A Melbourne investor’s $422,000 apartment sale is at risk of falling through because the Victorian Building Authority may not be able to formally confirm that the building meets combustible cladding requirements – despite already declaring it a low risk – before the sale is due to close.

Businessman David Proctor last month agreed to sell his two-bedroom apartment in Coburg but his buyer’s bank insisted on receiving an acquittal, or cancellation, by the VBA of the enforcement notice it had issued over cladding on the three-storey building.