Queensland building giant Metro Property Developments poised to take over homes left unfinished in Homestead Homes collapse

A NATIONAL home builder has stepped into the breach left by the collapse of Bob Day’s Homestead Homes, giving hope to dozens of homeowners left with unfinished properties.

Metro Property Development general manager Steve Weightman says his company has started signing contracts with affected Homestead Homes property owners.

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A NATIONAL home builder has stepped into the breach left by the collapse of Bob Day’s Homestead Homes, giving hope to dozens of homeowners left with unfinished properties.

Queensland building giant Metro Property Developments has confirmed a report in The Advertiser on Saturday that it had approached insurer QBE to take over contracts for the SA arm of Mr Day’s Home Australia group.

Steve Weightman, general manager of the company’s SA division, said the company has started signing contracts with affected property owners.

“I can confirm that QBE has indicated that we are the preferred company for clients to deal with, that is those (clients) who have had their job started,” he said on Tuesday.

“We have done heaps of site visits, I have spoken to a number of their customers and we are starting to sign contracts. We’re doing what we can to help.”

Construction on 48 properties across SA was halted last month when Mr Day’s home building company went into liquidation leaving more than 200 unfinished properties across Australia.

Debts from his companies collapse are expected to top $40m nationally including about $5m in SA, a majority owed to suppliers and subcontractors.

Mr Weightman said his company wanted to do the “right thing” by suppliers and continue using them on the unfinished jobs.

“A lot of these guys are small guys owed $20,000 or $40,000, it’s near Christmas and we need to get some money back into their pockets,” he said.

He said the company had also made a bid to buy other assets under Homestead Homes umbrella, including a portfolio of incomplete display homes.

“We are looking for a favourable outcome in the next few days,” he said of discussions with liquidators..

In 2015 Metro Property Developments took over 98 unfinished building contracts from GNC Homes, which had allegedly used false insurance contracts in the construction of homes.