If water is coming through your balcony, courtyard or planter box, here's the principle to remember: the waterproofing membrane underneath is almost always common property โ€” and that means it's the owners corporation's job to fix, not yours. Even if everything sitting on top of it is technically your lot.

What's a membrane and why does it matter?

A waterproofing membrane is the layer that stops water getting through a slab into whatever's underneath. You don't usually see it because it sits under your tiles, pavers, soil or screed.

You'll find membranes:

When membranes fail โ€” and they all do eventually โ€” water finds its way through, and that's when ceilings stain, walls bubble, mould appears, and timber starts to rot.

The legal position โ€” they're common property

The leading commentary on this comes from Bannermans Lawyers, who put it plainly in their 2023 article on water ingress disputes:

"The waterproofing membrane, screed, concrete slab, and other structural elements in a scheme are all common property, and failure of these elements is the cause of water ingress in the majority of cases."

And on planter boxes specifically (Bannermans, November 2022):

"Often the structural elements of the planter box (e.g. the waterproofing membrane) are common property even if the planter box is lot property."

The reasoning is that membranes are part of the building's structural fabric. They protect the slab โ€” which is common property โ€” and they're integral to keeping the whole building waterproof. They aren't your fixtures and fittings; they're part of the structure.

So who pays?

If the membrane has failed, the owners corporation has a strict duty under Section 106 of the Strata Schemes Management Act 2015 to repair and maintain it. "Strict" means there's no "we'll get around to it" defence โ€” if it's common property and it's broken, the OC must fix it.

The challenge is that fixing a membrane usually means lifting whatever's on top of it (your tiles, your paving, your soil). Those finishes are lot property. So the OC fixes the membrane; the lot owner is responsible for replacing the finishes โ€” unless those finishes were damaged by the membrane failure itself, in which case the OC may have to cover the cost as part of putting things right.

What about replacing external waterproofing?

One important practical point: replacing an external waterproofing membrane above ground level is not exempt development in NSW. Bannermans Lawyers (October 2024) explains the reasons in detail, but the short version is:

That means an external membrane re-do usually needs proper planning approval, not just a contractor turning up and starting work. Getting it wrong can mean stop-work orders, contractor termination, and insurance exclusions.

What to do if you've got a leak

  1. Document it. Photos with dates, water stains, any expert reports.
  2. Report it in writing to the strata manager. Email is fine โ€” you want a record.
  3. Don't start fixing it yourself. If the issue is the membrane, work on top of it (lifting tiles, pulling out plants) might be necessary but it should be coordinated with the OC's repair.
  4. Expect an expert to be called. Most membrane disputes need a building consultant or waterproofing specialist to identify the actual source.
  5. If the OC drags its feet, mediation through NSW Fair Trading or an application to NCAT is available โ€” and damages for losses you've suffered can be recovered. See our article on Section 106(5) damages claims.

What this means for your scheme

For lot owners: don't pay for membrane repairs out of your own pocket without first establishing whose responsibility it is. Get it in writing from the OC. The default position is almost always that the OC is responsible.

For committees: budget for membranes properly in your 10-year capital works plan. Membranes have a finite life (typically 15-25 years depending on quality, exposure and use), and a failed membrane can cost ten times more if you wait until water damage shows up in adjoining lots.

For everyone: get a proper diagnosis before the work starts. We work with experienced building consultants who can identify whether it's a membrane, a drain, or something else โ€” and that drives who pays.

Sources

Strata Schemes Management Act 2015 (NSW) s106.

Bannermans Lawyers โ€” "The Issue with Planter Boxes" (10 November 2022): bannermans.com.au/library/the-issue-with-planter-boxes

Bannermans Lawyers โ€” "Drips and Disputes" (11 October 2023): bannermans.com.au/library/drips-and-disputes-unraveling-the-responsibility-for-upstairs-water-leaks

Bannermans Lawyers โ€” "Is Replacing External Waterproofing Exempt Development?" (25 October 2024): bannermans.com.au/library/is-replacing-external-waterproofing-exempt-development

Australian Standards: AS 4654.1 and AS 4654.2 (waterproofing membranes for external above-ground use).

AH
Alan Hunter
Licensee in Charge, Townhouse Strata ยท Class 1 Strata Manager