Significant changes are coming to strata and community land laws in NSW from 1 July 2025. These reforms are designed to make strata living fairer, safer, and more sustainable for everyone.
Whether you’re an owner, committee member, or resident in a strata or community land scheme, here’s what you need to know and do.
Where a strata committee is authorised to review and approve minor renovations, specific rules now determine how these applications are processed:
• If no response is given within three months, the application is classed as approved.
• If the application is declined, a written reason must be provided within the same timeframe.
• A record of all minor renovations must be kept in the schemes’ books and records for 10 years.
Our team will continue to support our strata committees in developing best practice processes. However, it’s important that committee members respond to these requests promptly and formally record decisions through motions in organised meetings.
If an owners corporation or association has taken action against an owner for damage to the common property, the scheme cannot delay making repairs to it, especially if it will:
• Affect a person’s access or use of the common property or a lot.
• Create a safety risk or hazard.
Owners now have six years (up from two) to claim damages if the owners corporation fails to maintain common property.
Changes that improve accessibility for people with disabilities can be approved with a simple majority vote. This changed from the previous process, which required a special resolution or approval of a special by-law for common property updates.
When a proposal is made to modify the common property for accessibility, the owners corporation or association should agree on a fair and transparent review process. This includes:
• Checking it anycurrent by-laws conflict with the proposed change.
• Considering the costs, financing options, and who will be responsibile for payment
• Deciding who will own and maintain the new infrastructure.
• Clarifying access rights for owners and occupiers.
Our team will be ready to assist our committees to facilitate the necessary motions and meetings to consider these requests as they arise.
If common property is changed through a by-law special resolution, the owners corporation or association must record who is responsible for ongoing maintenance, repair and replacement as part of the update.
Residents only need to provide one form of proof if asked when applying to keep an assistance animal. The list of acceptable evidence has also been expanded.
Have an expanded set of requirements, including:
• Behave honestly and fairly when carrying out their role.
• Don’t behave in a way that would unreasonably affect another person’s use or enjoyment of their property or the common property.
• Comply with their obligations under the strata laws.
• Only use or disclose information you receive as a committee member, including information about an owner, if the law allows it or if it’s necessary for your role.
A chairperson’s functions have been increased to include:
• Follow the agenda at meetings.
• Maintain order at meetings.
• Encourage owners to discuss items on the agenda in a fair, constructive and open manner.
It is important that committees adhere to these responsibilities and ensure key decisions are made in formally recorded meetings reflecting a robust decision-making process.
By-laws can no longer block sustainability upgrades because they change the building’s appearance, unless it’s heritage-listed or in a heritage conservation area.
Sustainability must be considered at every AGM and in capital works planning.
Committees should start exploring potential sustainability initiatives for their owners corporation or association to comply with this new requirement.
Our customers now have access to a new standing motion in your AGM notice to consider sustainability initiatives within your scheme.
All exclusive supply (embedded) networks must be disclosed on section 184 and 174 notices. This means new home buyers will be notified before purchase where an exclusive supply agreement is in place.
Embedded electricity supply contracts are now capped at three years.
When approving legal expenditure, the motion must now clearly show either:
• The upper limit of the amount being approved.
• Specify that there is no limit on the costs, i.e. they are uncapped.
These changes are designed to provide improved transparency for lot owners around possible costs incurred in legal disputes or related services.
Committees should consider whether to set an upper limit for legal expenditure or allow uncapped approvals depending on the situation.
Our team will ensure meeting notices include motions reflecting the correct details to comply with these new requirements.
The charges for conducting a search of the books and records for third parties other than owners or the owners authorised representatives have now increased from $31 to $60 for the first hour.
The rules for abandoned goods left behind on a lot, not just common property, have been clarified. The owners corporation can now take action to remove goods left on a lot, e.g., inside an apartment or on a balcony, but only if:
• The owners corporation or association reasonably believes the goods have been abandoned or left behind.
• The owners corporation or association has the written consent of the lot owner before taking any action.
They now have the power to create agency agreements or terms.
When preparing the first 10-year plan, the initial maintenance schedule provided by the developer must be considered. This change is designed to increase the accuracy of the initial forecasts for capital works for all common property assets in a scheme to avoid unforeseen expenditure in the early life cycle of a building.
Developers who fail to meet their first AGM obligations can incur fines of up to $11,000, plus $220 per day.
Our team is here to help our customers confidently navigate the 1 July 2025 strata law reforms. We will be providing hands-on support to committees with:
Developing best-practice processes.
Facilitating formal decision-making through properly recorded motions.
Guiding fair and transparent reviews for accessibility upgrades.
Updated meeting notices include accurate legal cost motions.
Manage sustainability initiatives at AGMs.
To simplify compliance, we’ve created a comprehensive suite of ready-to-use templates, including motions, forms, and reports, so your scheme’s documentation stays aligned with the new legislation.
We are also creating short training videos to help committee members navigate their day-to-day duties. Stay tuned for updates.
These reforms are about making strata living more responsive, inclusive, and future-ready. Taking a few steps now will help you stay compliant and make the most of your property.
Before renewing your agreement, take a moment to compare your options. Our quick and easy form can be completed in less than 30 seconds.
These reforms are about making strata living more responsive, inclusive, and future-ready. Taking a few steps now will help you stay compliant and make the most of your property.
This article is edited by Lauren Shaw Regional General Manager and Licensee-in-Charge on July 2025.
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