Opal Tower

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>The much-publicised Opal Tower saga now enters its fifth week of uncertainty with 105 of the buildings 392 apartments declared “unliveable” and structural repairs potentially required on every level.</strong></p><p>The newly-built 36-storey Sydney apartment building was evacuated on Christmas Eve after cracking in precast concrete panels was discovered on level 10, sparking fears that the tower could collapse.  </p><p>While the building has since been declared structurally safe, independent experts investigating the cracked tower have recommended all residents remain in temporary accomodation after being subjected to two separate evacuations.</p><p>Residents were allowed back into the building within 24 hours after the cracking was reported, but on December 27 they were told by the developers the entire tower would need to be emptied again in order for investigations to take place.</p><p>The saga has sparked widespread concerns about the quality of new developments and the approvals process behind high-rise apartment complexes in Sydney and across Australia.</p><p>Related: <a href="https://theurbandeveloper.com/articles/nsw-bans-combustible-cladding-">NSW Bans Combustible Cladding</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/dafc65e6-6b3a-419c-8199-3a2c2c6f1a83.gif" width="800"/></picture><div><span style="align-content:center;opacity:0.8">The Opal Tower at Sydney Olympic Park.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><h2><br><strong>Construction</strong></h2><p>The $128 million dollar tower, located at the southern end of the Olympic Park Parkview Precinct and part of the <a href="https://theurbandeveloper.com/articles/2030-sydney-olympic-park-masterplan-say">Sydney Olympic Park Master Plan 2030</a>, is considered a State Significant site and did not require council approval.</p><p>The site has a long and inglorious history housing chemical waste and up until 1976 was used to manufacture the ingredients for Agent Orange, a powerful herbicide.</p><p>The site has since been heavily remediated land with toxic soil extracted as part of redeveloping the area for the 2000 Olympic Games.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/3bfbe345-65f9-43f2-a11f-605891773b4a.gif" width="800"/></picture><div><span style="align-content:center;opacity:0.8">Sydney Olympic Park Master Plan 2030.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>The modified development was approved on December 15, 2015 by the NSW Planning Minister’s delegate.</p><p>The development, which accommodates 3,000 residents, includes a retail precinct and childcare centre for 80 children.</p><p>The unique triangular-shaped tower was designed by Bates Smart and developed by Ecove Group after being selected by the Sydney Olympic Park Authority, who manages the site.</p><p>WSP was selected as the structural engineer and Wood &amp; Grieve Engineers were the hydraulic consultants for the building.</p><p>The tower was eventually signed off by private certifiers McKenzie Group Consulting and completed in August 2018. </p><p>Opal is one of five residential towers to be built at Sydney Olympic Park by developer Ecove, which is also responsible for One30 Hyde Park tower in Sydney&#x27;s CBD. </p><p>Ecove completed the 216-apartment twin-tower Australia Towers I project in 2011, the 25-storey, 287-apartment Australia Towers 2 in 2014 and the 30-storey, 320-apartment One Australia Avenue tower in 2015.</p><p>Related: <a href="https://theurbandeveloper.com/articles/housing-minister-warns-developers">Housing Minister Warns Developers Losing Public Trust Would Be ‘Apocalyptic’</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/d8df2dd8-0bb7-404c-9585-d137d270acae.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">The worst of the damage was found on levels 10 and 4 where cracking occurred at a &quot;connections between prefabricated and in situ poured concrete&quot;.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><h2><br><strong>Damage</strong></h2><p>Opal residents were evacuated after loud bangs were heard and cracks started appearing on the 10th floor on Christmas Eve.</p><p>Fire and Rescue NSW and police attended the scene and after establishing the presence of a crack on Level 10 of the building, set up a 250-metre exclusion zone.</p><p>The worst of the damage was found on levels 10 and 4 with levels 3, 9, 16 and 26 as well as basement level 3 also subject to investigation and potential structural damage.</p><p>The main cracking on level 10 occurred at a &quot;connection between prefabricated and in situ poured concrete&quot;, according to engineers.</p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/c1521072-81e5-45ba-bab4-df0b289a6131.gif" width="800"/></picture><div><span style="align-content:center;opacity:0.8">Opal Tower&#x27;s garden slots have been central to cracking investigation. </span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Structural failings had resulted above and below the “garden slots” – recesses in the facade where precast concrete panels joined structural columns.</p><p>Investigators inspected more than 200 similar panels in vertical gardens around the building looking for similar damage.</p><p>Bracing has since been installed as a “precautionary measure” to prop up those damaged areas, but the major work to fix damage on level 10 and level 4 remain ongoing.</p><p>Owners have claimed there is more damage than Icon has admitted, including to apartments on the upper levels and the removal of belongings and furniture without prior approval.</p><p>“I completely understand the residents&#x27; reluctance, in some parts, to move back in to what is essentially going to be, for some time, a building site,” NSW Planning Minister Anthony Roberts said.</p><p>More than 300 apartment owners and residents face further months of uncertainty while others have been allowed to return to the building.</p><p>Related: <a href="https://theurbandeveloper.com/articles/nsw-sets-up-productivity-commission-to-tackle-regulation">NSW Sets up Productivity Commission to Tackle Regulation</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/cdc858d4-17ee-43f6-941f-2aef1c3db050.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">An apartment in Sydney’s Opal Tower with the ceiling and flooring removed and propping equipment installed.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><h2><br><strong>The report</strong></h2><p><a href="https://www.planning.nsw.gov.au/-/media/Files/DPE/Reports/Opal-Tower-Investigation-Draft-Interim-Report-2019-01-15.pdf">An interim report</a>, undertaken by three of the state&#x27;s most senior independent engineers, Professors Mark Hoffman, John Carter and Stephen Foster was undertaken over a two-week investigation and released last week.</p><p>The NSW government appointed engineers revealed concrete panels cracked due to their manufacture and assembly deviating from the original design.</p><p>“We&#x27;ve outlined some matters which should be checked before residents are allowed to move back in. </p><p>“We would recommend [Icon and WSP] have those matters investigated and checked,” Professor Hoffman said.</p><p>They also questioned the location of reinforcing steel, a cut or incomplete steel bar in the area and overhanging precast panels.</p><p>“There is compelling evidence indicating that the wrong size reinforcing bars were placed in this area during manufacture of this particular panel – 20mm diameter bars were used instead of 28mm diameter bars,” the report said.</p><p>“It is likely that a combination of some of the above design and construction issues led to the observed structural damage on level 10.” </p><p>The post-tensioned concrete floors were designed by Australasian Prestressing Services and the precast wall panels were fabricated by Evolution Precast Systems.</p><p>The engineers concluded that a “progressive build-up of load on the structure as the apartments became occupied” could have also furthered pressure on the concrete.</p><p>Engineers agreed the building was “structurally sound” but that “significant rectification works” were required to repair and the building.</p><p>“We thank the government for the preliminary findings of its independent investigation into Opal Tower,” Ecove director Bassam Aflak said.</p><p>“Our first thoughts are for the welfare of the residents.” </p><p>“We need this problem to be fixed, and the residents deserve to be in their homes.”</p><p>Related: <a href="https://theurbandeveloper.com/articles/national-apartment-market-reveals-rising-owner-occupiers-urbis-">Owner-Occupiers Set to Overtake Investors in Apartment Market</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/23a5216c-e61f-43f4-9ce1-41aacdd80815.gif" width="800"/></picture><div><span style="align-content:center;opacity:0.8">A month after evacuation, Opal tower residents have rallied together and refuse to budge after claiming they’re being forced to return.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><h2><br><strong>Industry concerns</strong></h2></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Many commentators have highlighted a “systemic” problem rife throughout the industry and have blamed Opal Tower&#x27;s failings as the result of the privatisation of building certification. </p><p>Much of the difficulty around regulating construction – and the consequent lack of accountability – lies in the fact that responsibility spills over state and federal government lines.</p><p>Poor building practices continue to undermine confidence in the multi-billion-dollar construction industry, the strata management industry and in the planning system.</p><p>The Opal Tower fiasco has put the NSW government under pressure with Better Regulation Minister Matt Kean quickly announcing a crackdown on rouge certifiers in an attempt to address the public&#x27;s concern about the state&#x27;s building certification process.</p><p>The move by Kean to introduce sweeping reforms came in the wake of an interim report that found failures in the way the Opal Tower was designed and built.</p><p>“There has been growing community concern about dodgy certifiers and, while the cause of the recent problems at the Opal Tower remains unknown, what’s happened there has put a spotlight on the industry again,” Kean said.</p><p>“The majority of certifiers are doing the right thing, but it’s time for the cowboys to go.”</p><p>Under the new strategy, 30 per cent of the industry will be audited every year and non-compliant or neglectful certifiers signing off on unsafe buildings will be kicked out of the industry.</p><p>A register will also be made public to check a certifiers history and qualify their work.</p><p>While there is no evidence that building certifiers have any link to Opal&#x27;s cracked concrete panels it is important to remember certifiers play no role in assessing structural integrity.</p></div></div></div></div></div>

The much publicised Opal Tower saga now enters its fifth week of uncertainty with 105 of the buildings 392 apartments declared "unliveable".

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>Plans to overhaul the New South Wales building and construction sector are underway with new reforms the state government says will ‘shake up’ the way high-rise towers are regulated.</strong></p><p>NSW Fair Trading Minister Matt Kean released the government’s response to a national report outlining &quot;significant and concerning&quot; problems in the construction industry.</p><p>The reforms, based on 24 recommendations from the Shergold Weir report, include the appointment of a Building Commissioner who will act as the consolidated building regulator in NSW. </p><p>The state government said it will support the majority of recommendations, which would see every party to the construction process, from those drafting a design to the final builder, registered and qualified.</p><p>Recommendations also include “building designers, including engineers, declare that building plans specify a building that will comply with the Building Code of Australia,” and that “builders declare buildings have been built according to their plans.”</p><p>The Building Commissioner would be responsible for enforcing the new laws and auditing practitioners.</p><p>Related: <a href="https://theurbandeveloper.com/articles/victoria-to-push-for-nation-wide-cladding-ban">Victoria to Push for Nationwide Cladding Ban</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/d1097a7c-5fd3-46c0-b1a2-c26a868616eb.png" width="1870"/></picture><div><span style="align-content:center;opacity:0.8">&quot;If you&#x27;re a building practitioner and you are found to be doing the wrong thing, we will rub you out of the industry,&quot; Matt Kean said.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Kean said people buying property in NSW had every right to expect it was structurally sound, safe, and free from major defaults. </p><p>“We’re making tough new laws to ensure buildings meet Australian standards, and to guarantee that people who build and design buildings have the proper qualifications to do so,” Kean said.</p><p>Of course the announcement comes after the highly publicised <a href="https://theurbandeveloper.com/articles/opal-tower-what-we-know-so-far">Opal saga, which sparked widespread concerns about the quality of new developments and the approvals process behind high-rise apartment complexes in Sydney</a> and across Australia.</p><p>Property Council NSW Executive Director Jane Fitzgerald said reforms that empower a Building Commissioner’s office to inspect buildings and conduct a random compliance provide an extra level of assurance to the construction process, but cautioned the “role must be clarified”.</p><p>“It would be a mistake to have a Building Commissioner acting as a ‘second approver’ and doubling up on giving the tick to the design plans of a building. </p><p>“This would require a huge resourcing commitment, will further slow an already snail-like planning process and not address the real issue – that being the process of construction rather than the final approval of design,” Fitzgerald said.</p><p>The Shergold Weir Report revealed the number of high rise residential buildings increased in Australia with 30,000 apartments in high rise buildings in 2007, this number increasing to 90,000 in 2015.</p><p>“No doubt the release of the final report into the Opal Tower will also influence the final design of these reforms and will provide an important insight into where the problems occurred in the construction process in that instance,” Fitzgerald said.</p></div></div></div></div></div>

Plans to overhaul the New South Wales building and construction industry are underway as the state government says it will ‘shake up’ the sector.

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>A pilot study into the quality of buildings in Australia’s multi-residential sector has revealed that defects are “proliferating” and 85 per cent of new buildings have at least one defect. </p><p>Structural defects identified in Sydney’s <a href="https://theurbandeveloper.com/articles/what-we-know-about-sydneys-mascot-towers">Mascot</a> and <a href="https://theurbandeveloper.com/articles/opal-tower-what-we-know-so-far">Opal</a> towers, along with <a href="https://theurbandeveloper.com/articles/consultants-to-reimburse-builder-lu-simon-for-lacrosse-cladding-fire">high-profile</a> cladding concerns, has exposed the complications around liability and lack of consumer protections in the multi-owned residential sector.</p><p>Deakin University’s Nicole Johnston and Griffith University’s Sacha Reid conducted an analysis of 212 building audit reports — identifying 3,227 building defects with an average 14 defects identified per building. </p><p>In New South Wales, 97 per cent of buildings had at least one defect, which dropped to 74 per cent in Victoria and 71 per cent in Queensland. </p><p>The most common defects identified in the report were water ingress, internal and external wall cracking, roofing and guttering problems and tiling faults. </p><p>More than 40 per cent of the defects identified in the 212 building audits were related to cladding, followed by fire protection (13.26pc), waterproofing (11.46pc), roof and rainwater disposal (8.58pc) and structural (7.25pc). </p><p>The authors said that the number of defects present in buildings was “significant” and described the number of defects related to fire safety as “alarming”. </p><p>“The type of defects commonly observed require invasive and often costly remedial works to rectify.” </p><p>A <a href="http://publications.lib.chalmers.se/records/fulltext/201456/local_201456.pdf">study</a> reviewed by the authors into seven buildings with structural defects found that 32 per cent of defects originated in the early phase of development, 45 per cent originated on site and 20 per cent were material and machinery related.</p><p>“Studies have shown 50 per cent to 60 per cent of building defects are attributed to design issues, or would have been preventable with better design,” the authors said. </p><h2><strong>Building defects: in numbers</strong></h2></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><table><thead><tr><th></th><th>At least one defect (across multiple locations) </th><th>Average number of defects per building</th></tr></thead><tbody><tr><th>All States</th><th>85%</th><th>14</th></tr><tr><th>NSW</th><th>97%</th><th>16</th></tr><tr><th>Victoria</th><th>74%</th><th>11</th></tr><tr><th>Queensland</th><th>71%</th><th>12</th></tr></tbody></table></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><sup><sub>▲ </sub></sup><sup><sub><em>An examination of building defects in residential multi-owned properties — Nicole Johnston (Deakin); Sacha Reid (Griffith).</em></sub></sup></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>In New South Wales, the state government has set out its <a href="https://theurbandeveloper.com/articles/nsw-kicks-off-building-industry-reform">agenda</a> for reform in the wake of the fallout from mass resident evacuations caused by defects in Sydney’s Mascot towers. </p><p>The first <a href="https://theurbandeveloper.com/articles/biggest-overhaul-of-building-laws-in-nsw-following-opal">recommendation</a> of the Shergold-Weir report that building practitioners must be registered has been <a href="https://theurbandeveloper.com/articles/nsw-kicks-off-building-industry-reform">adopted</a>, along with the appointment of a building commissioner. </p><p>A new industry-wide principle of duty of care, which allows home owners to seek compensation in the case of negligence, and the requirement that all buildings are fully-compliant with the national building code round out the four key <a href="https://theurbandeveloper.com/articles/nsw-kicks-off-building-industry-reform">reforms</a>.</p><p>In Queensland, QBCC commissioner Brett Bassett said that the body receives about 4,000 defects-related complaints per year. </p><p>“On average we issue approximately 350 failure to rectify notices per year,” Bassett said.</p><p>“Historically most complaints come from homeowners in free-standing dwellings, but we’re seeing a small increase in the number of complaints coming from residents in high-rise dwellings and we are increasing the level of work we direct to high-rise construction.” </p></div></div></div></div></div>

More Australians are embracing high-density living, with multi-residential property now the dominant property choice for 2.2 million Australians. 

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<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>The developer of the disaster-ridden Opal Tower has withdrawn from the tender process for the sale of Sydney&#x27;s Sirius.</strong></p><p>Mounting pressure on NSW Premier Gladys Berejiklian to stop the sale of the tower to Ecove and development partner Aoyuan likely caused the retreat. </p><p>It is understood that Aoyuan will remain involved in the tender.</p><p>A Property NSW spokesperson confirmed the news on Thursday afternoon.</p><p>“The government is evaluating proposals for the Sirius site and has shortlisted a number of proponents.</p><p>“Ecove was previously a minority member of one of the shortlisted consortia, but has withdrawn from the process.”</p><p>Speculation that Ecove were the preferred buyers of the iconic harbourside building prompted the Save Our Sirius lobby group to pen an open letter to the premier.</p><p>Member for Sydney Alex Greenwich and member for Balmain Jamie Packer joined Lord Mayor Clover Moore as signatories.</p><p>Ecove’s bid with China&#x27;s Aoyuan Group had been shortlisted alongside Danny Avidan’s RDA Property Group and JD Capital, a private Vietnamese developer. </p><p>The letter warned that the sale of the Brutalist icon to Ecove would be a “grave mistake and would provoke distrust in government processes and objectives”.</p><p>Related: <a href="https://theurbandeveloper.com/articles/9-iconic-examples-of-modernist-architecture">9 Iconic Examples of Modernist Architecture</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/161677a5-3980-4077-9f48-cc97a3c38683.jpg" width="940"/></picture><div><span style="align-content:center;opacity:0.8">The Brutalist icon, completed in 1980, houses 79-units across 11-storeys. </span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><h2><br><strong>‘All developers should withdraw’</strong></h2><p>Save our Sirius chair Shaun Carter welcome Ecove&#x27;s decision to withdraw from the bid.</p><p>“We believe all developers should withdraw from the sale of Sirius.</p><p>“We think [Ecove&#x27;s withdrawal] strengthens our call to the Premier to not sell Sirius. Instead she should use Sirius to achieve her No.1 goal as Premier, which is to solve affordable housing.” </p><p>After <a href="https://theurbandeveloper.com/articles/brutalist-masterpiece-sirius-saved-demolition">years of court battles</a> and uncertainty about Sirius’ future, the building was finally placed on the market in mid-2018, and is tipped to sell<a href="https://theurbandeveloper.com/articles/sydneys-sirius-building-hits-the-market-for-120-million-plus"> for as much as $150 million</a>. </p><p>The <a href="https://theurbandeveloper.com/articles/sydneys-iconic-sirius-building-hits-the-market">NSW government listed the building</a> for tender after refusing to place it on the state’s heritage list, ignoring the advice of architects and preservation bodies.</p><p>The government’s refusal to heritage list Sirius came despite it being placed on a 2018 “watch list” by the World Monument’s Fund. </p><p>The sale of Sirius is opposed by NSW’s Labor opposition.</p><h2><strong>‘Built to last 200 years’</strong></h2><p>The <a href="https://theurbandeveloper.com/articles/opal-tower-what-we-know-so-far">Opal Tower saga </a>has caused widespread reports of building defects across the country, with research from UNSW uncovering that up to 85 per cent of buildings built after 2000 had ongoing defects. </p><p>“It can be argued that Sirius was built at a time when buildings were better regulated and had government oversight so that they were built well,” Save Our Sirius&#x27; letter said.</p><p>It is not certain if RDA Property Group or JD Capital plan to demolish the tower, however the <em>Sydney Morning Herald</em> reported that RDA’s tender involves keeping but upgrading elements of the Brutalist structure. </p></div></div></div></div></div>

The developer of the disaster-ridden Opal Tower has withdrawn from the tender process for the sale of Sydney's Sirius.

Opal Tower Sydney

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p>Opal Tower builder Icon has cleared residents to return to the Sydney apartment building which was evacuated 12 months ago after <a href="https://theurbandeveloper.com/articles/opal-tower-what-we-know-so-far">cracking was discovered in the walls</a>, assuring them that it is now “the safest building in Australia”. </p><p>The 392-apartment tower, located at the southern end of the Olympic Park Parkview Precinct, was developed by Ecove and was completed in August of 2018.</p><p>The 36-storey building was dramatically evacuated on Christmas Eve of 2018—and again four days later—after cracking across the building sparked fears that the tower could collapse.</p><p>The problems had occurred in &quot;garden slots&quot;—recesses in the facade on the fourth, 12th, 16th and 26th levels of the $128 million residential tower— where precast concrete panels joined structural columns.</p><p>In February, an expert report commissioned by the NSW government <a href="https://www.planning.nsw.gov.au/-/media/Files/DPE/Reports/opal-tower-investigation-final-report-2018-02-22.pdf">found</a> that <a href="https://theurbandeveloper.com/articles/nsw-government-releases-final-opal-tower-report">non-compliant construction and structural design</a> were responsible for the building&#x27;s defects.</p><p>A year on, Icon has completed restoration work on the building having said to have outlaid an estimated $31 million for construction and engineering works across the building and support for the residents of 34 units that were directly affected by remediation works.</p><p>“Safety is always our top priority and we have been committed to ensuring residents were back in the building as quickly as possible,” Icon managing director Nicholas Brown said.</p><p>“We believe Opal Tower is now the safest building in Australia when it comes to structural integrity.” </p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/c76f3528-61ca-4d18-9fdb-5d68c889a329.jpg" width="800"/></picture><div><span style="align-content:center;opacity:0.8">▲  Icon claims it provided owners and tenants more than $11m in relocation expenses, covering hotels, rental and lease costs, security, pet accommodation, removalists and furniture storage, insurance and transport. Image: Dylan Robinson</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Work is scheduled to be finalised in March 2020 with Icon expected to offer residents an extended 20-year structural warranty on the rectification work undertaken on the tower. </p><p>“The rectification process understandably was never going to be of a short duration,” Opal Tower apartment owner Brian Jones said.</p><p>“I was impressed at [Icon&#x27;s] genuine concern for the residents and staff associated with Opal Tower.”</p><p>Opal unit owners in July <a href="https://theurbandeveloper.com/articles/opal-tower-owners-sue-nsw-goverment">lodged a class-action lawsuit against the Sydney Olympic Park Authority</a> which owns the land on which the complex was built.</p><p>Cross-claims were subsequently filed by the Olympic Park Authority against Icon, developer Ecove and Australia Avenue Developments.</p><p>Builder Icon alleged that cracking was prompted by design failures —rather than any issues with the construction process—and launched its own cross-claim against engineer WSP Structures.</p><p>The matter will return to the NSW Supreme Court in February with WSP expected to file its own cross-claims before that date.</p><p>The year-long saga <a href="https://theurbandeveloper.com/articles/australias-construction-crisis-to-cost-62-billion-in-repairs">sparked widespread concerns</a> about the quality of new developments and the approvals process behind high-rise apartment complexes in Sydney and across Australia.</p><p><a href="https://theurbandeveloper.com/articles/opal-tower-what-we-know-so-far">The Opal Tower saga</a> put the Australian high-rise construction industry firmly under the microscope with a subsequent loss of confidence from the apartment-buying public and policymakers left at a loss about how to respond to the crises of defects, combustible cladding and insurance.</p><p>In February, a <a href="https://theurbandeveloper.com/articles/blaze-at-melbourne-apartment-tower-wrapped-in-combustible-cladding">cladding fire</a> swept up the 43-storey Neo200 apartment building in Melbourne and Mascot Towers in Sydney&#x27;s inner-south was closed to residents in June after <a href="https://theurbandeveloper.com/articles/builder-couldnt-read-construction-plans-nsw-commissioner-mascot-towers">cracks were found in its car park</a>.</p></div></div></div></div></div>

  Opal Tower builder Icon has cleared residents to return to the Sydney apartment building.

<div class="row" data-reactroot=""><div class="cell cs12 cx12"><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><strong>Opal Tower’s builder Icon has agreed to reimburse landlords for rental losses while remediation work takes place.</strong></p><p>Icon will start remediation work on the damaged apartments, which is estimated to take 13 weeks, with owner-investors understood to be reimbursed at “market rate”.</p><p>Now four months on since <a href="https://theurbandeveloper.com/articles/opal-tower-what-we-know-so-far">the Opal Tower saga began</a>, almost half of the apartments in the tower are still empty.</p><p>While some residents of the tower have returned to their homes, about 172 apartments of the building’s 392 residences are still unable to be occupied until remediation works are completed. </p><p>Related: <a href="https://theurbandeveloper.com/articles/grave-mistake-opal-tower-developer-bids-for-sirius-">Opal Tower Developer Pulls Out Of Sirius Bid</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/a6f06b3d-bf7d-483f-9e10-9ccdd03118e3.jpg" width="920"/></picture><div><span style="align-content:center;opacity:0.8">The 36-storey Opal Tower at Sydney Olympic Park.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>The agreement for remediation works to finally begin follows Friday’s general meeting held by the owners corporation, a collective body made up of the tower’s residents, which saw the owners give formal consent for the builder to begin.</p><p>Icon’s parent company, Kajima Corporation of Japan has also agreed to an extended warranty on major defects in Opal Tower for 20 years; negotiated up from six years. </p><p>Related: <a href="https://theurbandeveloper.com/articles/biggest-overhaul-of-building-laws-in-nsw-following-opal">Biggest Overhaul of Building Laws in NSW Following Opal</a></p></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><div><picture><img src="https://tud-prod-tudmedia-oj9w2zshuo0o.s3.amazonaws.com/raw/images/1c9f98d2-2e6a-44b3-8e92-b439969ec1f3.jpg" width="920"/></picture><div><span style="align-content:center;opacity:0.8">Opal residents were evacuated after loud bangs were heard and cracks started appearing on the 10th floor on Christmas Eve last year.</span></div></div></div></div></div><div class="row ci"><div class="cell cs12 cx12"><div class="ci cl"><p><br>Last year, on Christmas eve, residents of more than 300 apartments were forced to evacuate their homes after reports of cracking and a “loud bang”. </p><p>The incident prompted the <a href="https://theurbandeveloper.com/articles/nsw-government-releases-final-opal-tower-report">state government to commission a report on the building</a>, by three of NSW&#x27;s senior independent engineers.</p><p>Many of the tower&#x27;s occupants were stranded in temporary accommodation following evacuation of the tower, and landlords have since struggled to retain tenants throughout the process.</p><p>BCA Logic will be engaged as new certifiers for the building, taking over from the McKenzie Group.</p><p>While existing major defects relating to wind noise will be investigated by independent engineering firm Arup Group.</p><p>Proposed remediation works will be developed by all parties, including WSP, Rincovitch and Bates Smart, supervised by the owners&#x27; corporation&#x27;s structural engineer Cardno.</p></div></div></div></div></div>

Landlords have struck a deal with Opal Tower builder Icon to reimburse them for rent on empty units.

OPAL TOWER