can help reduce friction later.

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How to plan for compliance from day one

Work alongside experts who help you align compliance, design, and delivery from the outset. Effectively reducing risk and keeping your project on track through to handover and beyond.

Timeline and transition period explained

One of the most relevant updates for NSW developers is the delayed adoption timeline:

NCC 2025 available nationally

1 May 2026

NSW adoption date

1 May 2027

Transition period

12 months (May 2026 to April 2027)

During this transition period, there may be flexibility in which code version applies, depending on the project’s approval stage. As a result, different projects across your portfolio may operate under different NCC versions at the same time.
For developers managing multiple sites or jurisdictions, this can introduce a layer of coordination across:
  • Consultants and certifiers.
  • Documentation and approvals.
  • Project staging and delivery timelines.

The extended transition is intended to support continuity in housing delivery while allowing the industry time to prepare and adapt.

PICA Group tip: Staying across multiple NCC versions

If your pipeline spans 2026 to 2028, mapping each project to its likely approval timing early can support clearer decision-making on which NCC version to apply. It can also help reduce the risk of late-stage redesign or adjustments.

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How to build confidence across your portfolio

From mixed-use developments to residential communities, we support you in navigating regulatory change. Helping you reduce complexity and keep projects progressing with confidence.

Key building compliance changes property developers should be aware of

While many of the most significant updates sit within the commercial building space, NCC 2025 still introduces a number of changes that may influence residential and mixed-use developments.

1. Improved building performance and durability

Updates to areas such as water management and waterproofing aim to reduce common issues like water ingress and long-term defects.

These changes may influence detailing, documentation, and contractor coordination during construction.

Changes to carpark provisions, including sprinkler requirements in some open deck carparks, are designed to strengthen safety in shared building areas. For developers, this can affect design layout, services coordination, and cost considerations in larger projects.

NCC 2025 introduces stronger energy efficiency requirements for commercial buildings, including measures such as improved building envelopes and, in some cases, on-site solar. Importantly, proposed new requirements for Class 2 residential buildings will not proceed in this edition, with existing standards remaining in place.

Revised provisions aim to improve ventilation and reduce condensation-related issues, contributing to better building longevity and occupant comfort.

NSW has indicated it will introduce variations to align the NCC with local policy and reduce unintended impacts. These include:

  • Flexibility for remedial works, allowing waterproofing requirements under either the current NCC or NCC 2025.
  • Exclusion of new energy efficiency standards for common areas in apartment buildings.

 

Further details on NSW variations are expected alongside the full NCC 2025 publication.

What this means for project planning

Rather than introducing immediate change, NCC 2025 in NSW creates a window for developers to gradually align projects with updated requirements.

Early awareness can support more informed design decisions, smoother approval pathways, and fewer compliance surprises during delivery.

For teams working across multiple states, it also underscores the importance of tracking jurisdiction-specific adoption timelines, as requirements may vary by location.

Taking a proactive approach now can help reduce complexity later, particularly as more detailed guidance and NSW-specific variations become available.

Supporting new developments

At PICA Group, our developer services go beyond legislative compliance. Each quarter, we support new communities through practical, on‑the‑ground engagement, including:

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PICA 101 information session for new owners, tailored to the scheme

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Attendance at a pre‑settlement inspection (PSI) to answer strata-related questions

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Educational strata-living resources for new residents

These touchpoints help reduce early confusion, improve owner confidence, and support smoother transitions from development to community living.

Are you a property developer and planning to build a strata title development?

With more than 185,000 lots under management, PICA Group’s specialist property developer services team provide practical guidance based on best practice expertise.

Conclusion

The introduction of NCC 2025 in New South Wales reflects a broader effort to balance improved building performance with the realities of delivering housing at scale.

The extended transition period gives developers the opportunity to prepare in a measured, practical way rather than respond to immediate regulatory change.

For many, the real value lies in using this time to align project pipelines, refine design approaches, and stay informed as further details are released. In a market where timing, certainty, and quality all play a role in project outcomes, greater visibility over these changes can support more confident decision-making from planning through to completion.

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Author

This article is edited by Lauren Shaw Regional General Manager and Licensee-in-Charge on June 2026.

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