New Asbestos Regulations for Commercial Property

[Davo36]

This is on Facebook, but originally in Bayleys Total Property magazine, page 124.

https://www.facebook.com/groups/340682962758216/permalink/873963312763509/

Commercial property owners need to take action on asbestos

Total Property - Issue 8 2017


On April 4th 2018, the Health and Safety at Work (Asbestos) Regulations 2016 come fully into effect, and owners of buildings where there is asbestos and tenants who manage or control a workplace where there is asbestos will need an asbestos management plan.

Currently, building owners or occupiers who manage or control a workplace must ensure that asbestos is identified in the workplace.

This requirement means that if a building owner or occupier knows, or reasonably ought to know, that there is a risk of exposure to respirable asbestos fibres, they must, so far as is reasonably practicable, identify all asbestos that poses a risk of exposure, as well as Asbestos Containing Material (ACM), which is any material containing more than one percent asbestos.

Just another thing. Everyone out there with a super six roof will have to have some sort of management plan...

[John the builder]

someone is misinformed or even being mischievous?

These regs came in on April 2016 (not '2018' as if this is something new coming )

It is all about protecting people during removal and disposal it is not about having to remove a super six roof for example because it is there. You need to know what you have and know not to touch it without a proper plan but dont panic.

If you have concerns about fibres then get air sampling?

[Davo36]

It says this:

On April 4th 2018, the Health and Safety at Work (Asbestos) Regulations 2016 come fully into effect, and owners of buildings where there is asbestos and tenants who manage or control a workplace where there is asbestos will need an asbestos management plan.

So it looks like those 2016 regulations only come fully into effect now.

I have friends who have a factory that had a super six roof and walls. The tenant, a very difficult person, claimed asbestos was falling on all her stock. She got her own people in (whilst my friends were away on holiday) and they went totally overboard and shut the factory down.

That seems to be what these consultants do. Shut everything down and then say "We can fix it for you, but it will cost $x".

My friends got their own consultant in, who said it's a minor problem but does need a bit of remediation.

Meanwhile tenant moves out, claims her stock is contaminated, buys all new stock and wants my friends to pay for the rent on the new premises, moving costs, cost of new stock and so on.

My friends take legal advice and find it's not easy to just cancel the lease and get her and her stock out.

Long story short, they do a lot of recladding and cleaning (the industry standard is washing down with water!) and it cost them hundreds of thousands of dollars!

So it may not be a minor issue.

[John the builder]

if there is concern of fibres then get a simple air sampling test done perhaps even make it part of the management plan for the building to avoid the nonsence described above

your friends needed to be better informed.

the regs are here;

http://www.legislation.govt.nz/regulation/public/2016/0015/latest/DLM6729706.html?search=qs_act%40bill%40regulation%40deemedreg_asbestos_resel_25_h&p=1&sr=1

the s2 commencement date is 4 April 2016. The article says 2018 and seems designed to alarm rather than inform?

[Lovethiscountry]

Help please. An Asbestos Survey has been requested by a large corporate tenant that leases my warehouse.

It seems to me unnecessary as the only thing the building has containing asbestos is fibrolite on the gable ends. Also a well known firm that does this these reports is trying to get landlords to use their services at a minimum cost of $1,200.

Please share your knowledge on this requirement

Under the new legislation, if you’re a PCBU and your workplace was built before 1 January 2000, you need to have an Asbestos Survey performed and (if asbestos is found) an Asbestos Management Plan in place before 4 April this year.

A PCBU is a “Person Conducting a Business or Undertaking”. In this case, it’s anyone in charge of a workplace where asbestos may be present – so it could be an individual, a landlord, or an organisation. PCBUs who don’t have a plan in place by 4 April 2018 could face hefty penalties of $50,000 per infringement.

But it’s not just the fines that should motivate you. Asbestos can pose a major health threat to your workers – in fact it’s the single biggest cause of work-related disease deaths in New Zealand.

[Wayne]

Help please. An Asbestos Survey has been requested by a large corporate tenant that leases my warehouse.

Does the lease allow you to on-charge the cost to the tenant as outgoings?

[Lovethiscountry]

Thanks for your thought Wayne.

No nothing in the lease to cover that.

Talking to a property manager today and he suggests that as there is nothing in the lease that says the Lessor has to do this so if the lessee wants it done they can arrange and pay for it.

He also pointed out the soffits on many older buildings including houses contain asbestos and suggested they be tagged with warning stickers and smiled.

[John the builder]

the emphasis in the. regs is on identification and knowing your building so that future work is managed not on removal.

http://www.legislation.govt.nz/regulation/public/2016/0015/19.0/DLM6729706.html

[JBM]

Got a Commercial Property > PGG Wrightson as tenants ..purchased DEC17 ... have just received a letter stating PGG want me to use a certified assessor they are using on their own sites costing me $1800(older building only 280sqm) .... PGG built and owned the property for the previous 50+yrs yet only seven months after I purchase I get the "time you sort it out"!!

[Don't believe the Hype]

I’d tell them, you choose the assessor, you pay. If the work needs doing I’ll use my guys.



I’ve used this with bank valuations for a long time with quite a bit of success. Funny how the bank (nearly) always had a work around to be able to use my Valuer.

might also be worth talking to them about their disclosures or failure to disclose in the sale process... if they knew of the issue being the builders of the property and the upcoming requirements but sold it to you without disclosing...

your lawyer might have something to say about this too.

[Davo36]

Oh man, so typical JBM.

With my property in Papakura, the owner before the guy I bought it off was the council. So they fitted it out. Funny how when I refurbished it many things didn't comply!

Yes, DBH is right. Use your own tester and also get your lawyer onto them re the lack of disclosure.

[JBM]

Oh man, so typical JBM.

With my property in Papakura, the owner before the guy I bought it off was the council. So they fitted it out. Funny how when I refurbished it many things didn't comply!

Yes, DBH is right. Use your own tester and also get your lawyer onto them re the lack of disclosure.

Yes going to call the PGG property Manager see if I could get to the bottom of this as its a joke after how many years property owners have known about the issues

[JBM]

Yeah, after talking with a few people looks like I can get an independent "Asbestos Survey" from a local firm for around a third the quoted price
PGG gave me ... so I guess I'll get it done not worth the stuff around trying to get PGG to pay for it..

[Davo36]

I got mine done, cost around $700.

Lined a wall with gib, cost around $7k...

All for nothing really, but got a good tenant as a result.

[JBM]

Got my "Asbestos Survey" back sounds like only powerboards have got asbestos so getting a electrical to replace with MDF so will be completelty free of Asbestos which is brilliant ... no need to more costly mgmt doc.

I do wonder how many commercial property owners around NZ even know about getting these Asbestos surveys done before 2019