What’s involved in Project Intervene

Project Intervene helps owners corporations get their serious building defects resolved through a structured and efficient process.

Last updated: 29 June 2024

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Registrations for Project Intervene are now closed

We’re no longer taking new applications for Project Intervene. For registered customers with an in-progress undertaking, the work will continue.

If you’re an owners corporation with a building that has serious defects, you can lodge a complaint with us. We will investigate the issues and work with you to develop a solution, which may include a developer undertaking or a building work rectification order.

Make a building complaint

What are the benefits of Project Intervene?

  • We negotiate with the developer on your behalf to get a commitment to fix the agreed list of serious defects (known as a developer undertaking)
  • An independent person is appointed to ensure the works are completed in compliance with legislation within an agreed time limit
  • You can avoid having to take legal action.  While legal action may provide a monetary solution, it still leaves responsibility for resolving the serious defects with the owners corporation.
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Real stories

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Video transcript

Real stories

On the left, white text on a blue background reads ‘Project Intervene: Real stories’. Below, the NSW Government red ‘waratah’ logo. On the right in a still colour image, a modern sleek apartment building beneath a cloudless blue sky.
Inside an office, a man sits near a window overlooking a tall high-rise building development. He has short grey hair and wears glasses and a black suit jacket over an open-collared white business shirt.

TEXT: Brian Farmer – Undertaking Manager
BRIAN FARMER:
People like the process because it actually achieves something. It gets things done. It allows for an independent person to come in and sort out some of the nonsense. The outcome of this process is to ensure that all of the serious defects covered under the undertaking are properly resolved in a timely manner.
DESCRIPTION:
Brian talks on his phone.
A woman has short blonde hair and wears a black and grey patterned top.
TEXT: Meike Tabel – Owners Corporation
MEIKE TABEL:
Serious defects in the building were waterproofing, structural issues, issues to the tiling in the bathrooms. I think the main visibility was during the heavy rains that there was water coming through in the basement. 
DESCRIPTION:
Meike walks down a sunny apartment building corridor and stops to look out the nearby window.
MEIKE TABEL:
When these were discovered, the building was probably one year old. The first thing which came to our mind is that we have to go to court, which was obviously a very daunting thought. 
DESCRIPTION:
Later, Meike sits down at a circular table and opens a thin blue covered folder. She makes notes in it with pen.
MEIKE TABEL:
Everybody seemed to become very worried. Project Intervene at the time came up. Like for me personally, I thought that's a great option. But there was also a lot of angst that because it's something new, nobody knew what it is. So it was like a couple of months to actually get everybody on board as well to agree to that process. 
DESCRIPTION:
Meike talks on her phone and smiles.
Later, she walks up a set of stairs that have glass balustrades with Brian.
They head down a corridor together past a room divider spilling over with green plants.
MEIKE TABEL:
Once we were involved with the process, it's a very smooth operation because we pretty much don't need to do anything. Like it's the government together with the developer who basically are managing the whole process and just giving us monthly updates.
DESCRIPTION:
Meike and Brian sit at a large timber-veneered conference table. Meike opens the thin blue folder as she talks to Brian. 
BRIAN FARMER:
Owners Corporations' get the benefit of an undertaking because it defines a process that doesn't cost the Owners Corporation anything. It is a litigation-free environment. There is no need to get the lawyers or the judicial system involved.
DESCRIPTION:
A black-haired man walks along a narrow corridor. He wears a dark-grey pinstriped suit, a white business shirt and a blue tie.
TEXT: Jason Tan - Developer
JASON TAN:
My name is Jason Tan. I'm a property developer in New South Wales. A developer should always have a long-term view on the future ongoing projects. Several things will be attractive for a developer to sign this process. Firstly, it will be the clear scope, which is very important for a developer to know. 
DESCRIPTION:
Jason walks up some stairs. Later, he sits at a table in the sunshine with a notebook, pen and an open laptop computer.
JASON TAN:
And the second is the clear time span for these undertaking process, because the other alternative is for the Owners Corporation to go through a litigation process where that is totally uncontrollable. And the third is your reputation management. 
DESCRIPTION:
Jason sits with Meike near the earlier plant-covered room divider.
JASON TAN:
The other thing that I want to emphasise on is a developer is a long-term game. And, you know, if there was a problem, no matter where there is an undertaking or not, a developer should come back anyway. But by signing this undertaking process, it's just to put the extra layer of trust back to the customers for them to trusting in you.
BRIAN FARMER:
Even the tier one contractors and the upmarket developers, they have problems. The question is, do the developers come back and address the issues and fix the problem? And those developers that are participating in this process ought to be commended for doing the right thing.
MEIKE TABEL:
This one is like a guaranteed fix of all your defects paid for by the developer and managed by the government. So I think for me it's like a no-brainer.
DESCRIPTION:
On a blue background, white text reads ‘nsw.gov.au/project-intervene’.
The NSW Government red ‘waratah’ logo on a white background.
(END OF RECORDING)

Is your building eligible?

To be eligible for Project Intervene, your building must meet all the following criteria:

  1. The building must be a class 2 residential apartment building with three or more storeys (a storey of a building is from the ground up and does not include levels below ground);
  2. There must be a serious defect and it must relate to one of the five building elements in the common property;
  3. The developer or builder who did the building work must still be active or trading;
  4. The occupation certificate was issued in the last 10 years.
     

Project Intervene steps and timeline

The program timeline can be variable depending on several factors. All steps are necessary to achieve a successful remediation of defects in your building. Your dedicated Undertaking Manager will support you throughout the process.

3:52

Using an Undertaking to fix a serious defect

1. Assessment of your application

Once we receive an application from an owners corporation's representative, a member of the Project Intervene team will review your application and may contact you for more information. This usually takes 20 business days.

2. We conduct a building inspection

If your building is eligible, we will collect available documentation and arrange for an independent inspection of your building to be carried out with the appropriate specialists.

The inspection is a dip test (that is, non-destructive), however it does aim to capture the significant serious defects. If further serious defects are discovered later, they can be added to the list, but it is expected that most issues are identified in these earlier stages. The inspectors will also review all material including any earlier reports provided.  

The preliminary findings of the inspection will be shared with the developer for feedback. It is not shared with the owners corporation and cannot be used by the owners corporation even if the undertaking does not eventuate. 

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Timing: 6 weeks from the inspection to issuing preliminary findings.  
Who: Building Commission NSW and building consultant(s). The strata committee or strata manager will need to allow access to the building. 

3. We negotiate an undertaking with the developer for your benefit

a) We issue preliminary findings of an inspection

We share the preliminary findings of the inspection with the developer.

b) The developer may sign an Undertaking Process Deed Poll 

Based on the preliminary findings, the developer may agree to enter a process where we negotiate an Undertaking.  At this stage, the developer signs the first of two Deed Polls, the Undertaking Process Deed Poll. 

c) The Undertaking Manager is appointed

The signing of an Undertaking Process Deed Poll triggers the appointment of an Undertaking Manager. Their role is to work with the developer to finalise the list of serious defects to be remediated and the expected timeline for remediation work.

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Timing: 1-2 weeks to appoint the Undertaking Manager and 12-16 weeks to finalise the serious defects list (however this may take longer depending on nature of the defects and extent of investigations required).


d) The developer offers the Secretary of the Department of Customer Service an undertaking. The Secretary may delegate this to the NSW Building Commissioner.

Once the Undertaking Manager finalises the list of serious defects in consultation with the developer, and taking account of the owners corporation’s views, the developer provides an undertaking to Building Commission NSW.  

The undertaking sets out: 

  • the process for rectification of serious defects (or monitoring of future defects, if any); 
  • requirement for regulated designs and declaration; 
  • the role of the Undertaking Manager, Superintendent and Owners Corporation; 
  • insurance, costs, and indemnity requirements; 
  • dispute resolution processes; 
  • pro forma deed polls from and in favour of the Owners Corporation. 

A security deposit may be agreed upon as part of the undertaking. 

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Timing: 4 weeks to negotiate and agree the final undertaking.
Who: Building Commission NSW, developer, and (if appointed) the Undertaking Manager.

 

e) Final undertaking signed by the developer

Once the undertaking is final, the developer signs the Deed Poll and offers it to the Secretary of the Department of Customer Service.

If the terms are agreed, the Secretary will accept the undertaking. The undertaking is an agreement between the Secretary and the developer for the benefit of the owners corporation.  

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Timing: 2-3 weeks.
Who: The developer and Building Commission NSW.

 

f) Owners corporation agrees to the undertaking

To get the benefit of the undertaking, the owners corporation must agree to it by vote at a general meeting and sign the Owners Corporation Deed Poll.

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Timing: 6 weeks.

 

Once it is agreed, the owners corporation signs the Owners Corporation Deed Poll.  A copy of this Deed Poll is provided to the developer so each party has a complete set of documents.

If an undertaking cannot be achieved we may issue a Building Work Rectification Order

If an undertaking cannot be achieved (for example the developer or owners corporation cannot agree to a list of serious defects or terms of the undertaking cannot be agreed), we may issue a final building work rectification order.

The building work rectification order is internally approved before issuing it to the developer, and the owners corporation. Building Commission NSW may publish the undertaking online in full, in part, or not at all at our discretion.

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Timing: 10 weeks to issue and developer to provide submissions (however this can be extended further by request by the developer). 
Who: Building Commission NSW, developer, Undertaking Manager, strata committee and the owners corporation (vote required).

4. Prepare regulated designs, declare and lodge

Before any building work can start, the developer (or builder) must ensure there are regulated designs for the remediation work (where necessary). The designs must be declared by a registered design practitioner. 

A registered building practitioner must enter the declared regulated designs into the NSW Planning Portal. 

The building practitioner must carry out works in accordance with the declared designs.

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Timing: Varies and depends on the complexity of the work and the availability of registered design practitioners.
Who: The developer, registered design practitioner and registered building practitioner.

5. Appoint a Superintendent

A Superintendent is jointly appointed by the developer and Building Commission NSW to oversee that the building work is completed in a compliant manner. They are independent of the developer. The developer covers the cost of the appointment of a Superintendent.

You should continue to liaise with the Undertaking Manager or Superintendent if you have any questions about the program and delivery of remedial works. 

Who: The developer, Building Commission NSW and Superintendent.

6. Remediation work starts

As soon as the designs are declared and uploaded on the NSW Planning Portal by the building practitioner, the works can commence. The owners corporation will need to provide access to the building to ensure timely completion of remedial building works.

The work can be undertaken by the original builder and by the original tradespeople involved, however it does not have to be. 

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Timing: Up to 12 months (sometimes longer) – the time varies considerably according to what remediation work is required and the availability of design practitioners, a building practitioner, and related tradespeople. In some cases, the time may be extended if, in the opinion of the Undertaking Manager, a time extension is warranted. 
Who: The developer, builder, contractors, Undertaking Manager and Superintendent  

7. Remediation work is complete

At the end of building work, the building practitioner will be required to declare the works are completed in accordance with the designs and entered into the NSW Planning Portal.

The Superintendent will sign-off to confirm the works are completed and meets all relevant standards. The Undertaking Manager will review and provide sign-off of the completion of works.

If a bank guarantee has been offered it will remain in place until the expiry period. If no claim is made it will expire.

Who: The developer, Superintendent, Building Commission NSW and owners corporation. 

Definitions of key terms

Serious defect

A serious defect has a specific definition in the Residential Apartment Building (Compliance and Enforcement Powers) Act 2020 legislation, namely that it:

  • arises from a failure to comply with the performance requirements of the Building Code of Australia, Australian Standards or approved plans;
  • is likely to cause the inability to inhabit or use, the destruction of or threat of collapse of part of the building due to defective design, faulty workmanship or materials;
  • involves the use of a building product that is prohibited by the Building Products (Safety) Act 2017 (NSW);
  • includes any defects which are prescribed by the Regulations (if any):
  • related to a building element. 
     
8:49

Examples of serious defects under RAB

Common property

The common property, as defined in the Strata Schemes Development Act 2015, is any part of the building that is not comprised in a lot (but might be inside a lot), including any common infrastructure.

An example of common property that might be “not comprised in a lot (but might be inside a lot)” might be electrical wiring or plumbing that is for the building or other apartments (common property) but which passes through an individual apartment.  
 

1:29

What is common property in a strata scheme

Building element

To be included in Project Intervene, a serious defect must be related to one of the five building elements which are identified under the Design and Building Practitioners Act 2020.  Some examples of serious defects related to each building element are included below.
 

3:46

What is a serious defect under RAB

Fire safety

Some examples of serious defects in the fire safety building element may include:

  • Fire penetration 
  • Fire pump room
  • Fire stairs 
  • Fire doors
  • Substation
Waterproofing

Some examples of serious defects in the waterproofing building element may include:

  • Planter box 
  • Bathroom 
  • Balcony 
  • Roof
Structure

Some examples of serious defects in the building structure building element may include: 

  • Cracking in slab 
  • Expansion joints 
  • Ensuring built according to the designs (for example, columns, walls) 
  • Honeycombing
Building enclosure

Some examples of serious defects in the building enclosure may include:

  • Cladding / enclosure 
  • Moisture management 
  • Suitable material
Building services

Some examples of serious defects in the building services may include:

  • Mechanical ventilation
  • Electrical
  • Plumbing / drainage
  • Hydraulic
  • Lifts
  • Services cupboard

Waterproofing and common property

Waterproofing in an individual apartment such as the bathroom, the kitchen, the laundry, or the balcony is common property (provided there has been no renovation).

Once there has been a renovation of any wet area in an individual apartment, then it is no longer common property and it is the responsibility of the individual apartment owner.

Class 2 building

Class 2 buildings are usually multi-storey, multi-unit apartment buildings where people live above or below each other.

Class 2 may also be a single storey attached dwelling where there is a common space below such as a carpark or basement.

Definitions of key roles

Developer

A developer is defined in section 4 of the RAB Act and section 4 of the Strata Schemes Management Act 2016. Learn more on Fair Trading about a developer’s obligations when working on a regulated building. 

Project Intervene uses the powers under the RAB Act. Under the RAB Act, a developer can offer the Secretary of the Department (of Customer Service) an undertaking to remediate serious defects (see section 28). 

Undertaking Manager

The Undertaking Manager’s role is to oversee the performance of the undertaking which includes:

  • finalising the list of serious defects in consultation with owners corporation and developer,
  • ensuring the remediation work is delivered on schedule and meets the relevant standards, and 
  • resolving disputes.

The Undertaking Manager has experience in the building and construction industry as well as experience and skills in negotiation and dispute resolution.

They are selected from a panel of Undertaking Managers held with Building Commission NSW. They are jointly appointed by Building Commission NSW and the developer, but the developer pays for their cost. The Undertaking Manager role is always independent from the developer. The Undertaking Manager helps resolve any issues or disagreement. The Undertaking Manager's decision is final.

Superintendent

The Superintendent oversees work on site and liaises with the developer, Undertaking Manager, owners corporation, tradespeople and contractors. They must always act independent of the developer. 

Common questions

Does being in Project Intervene affect building insurance premiums?

Project Intervene was established as a full program in November 2022. Our approach of using an undertaking to get serious defects fixed is new one.

However, the early indications seem to be that insurers, when properly briefed, can be satisfied when a developer has signed an undertaking because there is a clearly defined process for getting the serious defects fixed in a compliant manner and in a clear timeframe.

You should seek your own advice. Check with your building insurer and consider a quote from alternative insurers.

Can Project Intervene help when the developer and the builder have both deregistered as a business?

Project Intervene uses the powers under the RAB Act which allow us to pursue the developer and builder to fix the serious defects. This means the developer (or the builder) must still be in business. Where the developer and builder are de-registered or wound up, Project Intervene may not be able to assist in getting an outcome.

While it is a challenging situation for us to pursue a developer once they have de-registered, and we may not be successful, we will approach the parent company to get the serious defects in your building fixed.  We can also refer any individuals or director to the relevant authorities. We may also consider a review of any licences they hold in New South Wales.  

How do we contact Project Intervene directly?

You should register your building through the process outlined above. If your building is eligible for Project Intervene we will contact you.

What if there are legal proceedings underway about the serious defects?

Project Intervene uses the powers of the RAB Act to conduct inspections, issue directions or orders or accept an undertaking. These actions can occur in parallel to any legal proceedings.

We can take action regardless of whether the owners corporation has commenced legal proceedings about the serious defects against the developer or builder. However, once the undertaking is signed by the developer, the owners corporation must choose its pathway to get defects fixed – litigation or Project Intervene. It is likely both pathways will relate to the same set of serious defects.

Project Intervene is using compliance powers to have the serious defects fixed, which is ultimately for the benefit of the owners corporation. This process requires the owners corporation to pass a motion to give access for the remediation work to be done and accept other aspects of the process which are designed to have the serious defects fixed properly.

Unlike legal proceedings, the undertaking does not involve payment of damages to the owners corporation. It does, however, include a time frame by which the serious defects are to be fixed. The undertaking does not require legal or expert fees to be paid by the owners corporation.

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