DA to day one: what happens between approval and breaking ground

Most clients assume that once a development application is approved, builders show up the next week. In practice, there is usually a second stage of approvals, engagements and lead times between a DA and the first trench being dug — and it is the stage most new-build timelines go wrong in, because nobody told the client it existed.

This is general information about the NSW process. Pathways, fees and timeframes vary by council and by project, so treat the order below as the shape of the process, not a fixed schedule.

Development approval is not a permission to build

A development consent (or a Complying Development Certificate, where the project qualifies for that faster pathway) approves what can be built — the use, bulk, setbacks and conditions. It is not, on its own, a permission to start construction. Before work can begin, the detailed construction documentation has to be assessed against the National Construction Code and issued as a Construction Certificate, either by the council or by a private accredited certifier engaged as the Principal Certifier. Under the Environmental Planning and Assessment Act 1979, building work generally cannot lawfully start until this certificate is issued and the Principal Certifier is appointed. The NSW Planning Portal is where most of this is now lodged and tracked.

What typically happens between consent and start

• Conditions of consent get worked through. A DA almost always comes with conditions — engineering details, stormwater design, tree protection, bushfire or flood provisions, driveway and services connections. Each one usually needs to be satisfied or formally approved before the Construction Certificate can issue.
• Construction documentation is finalised. Architectural drawings firm up into construction drawings, structural and services engineering is completed, and energy performance is confirmed — relevant to the thermal standard we cover in our post on 7-star BASIX.
• Authority approvals are sorted. Depending on the site, this can include Sydney Water or the local water authority, the electricity distributor, and the council for driveway crossovers or works on public land. Each has its own lead time and is often outside the builder's direct control.
• Statutory insurance and licensing checks happen. For most residential building work over the threshold set under the Home Building Act, the builder must hold a current contractor licence and the work must be covered by Home Building Compensation Fund (HBCF) insurance before the contract is signed and work starts. NSW Fair Trading's home building insurance page sets out the current thresholds, which are worth checking before you sign anything.
• The contract is signed and the levy paid. A Long Service Levy is payable to the Building and Construction Industry Long Service Payments Corporation on building work above a set value, and most Principal Certifiers will not issue a Construction Certificate until it is paid — check the current rate and threshold on the Long Service Corporation's site.
• The site is set up. Site fencing, sediment and erosion control, a construction certificate sign posted at the site, and often a dial-before-you-dig check on services, all have to be in place before the first truck arrives.

Why this stage takes longer than people expect

Each of the items above can run in parallel, but several of them depend on each other, and several sit with authorities outside the builder's control. A condition that comes back with a request for more information, or a utility authority with a six-week connection queue, can add weeks without anyone doing anything wrong. The projects that run smoothly are usually the ones where this stage was planned for and tracked, rather than treated as paperwork to get through quickly.

What to ask before you commit to a start date

• Has the Construction Certificate been issued, and is the Principal Certifier formally appointed?
• Which conditions of consent are still open, and who is responsible for closing each one?
• Has the HBCF insurance been arranged, and is a current certificate able to be provided before the contract is signed?
• Has the long service levy been paid, and is there a receipt?
• Are authority approvals (water, power, council) confirmed, not just "applied for"?

A realistic start date accounts for all of this. If a builder gives you a start date before the Construction Certificate is issued, ask what it is based on.

If you are weighing up your options for a new build and want a realistic view of the approvals pathway for your site, get in touch.

Sources

• Environmental Planning and Assessment Act 1979, NSW Legislation
• NSW Planning Portal, NSW Government
• Home Building Compensation Fund, NSW Government
• Long service levy, Long Service Corporation

This article is general information, not legal or planning advice. Approval pathways, conditions, fees and thresholds vary by council and by project, so confirm current requirements for your site with your certifier, planner or builder. Full website disclaimer