14 Sep 2021

South Auckland housing development hit by Covid-19 restrictions

11:03 am on 14 September 2021

The uncertainty caused by the Covid-19 outbreak is taking a toll on building projects.

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Photo: 123RF

Among the casualties is a new South Auckland housing development, which has been put on hold because of the challenges.

Paerata Rise, which is owned by Grafton Downs and the Wesley College Trust Board, has withdrawn the tender for two stages of the development consisting of 68 homes.

The government announced yesterday that Auckland would remain at level 4 for at least another week.

Grafton Downs executive director Chris Johnston said the current situation was too unpredictable.

"At the moment we can't give our end purchasers the certainty of delivery of the date of title.

"With these delays under Covid level 4 and level 3, we can't give that certainty of title until we come out of the other side," Johnston said.

Supply chain issues were also a problem, he said.

"Our contractors are giving us the heads up that there could be supply chain issues, so we need to get our head around what those are and how it affects our development of sections."

Johnston said the developers would only get clarity under level 3 and below.

"The key is level 3. At level 3 our builders and our civil contractors can work.

"When we get an announcement of level 3, and we're hoping it's as soon as possible, then we can get back to work and then once we are back to work we can access how the supply chains are and whether we've got any possibility of delay," Johnston said.

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