Gisborne A1 Homes client at the end of his tether
If all had gone to plan, Luke Marks would be moving into his new home this week.
Instead, the Gisborne man is $15,000 down, has a home 75 percent complete and every cent he earns goes towards rent, mortgage and storage.
He is one of about 40 clients affected by the fallout of A1 Homes in Gisborne.
Building work stopped on all A1 Homes in Gisborne after the company that held the licence here, Fargher Construction Limited, went into liquidation on February 23.
Through no fault of their own, clients were left with incomplete homes, deposits paid but no work started or just plans for their new homes.
A letter sent out by the lawyer for A1 Homes NZ, on behalf of head licensor Ross Thomas, has presented an offer to finish the homes for these families.
The construction company employed to do this is another company belonging to Mr Thomas — Newline Construction Company — a Tauranga-based building firm.
Dated March 9, the letter stated clients would have their original A1 Homes contract fulfilled and there would be no extra charges.
They would just have to pay what the original contract stated.
Making progress 'but it does take time'They have until April 10 to accept the offer or it will be retracted.
Mr Marks said the offer failed to answer some crucial questions — when would building work start and would the builders used be local?
“Who are Newline Construction and can I trust them? I trust the locals more than I trust this company that I have never heard of from out of town.
“I’ve no energy left. If everything had gone to plan I would be moving in this week. Instead I am going downhill and it is killing me financially. The distress level is horrendous.”
Master Builders CEO David Kelly said it was his understanding that Newline would use local builders.
“I appreciate it is frustrating for homeowners but it does take time to work through this process. We are making progress and I am pretty confident we will end up with a good result.”
Mr Kelly said Pricewaterhouse Coopers, the liquidator, had legal control of the process at this stage.
He urged A1 clients to be careful about taking any shortcuts.
If they rejected the offer on the table, then they would also lose the Master Builders guarantee.
Mr Kelly said if they then employed their own builders, those builders would then need to approach Master Builder to provide information to them if they wanted a new MB guarantee for the completion of their home.