[DavidV]

Jimmy T,

I note your reply to this question – building consultant – project manager? The good ones are few and far between.

 

I’ll give you an example – I have just tendered on a re-insurance job, they paid out $336k for repairs written by a consultant that wouldn’t have a clue and it failed within the 1^st month of work completion.

 

I have just submitted a report on remedial failures with the scope of work written by the same consultant.

 

I would suggest to all that they seriously take a look at whom they engage to doo their inspection.

[DavidV]

With Developers there are the unscrupulous operators, they form a company xyz developments, this company purchases property has plans approved for units and starts construction.

 

They watch the dollar outlay with eagle eyes, once the construction reaches just below 65% they declare liquidation.

 

The unfinished project is then sold to family members with a registered company, the purchase is GST free because it is an uncompleted project. Construction continues until the project is finished.

 

The project is marketed and sold off; the Developers dissolve their company and move on to do the same thing with a new identity.

 

It is corruption at the highest level, I have seen copies of council documents on development applications, home warranty insurance values on units at $143,000.00 per unit, and the first owners paying $450,000.00.

 

So, who is being ripped off?

[DavidV]

Hi Jimmy,

I came across your article about building defects in the SMH, the article states it is in favour of a 1% levy to be added to the purchase price of a unit. This money is to be used to cover the repair of hidden defects left by the developer.

 

From our remediation experience 1% would not be enough, and I will give you two examples:

• Rose Bay Remedial in and around 7 Units – $1.8 million
• Just tendering for a Vero reinsurance job Cronulla figure is up to $1.4 million today.

 

Education and more stringent inspections of the various construction trades would be more beneficial too the consumer. The art of building a fit for purpose construction has been lost, it went down the tube around the late 1970’s.

 

I am involved with a group of professional trades people in writing and publishing methods that have worked over 100’s of years.

 

Please see attached “GUIDES”

 

Regards

[Author]

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