Financial support to cover the strata management costs of Project Remediate

Last updated: 15 December 2021


Owners corporations with combustible cladding are eligible for a payment of between $10,000 and $15,000 to help with strata management costs of participating in Project Remediate.

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We acknowledge there is an investment of additional time and administration needed on the part of owners corporations to participate in Project Remediate. This will often result in additional strata management costs.

This financial support will help compensate for the additional administrative and strata management costs of:

  • consultation with owners corporations and facilitation of necessary resolutions to enable participation in Project Remediate
  • preparation and consideration of the proposed remediation designs and loan proposal
  • facilitating repayments, including where hardship accommodations are in place.

How will the strata payment be calculated?

All strata schemes with 70 or fewer lots will be entitled to a minimum payment of $10,000.

Payments for strata schemes with greater than 70 lots will be calculated in accordance with the size of each strata scheme (e.g. the number of lots).

Schemes with greater than 70 lots will be entitled to a payment of $142.85 per lot.

A scheme with 80 lots will be entitled to a payment of $11,428, however, payments will be capped at $15,000 so a scheme with 120 units will only be entitled to a $15,000 payment as opposed to $17,142.

Strata payment calculation
Number of units Payment available
70 or fewer $10,000
71 or more $142.50 per lot (maximum $15,000)

Who receives the strata payment?

Strata payments will be made to eligible owners corporations and may be used to meet strata management and administration costs associated with participating in Project Remediate over the remediation and loan repayment period.

If an owners corporation has multiple strata managers throughout the life of the program, the owners corporation will be responsible for distributing pro-rata payments to each of their strata managers.

When is an owners corporation eligible for the strata payment?

Once they enter contracts for remediation and an interest-free loan under the program.

Owners corporations will only enter into a loan once they complete the following processes:

Building investigation

Investigation contractors engaged by the Managing Contractor for Project Remediate, Hansen Yuncken will inspect and test the cladding.

Fire and Rescue NSW (FRNSW) will also attend to check if other fire safety measures comply with relevant legislation. The findings from this inspection will lay the foundations for the design process. 

Design options

Hansen Yuncken will consult the owners corporation to understand their preferences and instructions for the design of remediation solutions and aim to present two concept design options to the owners corporation. However, in some circumstances, only a single design solution may be available.

Design option selection

Owners corporation select preferred concept design option.

Final design

The selected design will be fully developed and presented to the owners corporation along with the lump sum price, loan agreement, and works contracts.

Decision to proceed

Based on the documents provided, the owners corporation decides whether they want to proceed with the program and enter into the loan agreement.

Repayments under the loan agreement will not commence until the remediation work is completed. Owners corporations can also choose to repay the loan early without incurring any additional fees. 

Repayments under the loan agreement will not commence until the remediation work is completed. Owners corporations can also choose to repay the loan early without incurring any additional fees.

How will a strata payment be made?

Owners corporations will become eligible for the strata payment at the point they enter into the loan agreement and remediation contract.

At that point, owners corporations will be provided with a form which will request relevant details for payments to be processed. Upon receipt of the payment form, payments will be made via EFT within 90 business days.

Contact us

Email the Office of Project Remediate at projectremediate@customerservice.nsw.gov.au.

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