New NSW Strata Laws Are Changing Capital Works Planning- Is Your Scheme Ready?

From 1 April 2026, new NSW strata laws will fundamentally change how capital works, fund plans, and developer handovers are prepared.

These reforms are not just regulatory; they will directly impact levy accuracy, compliance risk, and long-term asset performance.

For many schemes and developers, the question isn’t what’s changing, it’s whether you’re ready for it.

Developers: The Bar Has Been Raised

The new legislation introduces stricter accountability at the point of scheme registration.

Developers must now:

– Prepare an Initial Maintenance Schedule (IMS) using a mandatory standard form
– Engage an independent surveyor (for buildings 3 storeys or more) to:

• Verify first-year levies are realistic
• Confirm the IMS complies with the required format

This introduces real scrutiny from day one.

All Schemes: New Capital Works Fund Requirements

From the same date, every strata scheme in NSW, new and existing, must:

– Use a new standardised format for capital works fund plans
– Apply this format at the next plan preparation or review

Existing reports that don’t meet the new format will no longer be compliant once reviewed.

The Risk of Doing Nothing

– Non-compliant capital works fund plans
– Delays with Strata Hub submissions
– Increased scrutiny from regulators and stakeholders
– Continued exposure to underfunded maintenance and special levies

How Keen Property Gives You an Immediate Advantage

Keen Property is already operating ahead of the curve, delivering within the new framework now.

Fully Compliant Capital Works Fund Reports

All reports align with the new legislative format, ensuring compliance from day one.

Strata Hub–Ready Outputs

Structured, submission-ready documentation for fast, frictionless uploads.

Seamless Transition for Existing Schemes

Efficient upgrades to meet the new standard with minimal disruption.

For schemes also reviewing coverage requirements, Keen Property provides Strata Property Insurance Valuations to support accurate replacement cost reporting.

Why This Matters More Than Ever

These reforms eliminate unrealistic levy forecasts and poor planning, shifting the sector toward:

– More accurate levies
– Better long-term asset planning
– Greater buyer confidence

If your property planning also involves buying or transferring ownership, it’s important to understand Stamp Duty in Sydney.

Key Takeaway

The 2026 changes are a reset of expectations across the strata sector.

Those who prepare early will avoid risk, improve outcomes, and reduce administrative friction.

Keen Property is already ready.

If your scheme or development is approaching a review, or planning a new project, now is the time to act. To ensure compliance and avoid underinsurance risk, Keen Property can also assist with a professional Insurance Valuation.