Fund claims progressed for homes in Palmerston

Department of Infrastructure, Planning and Logistics and Department of Attorney-General and Justice

The Northern Territory Government has provided advice to property owners following the results of an engineering assessment report into select properties in Palmerston.

The report found while there is no immediate safety risk, the structural building system used in some of the homes has been determined to be non-compliant with the requirements of the Building Code of Australia in force at the time of construction, while also being structurally inadequate in its design to meet the needs of the Territory.

The Northern Territory Government has been working with the impacted homeowners following reports of defects to the homes, which included movement in flooring, cracked and loose tiles and poor drainage on balconies.

The majority of the properties are covered under either the Home Building Certification Fund or the Residential Building Cover Scheme, with all homeowners being provided advice. This includes:

  • Ten properties have claims with the Home Building Certification Fund, under the care of the Department of Infrastructure, Planning and Logistics, as these properties were built prior to 31 December 2012.
  • Five Properties have applications for the Residential Building Cover Scheme, through the Commissioner for Residential Building Disputes in the Department of Attorney General and Justice, as these were built after 1 January 2013.
  • Home owners of a further three properties were covered by the Residential Building Cover Scheme but the cover has since lapsed, however these homeowners are being provided advice by the Northern Territory Government.

The Director of Building Control, Mr Mark Meldrum, said although there is no immediate need to find alternative accommodation, there may be a safety risk to occupants during a cyclone event.

“There is no immediate threat to safety, and The Northern Territory Government continues to work with these homeowners to make sure they are aware of the potential structural issues associated with their properties,” said Mr Meldrum.

Acting Commissioner Northern Territory Consumer Affairs, Sandra Otto, said the home owners of the five properties with applications for the Residential Building Cover Scheme have been contacted by the Commissioner to keep them updated on their progress.

If property owners are concerned about their property, property owners can access their building records by contacting Building Advisory Services, or alternatively owners may wish to get independent structural engineering advice from a registered building practitioner on the condition of their home.

The builder of the eighteen homes is no longer a registered builder in the Northern Territory.

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