Rob Harder: The builder’s labourer who built embattled Queensland construction giant Privium

Rob Harder started life on the tools as a builder’s labourer and carpenter. Now the former chippy is at the helm of one of Queensland’s biggest home builders as it teeters on the brink.

Rob Harder started life on the tools as a builder’s labourer and carpenter.

Now the former chippy is at the helm of one of Queensland’s biggest home builders Privium Group as it teeters on the brink of a $28m collapse.

The construction sector is facing increasingly tough times with forecasts more builders will go to the wall as they struggle with rising material costs and labour shortages.

Founded 20 years ago as a small building firm, Underwood-based, Privium, formerly known as Impact Homes, had in recent years expanded into NSW and Victoria.

Privium has now shut down the bulk of its building operations and is believed to owe subbies more than $20m.

It will transfer 160 uncompleted homes to a separate builder, Torsion Pty Ltd.

In 2016, the company signed a five-year partnership with Essendon Football Club as well taking a stake in Simonds Group, the second-biggest home builder in Victoria.

Unlike most other building companies, the company also operated as a developer, construction firm and property manager, a difference it believed gave it the edge in an increasingly tough market. “We want to be one of the biggest builders on the east coast,” Mr Harder said in an interview in 2016. “The biggest thing driving the Queensland market is that home prices are cheaper than Sydney or Melbourne.”

Mr Harder, 49, grew up in Tasmania and originally completed a diesel fitter apprenticeship before moving to Queensland in the 1980s.

“I did not want to be working on hot trucks in Queensland so I became a builder’s labourer,” said Mr Harder in an interview five years ago. “I have always loved property – Monopoly was my favourite game as a child – and I bought my first house at 17.”

Rob Harder started life on the tools as a builder’s labourer and carpenter. Picture: Nigel Hallett

Four years ago, Mr Harder founded a charity called Joii that aimed to reduce housing poverty and help people with low or no income. Joii, which is now run by his brother Peter, operates a labour hire and roofing business that funds social enterprise projects.

Peter Harder says Joii is not connected or linked to Privium but does provide labour services to the company. “They are a client,” Peter Harder said.

Robert Harder today lists his address as a large Rochedale home that features a sweeping spiral staircase and open plan layout. He does not own the property, according to publicly available real estate records.

His LinkedIn account lists a number of roles related to property and investment businesses, including a company called Open Gold Accounts.

Mr Harder said in 2016 that the rising number of building collapses at the time reflected the fact some small companies lacked business skills.

“A subcontractor used to be just one guy, his apprentice and a dog, but now they have big teams of people,” he said. “There are some great tradespeople out there and they look at someone else who has their own business and they want to be a great builder. The problem is that some lack business skills and that is why they struggle.”

Privium reported a loss of more than $28m last year as the construction industry felt the impact of shutdowns, labour shortages and price hikes caused by Covid-19. However, in the same period it paid dividends in excess of $18m.

Annie and Raf Solomon at their still vacant block of land. Picture: Steve Pohlner

“As you are well aware, the last six months have been very difficult in our industry with the continued supply and demand challenges, significant price increases and ongoing lockdowns with Victoria and NSW,” Privium said in a letter to clients. “Due to the volume of builds … this has had a significant financial impact on the Privium Group.”

Annie and Raf Solomon last year knocked down their existing home at Birkdale to make way for a new house that was supposed to be built by Privium.

But almost a year after signing a contract and paying a $12,000 deposit, they are still living in rental accommodation and waiting for work to start.

“We were supposed to be in the house by now. Our dog has had to be housed away from us during this whole time because we are in a unit,” Mr Solomon said.

Hervey Bay couple Nikki and Dan Jacobson are $80,000 out of pocket after Privium downed tools on their block leaving a pile of timber on their acreage property.

The couple signed a contract in January with Privium after being introduced to the builder by their mortgage broker.

The couple have now engaged lawyers who are pursuing the company over claims of a breach of contract.

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