Major builder metro offers help to those hurt in Bob Day’s Homestead Homes collapse
A MAJOR national builder is offering to help customers of Senator Bob Day’s beleaguered Homestead Homes complete their dream homes.
A MAJOR national builder is offering to help customers of Senator Bob Day’s beleaguered Homestead Homes complete their dream homes.
A homebuyer has told The Advertiser that he was contacted on Friday by insurer QBE, who told him that Metro Property Development has offered to take on his contract.
A spokeswoman for QBE Australia confirmed the company was talking to South Australian homeowners about a builder willing to finish their homes, but would not confirm if Metro was the interested builder.
“Nothing has been confirmed but we are hopeful we will have a solution for homeowners shortly,” she said.
Metro Development Australia state manager Steve Weightman referred The Advertiser’s inquiries to QBE.
It is understood that Metro, headquartered in Brisbane and with a property portfolio in excess of $2.5 billion nationally, approached QBE with the offer of help.
It is unclear if Metro had extended its offer to interstate homeowners following the collapse of Senator Day’s Home Australia empire, which had about 250 houses at various stages of construction, before he put the national company into liquidation with debts of at least $37.8 million.
There are about 70 victims who were building with the SA subsidiary Homestead Homes.
In a statement, Senator Day said he appointed liquidators when he ran into financial difficulty; at that point, he had also declared his resignation. However, that resignation was never formalised.
Yesterday, he said a new investor had expressed interest in the Home Australia group shortly after he announced on October 17 that he would resign, and that “other offers have also been received”.
Senator Day said he would return to the Senate on November 7 to vote in favour of the same-sex marriage plebiscite, the Government’s union regulation Bill and on the so-called backpacker tax, and he might remain for his full term if his company survives.
“I intended to resign … in order to devote my time and energy to assisting those affected by the company’s closure – in particular the homeowners and trade contractors,” he said.
“If new investment revives the company, if houses are being completed and trade contractors and others are being paid, then I may continue on as Senator. If not, my resignation will proceed and I will devote myself to assisting those affected by the Group’s closure.”
Senator Day again apologised for his company’s financial problems.
“I am deeply sorry for the anguish this situation is causing many people and am doing all I can to assist,” he said.