Hazardous Materials Risks in Building Refurbishment

Introduction: why refurbishment carries hidden environmental risk

Refurbishment is often perceived as a lower-risk alternative to demolition and rebuild. In practice, however, it can present significant environmental and safety risks, particularly in older buildings where hazardous materials (hazmat) are disturbed during strip-out, services upgrades or structural modifications.

From our experience, hazmat refurbishment risk is rarely about whether hazardous materials exist. It is about whether they are identified early enough to be managed safely and compliantly. Asbestos, lead-based paint, polychlorinated biphenyls (PCBs) and other legacy substances are common in commercial, industrial and institutional buildings constructed or modified before modern regulatory controls were introduced.

Effective refurbishment planning therefore requires more than cosmetic design intent. It demands an informed understanding of hazardous material risks, clear pre-strip obligations, and a redevelopment strategy that integrates environmental, safety and compliance considerations from the outset.

Typical hazardous materials in refurbishment projects

The hazardous materials encountered during refurbishment depend on building age, historical use and past modifications. While every site is different, several materials consistently present risk across Australian projects.

Asbestos-containing materials

Asbestos refurbishment risk remains one of the most significant issues in existing buildings. Asbestos-containing materials (ACMs) may be present in wall and ceiling linings, vinyl flooring systems, fire doors, pipe insulation, roofing and cladding.

Refurbishment works frequently disturb ACMs that are otherwise in reasonable condition, increasing the likelihood of fibre release if controls are not properly implemented. This is particularly relevant where intrusive works extend beyond the scope of previous asbestos registers.

Lead-based paint and coatings

Lead-based paints were widely used in Australia prior to the 1970s and can still be found on structural steel, timber joinery, internal linings and external façades. Activities such as sanding, grinding or coating removal can generate lead-contaminated dust, posing risks to workers, occupants and surrounding areas.

In many refurbishment projects, lead paint and PCB assessments are undertaken together, particularly where multiple legacy contaminants may be present.

PCBs and other legacy substances

PCBs may be encountered in older electrical equipment, light fittings, transformers, capacitors and some sealants. Although less common than asbestos or lead, PCBs present higher toxicity risks and require specialist handling and disposal.

Other hazardous materials encountered during refurbishment may include synthetic mineral fibres, mercury-containing equipment, ozone-depleting substances in refrigeration systems, and contaminated dusts within ceiling voids or plant rooms. Understanding what may be present is critical to defining survey scope and redevelopment strategy.

Pre-strip and pre-demolition obligations

One of the most critical compliance steps in refurbishment projects is meeting pre-strip and pre-demolition requirements. These obligations exist to protect workers, occupants and the public from exposure during building works.

Purpose of a pre-demolition hazardous materials survey

A pre-demolition hazmat survey identifies hazardous materials that are likely to be disturbed during planned works. Unlike management surveys, refurbishment surveys are intrusive and targeted specifically to the scope of proposed disturbance.

For refurbishment projects, surveys must accurately reflect the areas and elements being affected, identify hazardous materials by type, condition and location, and provide sufficient information to plan safe removal or controls. Reliance on outdated or generic surveys is a common cause of non-compliance and project delay.

Regulatory expectations

In NSW and across Australia, refurbishment works are subject to workplace health and safety and environmental obligations. These generally require hazardous materials to be identified before disturbance, removed by appropriately licensed contractors, and disposed of lawfully with clear documentation.

Failure to meet these obligations can result in stop-work orders, regulatory penalties, insurance complications and reputational risk.

Timing matters

Hazardous materials surveys must be completed early enough to inform design, costing and programming. Surveys undertaken after strip-out has commenced often result in reactive controls, higher costs and increased exposure risk for workers and occupants.

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Managing refurbishment environmental risk

Refurbishment projects often involve multiple contractors, constrained sites and tight programmes. Managing refurbishment environmental risk requires coordination, clarity and early integration into project planning.

Hazardous materials considerations should be embedded into scope definition, construction methodology and contractor procurement. When hazardous materials are treated as an afterthought, risk increases across the entire project lifecycle.

Removal and remediation strategies

Based on survey findings, remediation approaches may include full removal prior to refurbishment, localised removal aligned with specific work areas, or encapsulation where disturbance is not proposed. The chosen strategy should balance safety, regulatory compliance, programme impacts and long-term asset management, rather than focusing solely on short-term cost.

Waste management considerations

Hazardous waste generated during refurbishment must be correctly classified, transported and disposed of at licensed facilities. Poor waste tracking or misclassification can expose developers and asset owners to significant compliance and liability risks. Clear documentation of waste streams is particularly important for commercial and government assets subject to audit or public scrutiny.

Safe redevelopment and long-term outcomes

Effective hazardous materials management supports safer redevelopment outcomes and reduces downstream risk.

The primary objective is protecting people, including construction workers, occupants in partially occupied buildings, and surrounding communities. Clear controls and communication reduce the likelihood of exposure incidents and disputes.

Early identification and planning also support programme certainty. Unexpected hazardous materials discoveries are a common cause of refurbishment delays and cost escalation. Proactive assessment helps maintain momentum and budget control.

Comprehensive hazardous materials documentation delivers long-term value beyond the immediate project. It supports future refurbishments or demolition, leasing and due diligence processes, insurance negotiations and demonstration of compliance. For many assets, this information becomes part of the building’s long-term environmental record.

Common pitfalls in refurbishment projects

Across refurbishment projects, recurring issues include surveys that do not match the scope of works, assumptions that hazardous materials were removed previously, inadequate budget and programme allowances, poor coordination between designers and contractors, and incomplete documentation of removal and disposal. Addressing these issues early significantly improves project outcomes.

Hazmat management is essential to successful refurbishment

Building refurbishment projects carry inherent environmental and safety risks due to the presence of hazardous materials. Managing these risks requires early identification, clear pre-strip obligations and a structured, evidence-based approach to redevelopment.

By understanding typical hazards, commissioning appropriate surveys and integrating hazardous materials management into project planning, developers and asset owners can protect people, maintain compliance and deliver successful refurbishment outcomes.

At Nova Group Pacific, we support refurbishment projects across Australia with hazardous materials assessments, risk management advice and compliance-ready documentation. If your project involves upgrading or repurposing an existing building, we can help you identify and manage hazmat risks with confidence.

Book a consultation to discuss your refurbishment project.